Cognizant Technology Solutions (NASDAQ:CTSH) Sets New 12-Month Low – Here’s What Happened

Cognizant Technology Solutions Corporation (NASDAQ:CTSH)’s share price hit a new 52-week low during mid-day trading on Tuesday . The company traded as low as $60.89 and last traded at $61.13, with a volume of 10482079 shares trading hands. The stock had previously closed at $65.03.

Analyst Ratings Changes

CTSH has been the subject of a number of recent research reports. TD Cowen reaffirmed a “hold” rating and set a $85.00 price target (up previously from $84.00) on shares of Cognizant Technology Solutions in a research report on Thursday, February 5th. Morgan Stanley boosted their price objective on shares of Cognizant Technology Solutions from $80.00 to $82.00 and gave the stock an “equal weight” rating in a research report on Thursday, February 5th. JPMorgan Chase & Co. raised their target price on shares of Cognizant Technology Solutions from $89.00 to $92.00 and gave the company an “overweight” rating in a research report on Thursday, October 30th. Susquehanna reiterated a “positive” rating and issued a $98.00 price target on shares of Cognizant Technology Solutions in a research note on Friday, January 23rd. Finally, Royal Bank Of Canada increased their price objective on shares of Cognizant Technology Solutions from $82.00 to $88.00 and gave the stock a “sector perform” rating in a research note on Thursday, February 5th. Ten investment analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company’s stock. According to MarketBeat.com, Cognizant Technology Solutions presently has an average rating of “Hold” and an average price target of $90.17.

Cognizant Technology Solutions Stock Performance

The company has a quick ratio of 2.14, a current ratio of 2.14 and a debt-to-equity ratio of 0.04. The stock’s fifty day moving average is $79.90 and its two-hundred day moving average is $74.57. The firm has a market capitalization of $29.24 billion, a price-to-earnings ratio of 13.44, a P/E/G ratio of 1.41 and a beta of 0.95.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its quarterly earnings data on Wednesday, February 4th. The information technology service provider reported $1.35 EPS for the quarter, beating analysts’ consensus estimates of $1.32 by $0.03. The company had revenue of $5.33 billion during the quarter, compared to the consensus estimate of $5.31 billion. Cognizant Technology Solutions had a net margin of 10.56% and a return on equity of 17.17%. The company’s quarterly revenue was up 4.9% on a year-over-year basis. During the same quarter last year, the firm posted $1.21 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. On average, analysts predict that Cognizant Technology Solutions Corporation will post 4.98 earnings per share for the current year.

Cognizant Technology Solutions Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, February 26th. Shareholders of record on Wednesday, February 18th will be given a dividend of $0.33 per share. This represents a $1.32 dividend on an annualized basis and a yield of 2.2%. This is a boost from Cognizant Technology Solutions’s previous quarterly dividend of $0.31. The ex-dividend date of this dividend is Wednesday, February 18th. Cognizant Technology Solutions’s dividend payout ratio (DPR) is presently 29.01%.

Insiders Place Their Bets

In other news, Director Michael Patsalos-Fox sold 2,000 shares of the firm’s stock in a transaction that occurred on Wednesday, January 7th. The stock was sold at an average price of $84.23, for a total value of $168,460.00. Following the completion of the sale, the director directly owned 29,729 shares of the company’s stock, valued at $2,504,073.67. This trade represents a 6.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, CEO Ravi Kumar Singisetti sold 2,950 shares of the business’s stock in a transaction that occurred on Friday, December 19th. The stock was sold at an average price of $85.06, for a total value of $250,927.00. Following the transaction, the chief executive officer directly owned 75,209 shares in the company, valued at $6,397,277.54. The trade was a 3.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 29,434 shares of company stock worth $2,460,809 over the last ninety days. 0.32% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Cognizant Technology Solutions

Several large investors have recently modified their holdings of CTSH. Norges Bank bought a new stake in shares of Cognizant Technology Solutions during the 4th quarter worth about $690,959,000. GQG Partners LLC bought a new stake in shares of Cognizant Technology Solutions during the fourth quarter worth approximately $673,651,000. CIBC Bancorp USA Inc. bought a new stake in shares of Cognizant Technology Solutions during the third quarter worth approximately $201,834,000. Cibc World Markets Corp acquired a new position in shares of Cognizant Technology Solutions in the fourth quarter valued at approximately $234,671,000. Finally, FIL Ltd increased its stake in shares of Cognizant Technology Solutions by 46.6% during the fourth quarter. FIL Ltd now owns 6,680,508 shares of the information technology service provider’s stock worth $554,482,000 after purchasing an additional 2,122,600 shares during the period. 92.44% of the stock is owned by institutional investors.

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.