Gartner, Inc. (NYSE:HE) is one of the most affordable tech stocks to buy right now. On February 6, Truist Securities slashed its price target on Gartner, Inc. (NYSE:IT) to $170 from $300, while maintaining a Buy rating. The downgrade followed weaker-than-expected fourth-quarter contract value (CV) results and weak guidance for 2026, suggesting a slower recovery than previously anticipated.
Analyst Jasper Bibb noted that Gartner management continues to face a difficult selling environment for its research and advisory services and noted that recent broad changes to its Insights product offering contributed to the target reduction, even as the company maintained a positive long-term outlook.
That same day, BMO Capital also lowered its price target at Gartner to $188 from $258, maintaining a Market Perform rating. Gartner stock has been under heavy pressure, falling 27.47% in the past week and 71.55% over the past year.
BMO noted that while Gartner delivered profits driven by margins and helped by share buybacks, contract value growth remains challenged by federal government customer churn and a difficult sales environment. The company’s aggressive buyback program has supported earnings per share of $11.54 and a P/E ratio of 13.73, but CV growth remains the primary concern.
Management has outlined a four-dimensional process to reinvigorate contract value growth, although BMO noted it could take a couple of years to see the full benefits. Gartner’s 2026 guidance was described as “at least” in line but lighter than consensus expectations, and management anticipates an acceleration in CV growth later in the year. BMO lowered its estimates along with the price target cut, marking another downward revision for the research and advisory firm as it works in a challenging environment.
Gartner, Inc. (NYSE:IT) is a global research and advisory firm operating in the United States, Canada, Europe, the Middle East, Africa and other international markets. The company conducts its business through three segments: research, conferences and consulting.
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Disclosure: None. This article was originally published in privileged monkey.