Gartner Q3 2026 earnings beat but shares tumble about 13% on growth‑quality concerns
Gartner reported third‑quarter 2026 revenue of $1.505 billion, down 1.3% year‑over‑year, while adjusted earnings per share rose to $3.59, beating estimates. The company raised full‑year guidance for revenue, adjusted EBITDA, adjusted EPS and free cash flow. Despite the headline beat, the stock fell roughly 13% as investors questioned the underlying revenue decline and the role of share buybacks in EPS growth.
Why it matters
The market priced in the revenue slide, outweighing the earnings beat and guidance raise, leading to a sharp share‑price decline (the stock dropped about 13%). The sell‑off signals investor skepticism about Gartner’s growth quality and may affect short‑term trading and valuation.
Key facts
- 1Q3 2026 revenue was $1.505 billion, down 1.3% YoY. financial-news.co.uk
- 2Adjusted EPS was $3.59, beating the consensus of $2.84 by $0.75. investing.com
- 3Full‑year 2026 guidance was raised for revenue, adjusted EBITDA, adjusted EPS and free cash flow. rttnews.com
- 4Shares fell roughly 13% after the earnings release. seekingalpha.com
- 5Insiders sold $1.17 million of stock in the prior 90 days. investing.com
- 6Contract value grew 2.5% YoY to $5.3 billion. investing.com
Summary written by AlphAI AI Desk from 20 of 21 sources. Not investment advice. Figures are as stated by the linked sources.