Gartner, Inc.

What they do

Gartner operates through three reportable segments: Business and Technology Insights (formerly Research), Conferences, and Consulting. Insights is the largest, delivering proprietary research, tools, and advisory services. Conferences hosts events like Gartner Symposium/Xpo, and Consulting offers custom analysis and on-the-ground support for technology initiatives. The company also recently divested its Digital Markets business.

Revenue drivers

• Insights — Largest segment, generating $1.29 billion in Q2 2026 revenue (77% of total), up 2.1% as reported. It is subscription-based, with contract value (GTS CV $4.0B, GBS CV $1.3B) tracked as a key metric.
• Conferences — Revenue of $244 million in Q2 2026 (14.6% of total), up 15.5% as reported and 14.2% FX neutral, driven by event attendance and sponsorships.
• Consulting — Revenue of $142 million in Q2 2026 (8.5% of total), down 8.8% as reported and FX neutral, reflecting lower demand for custom engagements.

Recent performance

For Q2 2026, total revenues were $1.68 billion, down 0.6% as reported and 1.6% FX neutral year-over-year, but adjusted revenues grew 2.8%. Net income rose 14.4% to $275 million, with diluted EPS of $4.14 (+33.1%) and adjusted EPS of $4.37 (+23.8%). Operating cash flow increased 3.8% to $398 million, and free cash flow grew 8.9% to $378 million. For the first half of 2026, revenues were $3.19 billion and net income was $498 million.

Strategy

Gartner aims to expand relationships with its most valuable clients by cross-selling insights, conferences, and consulting. The company also focuses on extending its brand to attract new clients. In 2025, it renamed the Research segment to Insights and realigned Digital Markets as a non-reportable segment, subsequently divesting it in February 2026 for approximately $110 million. Capital allocation emphasizes share repurchases; the company repurchased $547 million in Q2 2026 and the board increased authorization by $500 million in July 2026.

Risks

• Insights renewal risk — If clients reduce spending on subscription research due to economic pressure, contract value growth could weaken, impacting the largest revenue segment.
• FX exposure — With operations in ~90 countries, unfavorable currency movements can reduce reported revenues and earnings; for Q2 2026, FX neutral revenue growth was 1% lower than reported.
• Consulting demand variability — Consulting revenue declined 8.8% year-over-year in Q2 2026, and continued softness in custom project work could persist.
• High leverage and negative equity — As of June 30, 2026, total liabilities exceeded total assets, with stockholders' deficit of -$167.3 million; long-term debt stood at $2.98 billion, which could limit financial flexibility.

Outlook

Management raised full-year 2026 guidance for adjusted EBITDA excluding divested operation, adjusted EPS, and free cash flow, despite a stronger dollar. Contract value growth accelerated in Q2, with GTS CV +1.1% YoY and GBS CV +3.3% YoY on an FX-neutral basis. The company expects continued momentum in Insights and Conferences, while consulting remains a watch item.