Cognizant Technology Solutions Corporation (NASDAQ:CTSH) Given Consensus Recommendation of “Hold” by Brokerages

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) has been assigned an average recommendation of “Hold” from the twenty-two brokerages that are covering the firm, Marketbeat reports. Twelve research analysts have rated the stock with a hold recommendation and ten have assigned a buy recommendation to the company. The average 12-month target price among brokerages that have issued a report on the stock in the last year is $73.3333.

Several analysts have recently commented on the stock. Robert W. Baird set a $72.00 price objective on shares of Cognizant Technology Solutions and gave the company a “neutral” rating in a report on Friday, April 10th. Jefferies Financial Group decreased their target price on shares of Cognizant Technology Solutions from $80.00 to $65.00 and set a “buy” rating for the company in a research note on Monday, May 4th. Berenberg Bank decreased their target price on shares of Cognizant Technology Solutions from $107.00 to $81.00 and set a “buy” rating for the company in a research note on Monday. Guggenheim decreased their target price on shares of Cognizant Technology Solutions from $85.00 to $80.00 and set a “buy” rating for the company in a research note on Thursday, April 30th. Finally, Royal Bank Of Canada boosted their target price on shares of Cognizant Technology Solutions from $82.00 to $88.00 and gave the company a “sector perform” rating in a research note on Thursday, February 5th.

Cognizant Technology Solutions Stock Down 3.7%

CTSH stock opened at $45.97 on Thursday. The firm’s fifty day simple moving average is $59.04 and its 200-day simple moving average is $70.80. The company has a market capitalization of $21.78 billion, a P/E ratio of 9.99, a price-to-earnings-growth ratio of 1.01 and a beta of 0.81. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.23 and a quick ratio of 2.23. Cognizant Technology Solutions has a 12 month low of $45.48 and a 12 month high of $87.03.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Wednesday, April 29th. The information technology service provider reported $1.40 EPS for the quarter, beating the consensus estimate of $1.33 by $0.07. The business had revenue of $5.41 billion for the quarter, compared to the consensus estimate of $5.41 billion. Cognizant Technology Solutions had a net margin of 10.41% and a return on equity of 17.50%. The business’s revenue for the quarter was up 5.8% on a year-over-year basis. During the same period in the prior year, the firm earned $1.23 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. As a group, equities research analysts forecast that Cognizant Technology Solutions will post 5.7 earnings per share for the current year.

Cognizant Technology Solutions Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, May 27th. Investors of record on Monday, May 18th will be paid a $0.33 dividend. This represents a $1.32 annualized dividend and a dividend yield of 2.9%. The ex-dividend date is Monday, May 18th. Cognizant Technology Solutions’s payout ratio is currently 28.70%.

Hedge Funds Weigh In On Cognizant Technology Solutions

Large investors have recently made changes to their positions in the company. Checchi Capital Advisers LLC raised its position in Cognizant Technology Solutions by 3.4% during the fourth quarter. Checchi Capital Advisers LLC now owns 3,852 shares of the information technology service provider’s stock worth $320,000 after acquiring an additional 127 shares during the period. Unison Advisors LLC raised its position in Cognizant Technology Solutions by 0.5% during the fourth quarter. Unison Advisors LLC now owns 30,095 shares of the information technology service provider’s stock worth $2,498,000 after acquiring an additional 138 shares during the period. TD Waterhouse Canada Inc. raised its position in Cognizant Technology Solutions by 7.2% during the fourth quarter. TD Waterhouse Canada Inc. now owns 2,130 shares of the information technology service provider’s stock worth $177,000 after acquiring an additional 143 shares during the period. Security National Bank of SO Dak raised its position in Cognizant Technology Solutions by 0.6% during the second quarter. Security National Bank of SO Dak now owns 24,635 shares of the information technology service provider’s stock worth $1,922,000 after acquiring an additional 150 shares during the period. Finally, Haven Private LLC raised its position in Cognizant Technology Solutions by 1.9% during the third quarter. Haven Private LLC now owns 8,451 shares of the information technology service provider’s stock worth $567,000 after acquiring an additional 157 shares during the period. 92.44% of the stock is currently owned by institutional investors and hedge funds.

About Cognizant Technology Solutions

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.