Gartner Shares Plunge 52%, Investors May Claim Damages
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Should l Buy IT?
Source: Globenewswire
- Stock Plunge: Gartner's share price fell from a high of $336.71 in February 2025 to $160.16, representing a cumulative loss of over 52%, severely impacting investor confidence and potentially prompting more claims for damages.
- Earnings Guidance Downgrade: In May 2025, Gartner reported Q1 CV growth of only 7% and a sequential decline of $63 million in global CV, yet management reiterated its medium-term growth target of 12% to 16%, indicating a significant misjudgment of market conditions.
- Major Disclosure Failure: In August 2025, CV growth dropped to 5%, leading to a single-day stock plunge of 27.55%, marking the first major error by management and severely undermining investor confidence in the company's future.
- Consulting Segment Shortfall: In February 2026, Gartner disclosed a further decline in CV growth to 1% and revealed for the first time a significant shortfall in consulting performance against internal projections, causing shares to drop another 20.87%, exacerbating investor concerns.
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Analyst Views on IT
Wall Street analysts forecast IT stock price to rise
11 Analyst Rating
4 Buy
6 Hold
1 Sell
Moderate Buy
Current: 149.100
Low
150.00
Averages
190.70
High
240.00
Current: 149.100
Low
150.00
Averages
190.70
High
240.00
About IT
Gartner, Inc. delivers actionable, objective business and technology insights. Its segments include Business and Technology Insights (Insights), Conferences, and Consulting. The Insights segment delivers independent, objective insight to leaders across an enterprise through subscription services that include on-demand access to published research content, data and benchmarks, and direct access to a network of research experts located around the globe. The Conferences segment is designed for information technology (IT) and business executives as well as decision-makers looking to adapt and evolve their organizations through disruption and uncertainty, navigate risks and prioritize investments. The Consulting segment serves chief information officers and other senior executives to optimize technology investments and drive business impact. It also provides solutions for a range of IT-related priorities, including IT cost optimization, digital transformation, and IT sourcing optimization.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Gartner Lawsuit: Gartner, Inc. (NYSE:IT) is accused of failing to meet industry challenges from February 4, 2025, to February 2, 2026, with a lead plaintiff deadline of May 18, 2026.
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- Class Action Notice: Rosen Law Firm reminds investors who purchased Gartner (NYSE: IT) common stock between February 4, 2025, and February 2, 2026, to apply as lead plaintiffs by May 18, 2026, to potentially receive compensation without any out-of-pocket costs.
- Lawsuit Background: The lawsuit alleges that Gartner failed to disclose the true state of its growth rates, particularly its inability to meet consulting revenue targets or maintain contract value growth rates, resulting in investor losses when the truth emerged.
- Law Firm Credentials: Rosen Law Firm specializes in securities class actions and achieved the largest securities class action settlement against a Chinese company, ranked No. 1 by ISS Securities Class Action Services in 2017, demonstrating its expertise in this field.
- Investor Selection Advice: Investors are advised to carefully choose law firms with proven success in leadership roles, avoiding those that merely act as intermediaries, to ensure effective legal representation in the lawsuit.
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- Lawsuit Background: The Gross Law Firm has issued a notice encouraging shareholders who purchased Gartner (NYSE: IT) shares between February 4, 2025, and February 2, 2026, to contact them for potential lead plaintiff appointment, indicating significant legal challenges for the company.
- Performance Decline: Gartner unexpectedly announced a drop in its contract value (CV) growth rate from 7% to 5% during the earnings call on August 5, 2025, and reported another 2% decline on February 3, 2026, revealing the company's failure to meet growth expectations.
- Stock Price Plunge: Following the August 5, 2025 announcement, Gartner's stock price plummeted from $336.71 to $243.93, a decline of approximately 27.55%; on February 3, 2026, it fell from $202.40 to $160.16, a nearly 20.87% drop, reflecting market concerns about the company's future.
- Shareholder Action Recommendation: Shareholders are advised to register for the class action by May 18, 2026, and will receive updates on the case's progress, ensuring their rights are protected throughout the litigation process.
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- Stock Plunge: Gartner's share price fell from a high of $336.71 in February 2025 to $160.16, representing a cumulative loss of over 52%, severely impacting investor confidence and potentially prompting more claims for damages.
- Earnings Guidance Downgrade: In May 2025, Gartner reported Q1 CV growth of only 7% and a sequential decline of $63 million in global CV, yet management reiterated its medium-term growth target of 12% to 16%, indicating a significant misjudgment of market conditions.
- Major Disclosure Failure: In August 2025, CV growth dropped to 5%, leading to a single-day stock plunge of 27.55%, marking the first major error by management and severely undermining investor confidence in the company's future.
- Consulting Segment Shortfall: In February 2026, Gartner disclosed a further decline in CV growth to 1% and revealed for the first time a significant shortfall in consulting performance against internal projections, causing shares to drop another 20.87%, exacerbating investor concerns.
See More
- Lawsuit Background: Gartner's Q2 2025 financial results released on August 5, 2025, revealed a decline in contract value growth rate from 7% to 5%, causing a 27.6% drop in stock price to $243.93 per share, significantly impacting investors.
- Continued Decline: On February 3, 2026, Gartner disclosed a mere 1% year-over-year growth in contract value, leading to a further 20.9% decline in stock price to $160.16 per share, exacerbating investor losses.
- False Statements Allegation: The class action lawsuit alleges that throughout the class period, Gartner failed to disclose its inability to handle industry challenges, misleading investors about its capacity to maintain or increase contract value growth rates.
- Action Notice: Investors must file a motion by May 18, 2026, to request appointment as lead plaintiff in this class action lawsuit to seek recovery for their investment losses.
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- Class Action Notice: The Portnoy Law Firm advises Gartner investors of a class action for those who purchased securities between February 4 and February 8, 2026, with a deadline of May 18, 2026, to file a lead plaintiff motion, emphasizing the importance of legal rights.
- False Statement Allegations: The lawsuit alleges that Gartner made false and/or misleading statements during the class period, failing to disclose the true potential of its contract value (CV) growth and consulting segment revenue outlook, which misled investors about the company's prospects.
- Stock Price Volatility: On August 5, 2025, Gartner reported a decline in overall CV growth from 7% to 5%, causing a stock price drop of over 27%; further, on February 3, 2026, CV growth fell another 2%, leading to a nearly 21% drop in stock price, highlighting significant investor losses.
- Legal Support and Recovery: The Portnoy Law Firm offers complimentary case evaluations to assist affected investors in pursuing claims for their losses, demonstrating the firm's commitment to protecting investor rights and seeking compensation for corporate wrongdoing.
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