Brokerages Set Cognizant Technology Solutions Corporation (NASDAQ:CTSH) Price Target at $63.00

Shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH) have been given a consensus recommendation of “Hold” by the twenty-four brokerages that are presently covering the company, MarketBeat Ratings reports. One research analyst has rated the stock with a sell rating, thirteen have assigned a hold rating and ten have given a buy rating to the company. The average 12 month price objective among brokers that have covered the stock in the last year is $63.00.

Several equities analysts have recently commented on CTSH shares. TD Cowen increased their price target on shares of Cognizant Technology Solutions from $47.00 to $54.00 and gave the stock a “hold” rating in a research report on Thursday, July 30th. Robert W. Baird set a $68.00 price objective on Cognizant Technology Solutions in a report on Thursday, July 30th. Weiss Ratings restated a “hold (c-)” rating on shares of Cognizant Technology Solutions in a research note on Friday, August 7th. Dbs Bank reduced their target price on Cognizant Technology Solutions from $80.00 to $66.00 in a report on Thursday, May 7th. Finally, Truist Financial began coverage on Cognizant Technology Solutions in a research report on Monday, June 1st. They issued a “hold” rating and a $66.00 target price for the company.

Institutional Trading of Cognizant Technology Solutions

Several institutional investors have recently added to or reduced their stakes in the business. Norges Bank bought a new position in shares of Cognizant Technology Solutions in the 4th quarter worth about $690,959,000. GQG Partners LLC bought a new stake in shares of Cognizant Technology Solutions during the 4th quarter valued at about $673,651,000. Assenagon Asset Management S.A. grew its position in shares of Cognizant Technology Solutions by 925.5% during the 2nd quarter. Assenagon Asset Management S.A. now owns 3,652,358 shares of the information technology service provider’s stock valued at $141,456,000 after buying an additional 3,296,205 shares during the last quarter. Cibc World Markets Corp acquired a new stake in Cognizant Technology Solutions during the fourth quarter worth about $234,671,000. Finally, Pzena Investment Management LLC raised its stake in Cognizant Technology Solutions by 14.9% during the first quarter. Pzena Investment Management LLC now owns 20,262,362 shares of the information technology service provider’s stock worth $1,243,096,000 after acquiring an additional 2,633,683 shares during the period. Institutional investors own 92.44% of the company’s stock.

Cognizant Technology Solutions Trading Down 3.7%

CTSH opened at $56.61 on Friday. Cognizant Technology Solutions has a 12-month low of $37.08 and a 12-month high of $87.03. The company has a debt-to-equity ratio of 0.11, a current ratio of 2.18 and a quick ratio of 2.18. The stock has a market capitalization of $25.50 billion, a PE ratio of 12.17, a P/E/G ratio of 1.18 and a beta of 0.81. The firm’s fifty day moving average price is $47.99 and its 200 day moving average price is $56.26.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its quarterly earnings data on Wednesday, July 29th. The information technology service provider reported $1.37 earnings per share for the quarter, missing the consensus estimate of $1.38 by ($0.01). The company had revenue of $5.48 billion for the quarter, compared to analyst estimates of $5.48 billion. Cognizant Technology Solutions had a return on equity of 17.70% and a net margin of 10.26%.Cognizant Technology Solutions’s revenue was up 4.5% on a year-over-year basis. During the same period in the prior year, the business earned $1.31 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.700-5.820 EPS. As a group, research analysts expect that Cognizant Technology Solutions will post 5.71 EPS for the current fiscal year.

Cognizant Technology Solutions declared that its Board of Directors has initiated a stock buyback program on Monday, May 18th that permits the company to buyback $2.00 billion in outstanding shares. This buyback authorization permits the information technology service provider to purchase up to 9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Cognizant Technology Solutions Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 25th. Investors of record on Tuesday, August 18th will be paid a dividend of $0.33 per share. The ex-dividend date is Tuesday, August 18th. This represents a $1.32 annualized dividend and a yield of 2.3%. Cognizant Technology Solutions’s dividend payout ratio (DPR) is 28.39%.

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.