Is the business good?
How good a business is IT?
Gartner earns 61% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
61%
Return on invested capital · cost of capital 9.0% · 52 points above what the capital costs: growth creates value
- Operating margin
- 16%
Operating margin · Information Technology Services median 7.9% · 12 months to Q1 2026
- Cash conversion
- 1.70×
Cash conversion · 1.20× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −10%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 12% |
| FY2021 | 19% |
| FY2022 | 20% |
| FY2023 | 21% |
| FY2024 | 18% |
| FY2025 | 16% |
Details›
- Gross margin12 months to Q1 2026
- 69%
- Operating margin12 months to Q1 2026
- 16%
- Net margin12 months to Q1 2026
- 11%
- Free cash flow margin
- 19%
- Revenue, trailing twelve months
- $6.47B
- Free cash flow, trailing twelve months
- $1.26B
- Net income, trailing twelve months
- $741M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 61%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Information Technology Services
Ranks #20 of 37 by Smart Score