Gartner (IT) Stock Forecast & Price Target

Gartner Inc. has demonstrated strong new business growth, with its GTS and GBS segments experiencing increases of 12% and 13% year-over-year, respectively, indicating an improving selling environment and enhanced productivity. The forecast for mid-single-digit hiring growth in GTS and high-single-digit growth in GBS by year-end suggests a positive trajectory in operational capacity and resource allocation. Furthermore, the rebound in new business activity, alongside a 7.4% year-over-year increase in Contract Value, aligns with management's expectations and indicates robust demand within the technology research sector, reinforcing a positive outlook for the company's financial performance.

Gartner Inc. has experienced a decline in net quota-based hiring growth, with management indicating a strategic reduction in tech vendor territories due to unfavorable market conditions. The company has revised its initial revenue, adjusted EBITDA, and adjusted EPS guidance downward by 0.5% to 5.2% compared to previous consensus forecasts for 2024, contributing to a negative outlook. Furthermore, non-subscription revenues saw a significant decline of 17% year-over-year, with guidance suggesting a further drop of approximately 20% for the full year, which could negatively impact overall revenue forecasts.