Cognizant Technology Solutions (NASDAQ:CTSH) Stock Price Expected to Rise, Royal Bank Of Canada Analyst Says

Cognizant Technology Solutions (NASDAQ:CTSH) had its price target hoisted by investment analysts at Royal Bank Of Canada from $82.00 to $88.00 in a research report issued to clients and investors on Thursday, Marketbeat Ratings reports. The firm presently has a “sector perform” rating on the information technology service provider’s stock. Royal Bank Of Canada’s price target points to a potential upside of 14.93% from the stock’s current price.

A number of other research analysts also recently commented on the stock. Guggenheim reaffirmed a “buy” rating and issued a $100.00 price target (up previously from $95.00) on shares of Cognizant Technology Solutions in a report on Wednesday, January 28th. Deutsche Bank Aktiengesellschaft raised Cognizant Technology Solutions from a “hold” rating to a “buy” rating and set a $100.00 price objective for the company in a research note on Monday, January 26th. UBS Group reissued a “neutral” rating and set a $82.00 target price (up previously from $78.00) on shares of Cognizant Technology Solutions in a research report on Monday, December 8th. Berenberg Bank set a $107.00 price target on Cognizant Technology Solutions and gave the stock a “buy” rating in a research report on Thursday, January 22nd. Finally, Mizuho set a $85.00 price objective on shares of Cognizant Technology Solutions in a research report on Thursday, October 30th. Nine analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $90.78.

Cognizant Technology Solutions Price Performance

Shares of NASDAQ CTSH traded down $0.14 during midday trading on Thursday, reaching $76.57. 3,283,820 shares of the stock traded hands, compared to its average volume of 5,065,072. The company’s 50 day moving average is $82.91 and its 200 day moving average is $74.99. Cognizant Technology Solutions has a one year low of $65.15 and a one year high of $90.82. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.36 and a quick ratio of 2.36. The stock has a market capitalization of $36.96 billion, a PE ratio of 17.79, a P/E/G ratio of 1.43 and a beta of 0.95.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings results on Wednesday, February 4th. The information technology service provider reported $1.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.32 by $0.03. Cognizant Technology Solutions had a net margin of 10.20% and a return on equity of 17.00%. The company had revenue of $5.33 billion for the quarter, compared to the consensus estimate of $5.31 billion. During the same quarter in the prior year, the firm earned $1.21 earnings per share. Cognizant Technology Solutions’s revenue was up 4.9% on a year-over-year basis. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. On average, equities research analysts anticipate that Cognizant Technology Solutions will post 4.98 earnings per share for the current year.

Insider Activity at Cognizant Technology Solutions

In other news, CEO Ravi Kumar Singisetti sold 3,125 shares of Cognizant Technology Solutions stock in a transaction that occurred on Thursday, December 4th. The shares were sold at an average price of $80.01, for a total transaction of $250,031.25. Following the completion of the sale, the chief executive officer owned 75,454 shares of the company’s stock, valued at approximately $6,037,074.54. The trade was a 3.98% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Surya Gummadi sold 1,728 shares of the business’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $83.06, for a total value of $143,527.68. Following the completion of the sale, the insider owned 25,641 shares of the company’s stock, valued at $2,129,741.46. The trade was a 6.31% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 29,434 shares of company stock valued at $2,460,809 over the last 90 days. 0.32% of the stock is currently owned by insiders.

