Gartner, Inc. (IT) DCF Valuation
Transparent DCF models put Gartner, Inc. (IT)'s fair value in a range of $257.81 – $427.34 — the low end is TGM's conservative base case (5% FCF growth, 10% discount), the high end the analyst consensus (FMP). Today's price of $157.54 sits below that range — by these conservative assumptions it screens as potentially undervalued.
Reverse DCF: at today's $157.54, the market is pricing in roughly -1.1%/yr free-cash-flow growth over the next decade (at a 10% required return) — versus its actual 5-year FCF CAGR of +6.2%. The price assumes a slowdown from its track record — a potential value signal if growth holds.
Current Price
$157.54
Fair-Value Range
$257.81 – $427.34
Market-Implied Growth
-1.1%/yr
vs +6.2% 5Y actual
IT DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $1.2B · 0.07B shares · net debt $1.6B
Estimated Fair Value
$257.81
+63.7% vs $157.54
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $157.54; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $326 | $344 | $366 | $391 | $422 |
| 9.0% | $277 | $289 | $303 | $320 | $339 |
| 10.0% | $239 | $248 | $258 | $269 | $282 |
| 11.0% | $210 | $216 | $223 | $231 | $240 |
| 12.0% | $186 | $190 | $196 | $202 | $208 |
About Gartner, Inc.
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.
- Sector
- Industrials
- Industry
- Consulting Services
- CEO
- Eugene A. Hall