Gartner, Inc. · IT · FY2025 Q2 · Calendar Q3 2025

Gartner: AI demand offsets tariff and federal-government pressure

The call provides mixed evidence for a durable growth thesis: AI demand, cost optimization, and productivity initiatives support recovery, but lower EBITDA guidance and tariff, federal, and churn pressures temper confidence.

Reported Before market openNYSETechnology $12.44B market cap
100quality score

Earnings scorecard

Reported versus consensus
Reported EPS $3.53 Consensus $3.30
EPS surprise +7.0% Reported versus consensus
Reported revenue $1.69B Consensus $1.67B
Revenue surprise +0.7% Reported versus consensus

Market reaction

prior-close to event-session close
Stock move -27.6% Event window
SPY move -0.5% Same window
Abnormal move -27.0% Stock minus SPY
Volume 4.8× Versus trailing sessions
Subsequent drift +1.5% Up to 20 sessions
ITSPY benchmark

Ask FN2 about IT FY2025 Q2

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Transcript intelligence

What changed

Compared with the prior-quarter analysis, guidance sentiment shifted from raised to lowered. Gartner introduced and rapidly expanded AskGartner and internal AI applications, while Q2 contract-value growth slowed to 5% and management emphasized corrective sales and service initiatives.

Guidance delta

Full-year EBITDA guidance was lowered by $20 million; revenue guidance implies modest 2% FX-neutral growth.

Key takeaways

  • AI demand and AskGartner remain central growth drivers.
  • Q2 contract value grew 5% year over year, while federal and tariff-affected activity slowed.
  • Management is using AI tools, cost-optimization services, and sales changes to pursue a return to double-digit growth.
  • Strong free cash flow continues to support share repurchases and potential tuck-in acquisitions.

Management priorities

  • Complete the AskGartner rollout to all licensed users by year-end.
  • Expand internal AI applications and improve associate efficiency.
  • Optimize sales territories, scale the QBH program modestly, and focus on subscription utilization.

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Earnings History

Estimate Beat Miss Match
IT REVENUE earnings history estimate and actual scatter chart 9 reported fiscal quarters and 3 future estimate-only quarters. Q4 '23 estimate $2B Q4 '23 actual $2B, match Q1 '24 estimate $1B Q1 '24 actual $1B, match Q2 '24 estimate $2B Q2 '24 actual $2B, beat Q3 '24 estimate $1B Q3 '24 actual $1B, beat Q2 '25 estimate $2B Q2 '25 actual $2B, beat Q3 '25 estimate $2B Q3 '25 actual $2B, beat Q4 '25 estimate $2B Q4 '25 actual $2B, beat Q1 '26 estimate $2B Q1 '26 actual $2B, miss Q2 '26 estimate $2B Q2 '26 actual $2B, beat Q3 '26 estimate $1B Q4 '26 estimate $2B Q1 '27 estimate $2B
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Analyst Consensus ?

ConsensusHold18 ratings
Bullish527.8%
Neutral1055.5%
Bearish316.7%

Analyst 52W Price Targets

$185.77Previous close
$120Low
$236.21Average
$565High

Latest persisted target per named analyst; persisted previous close from FN2's market snapshot as of Oct 8, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
UBS Neutral NeutralMaintainOct 5, 2026
BMO Capital Market Perform Market PerformMaintainAug 18, 2026
Wells Fargo Underweight UnderweightMaintainAug 5, 2026
RBC Capital Sector Perform Sector PerformMaintainAug 5, 2026
Goldman Sachs Neutral NeutralMaintainAug 5, 2026
Show 13 more rating actions

Named analyst price targets

Upside is calculated against the persisted previous close $185.77. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
UBSJoshua Chan$208$184.8 +12.0%Oct 5, 2026
UBSJoshua Chan$196$169.3 +5.5%Sep 10, 2026
BMO CapitalAnalyst unavailable$206$179.19 +10.9%Aug 18, 2026
Truist FinancialJasper Bibb$205$189.74 +10.4%Aug 5, 2026
Morgan StanleyAnalyst unavailable$177$191.94 -4.7%Aug 5, 2026
See 49 more

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Company context

Snapshot as of publication

Gartner, Inc. functions as a premier research and advisory enterprise, extending its reach across the United States, Canada, Europe, the Middle East, Africa, and various international markets. Its operations are structured into three main divisions: Research, Conferences, and Consulting. The Research division primarily offers a subscription service, enabling on-demand access to extensive published studies, data, industry benchmarks, and direct consultations with its expert network. The Conferences segment provides a platform for business professionals to acquire new knowledge, share insights, and foster connections. Lastly, the Consulting segment furnishes clients with market research, bespoke analyses, and direct, on-site support services. This segment specifically addresses critical IT challenges, offering practical strategies for areas such as optimizing IT expenditures, managing digital transformation, and enhancing IT sourcing processes. Founded in 1979, Gartner, Inc. has its corporate base in Stamford, Connecticut.

Historical context

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Latest beats and misses

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Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
  3. Polygon adjusted daily market bars · 2026-10-08T05:40:42.399953+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-08T05:40:42.397165+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-08. For educational purposes only; not investment advice.