Institutional Trading of Cognizant Technology Solutions

Several institutional investors and hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. grew its holdings in Cognizant Technology Solutions by 0.8% during the 3rd quarter. Vanguard Group Inc. now owns 60,348,442 shares of the information technology service provider’s stock worth $4,047,570,000 after acquiring an additional 493,912 shares in the last quarter. State Street Corp lifted its position in shares of Cognizant Technology Solutions by 0.6% in the 2nd quarter. State Street Corp now owns 25,381,572 shares of the information technology service provider’s stock worth $1,980,524,000 after purchasing an additional 157,427 shares during the period. Pzena Investment Management LLC increased its holdings in Cognizant Technology Solutions by 1.5% during the third quarter. Pzena Investment Management LLC now owns 17,710,868 shares of the information technology service provider’s stock valued at $1,187,868,000 after buying an additional 260,177 shares during the period. Geode Capital Management LLC raised its stake in Cognizant Technology Solutions by 1.5% in the second quarter. Geode Capital Management LLC now owns 14,019,891 shares of the information technology service provider’s stock worth $1,091,391,000 after buying an additional 206,532 shares in the last quarter. Finally, Invesco Ltd. boosted its position in Cognizant Technology Solutions by 8.6% during the 3rd quarter. Invesco Ltd. now owns 12,534,198 shares of the information technology service provider’s stock valued at $840,669,000 after acquiring an additional 987,395 shares in the last quarter. 92.44% of the stock is currently owned by institutional investors.

Trending Headlines about Cognizant Technology Solutions

Here are the key news stories impacting Cognizant Technology Solutions this week:

• Positive Sentiment: Q4 beat and upgraded FY‑2026 outlook — Cognizant posted Q4 revenue of ~$5.33B and EPS $1.35, topping estimates, and raised FY2026 EPS guidance to 5.560–5.700, which underpins the rally. Cognizant tops Q4 forecasts, rebounds on upbeat 2026 guidance
• Positive Sentiment: Record bookings and AI “mega‑deals” — Trailing 12‑month bookings reached $28.4B with several large deals (~$500M cited) and management is positioning AI demand as a growth driver. Q4 2025 Earnings Call Highlights: Record Bookings
• Positive Sentiment: Shareholder returns and dividend bump — Management announced $1.6B of returns in 2026 (including $1B buybacks) and raised the quarterly dividend 6.5% to $0.33, signaling cash‑flow confidence. Cognizant Reports Fourth Quarter and Full-Year 2025 Results
• Positive Sentiment: Analyst note: Morgan Stanley nudges PT higher — Morgan Stanley raised its price target to $82 (equal‑weight), a modest lift to consensus valuation. CTSH price target raised at Morgan Stanley
• Positive Sentiment: Positive research coverage — Zacks and other outlets published bullish takes highlighting style‑score strength and growth attributes, supporting investor interest. Here’s Why Cognizant (CTSH) is a Strong Growth Stock
• Neutral Sentiment: Q1 / FY detail available — Management gave Q1 revenue guidance near $5.4B and FY revenue bands slightly above the street; useful for modeling but execution risk remains. Cognizant forecasts annual revenue above estimates
• Neutral Sentiment: Earnings materials posted — Full transcript, slides and PR are available for due diligence on vertical performance, margin drivers and AI strategy. Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Bullish writeups note valuation upside — Several independent bull‑case pieces highlight forward P/E and margin expansion potential; useful for conviction but not market‑moving alone. CTSH: A Bull Case Theory
• Neutral Sentiment: Short‑interest report appears inconsistent — published short‑interest data contains errors/NaN; no clear evidence of a material new short build at this time.
• Negative Sentiment: Insider sale disclosed — Director Surya Gummadi sold 1,728 shares at about $83.06. Size is small relative to institutional ownership and the buyback plan but may draw some investor attention. SEC Filing: Insider Sale

Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions (NASDAQ: CTSH) is a global professional services company that provides information technology, consulting and business process services to large enterprises. Its core offerings include digital engineering, application development and maintenance, cloud migration and managed services, data analytics and artificial intelligence, cybersecurity, and industry-specific solutions. Cognizant works with clients to design and implement technology-enabled transformations that address customer experience, operational efficiency and new product and service delivery.

Founded in the 1990s and headquartered in Teaneck, New Jersey, Cognizant has grown into a multinational organization with delivery centers and operations across the Americas, Europe, and Asia.