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

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) has received an average rating of “Hold” from the twenty-four analysts that are currently covering the stock, Marketbeat Ratings reports. One analyst has rated the stock with a sell recommendation, thirteen have issued a hold recommendation and ten have given a buy recommendation to the company. The average twelve-month price objective among brokers that have issued a report on the stock in the last year is $63.00.

CTSH has been the subject of a number of recent research reports. Daiwa Securities Group cut their target price on shares of Cognizant Technology Solutions from $65.00 to $42.00 and set a “neutral” rating for the company in a report on Wednesday, June 24th. TD Cowen upped their target price on Cognizant Technology Solutions from $47.00 to $54.00 and gave the stock a “hold” rating in a report on Thursday, July 30th. Truist Financial initiated coverage on shares of Cognizant Technology Solutions in a research note on Monday, June 1st. They issued a “hold” rating and a $66.00 price objective for the company. HSBC lowered their price target on shares of Cognizant Technology Solutions from $80.00 to $68.00 and set a “buy” rating on the stock in a report on Wednesday, July 1st. Finally, Mizuho set a $64.00 target price on Cognizant Technology Solutions in a research report on Thursday, August 6th.

Cognizant Technology Solutions Stock Performance

Shares of CTSH stock opened at $63.28 on Wednesday. Cognizant Technology Solutions has a one year low of $37.08 and a one year high of $87.03. The company’s 50-day moving average is $55.26 and its 200 day moving average is $54.86. The company has a debt-to-equity ratio of 0.11, a quick ratio of 2.18 and a current ratio of 2.18. The company has a market capitalization of $28.50 billion, a price-to-earnings ratio of 13.61, a price-to-earnings-growth ratio of 1.19 and a beta of 0.83.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings results on Wednesday, July 29th. The information technology service provider reported $1.37 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.38 by ($0.01). The firm had revenue of $5.48 billion during the quarter, compared to analysts’ expectations of $5.48 billion. Cognizant Technology Solutions had a return on equity of 17.70% and a net margin of 10.26%.The business’s quarterly revenue was up 4.5% on a year-over-year basis. During the same quarter last year, the business earned $1.31 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.700-5.820 EPS. Sell-side analysts expect that Cognizant Technology Solutions will post 5.74 EPS for the current fiscal year.

Cognizant Technology Solutions Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, August 25th. Investors of record on Tuesday, August 18th were given a $0.33 dividend. This represents a $1.32 annualized dividend and a dividend yield of 2.1%. The ex-dividend date of this dividend was Tuesday, August 18th. Cognizant Technology Solutions’s dividend payout ratio (DPR) is presently 28.39%.

Hedge Funds Weigh In On Cognizant Technology Solutions

Hedge funds and other institutional investors have recently bought and sold shares of the business. Advisory Alpha LLC grew its stake in shares of Cognizant Technology Solutions by 2.8% in the fourth quarter. Advisory Alpha LLC now owns 5,987 shares of the information technology service provider’s stock valued at $497,000 after buying an additional 163 shares in the last quarter. Root Financial Partners LLC lifted its stake in Cognizant Technology Solutions by 26.8% during the 4th quarter. Root Financial Partners LLC now owns 780 shares of the information technology service provider’s stock worth $65,000 after acquiring an additional 165 shares in the last quarter. Parallel Advisors LLC boosted its holdings in Cognizant Technology Solutions by 2.2% during the 4th quarter. Parallel Advisors LLC now owns 8,610 shares of the information technology service provider’s stock valued at $715,000 after acquiring an additional 186 shares during the period. New Mexico Educational Retirement Board grew its position in Cognizant Technology Solutions by 0.9% in the 4th quarter. New Mexico Educational Retirement Board now owns 22,478 shares of the information technology service provider’s stock valued at $1,866,000 after acquiring an additional 200 shares in the last quarter. Finally, Resources Management Corp CT ADV grew its position in Cognizant Technology Solutions by 6.1% in the 4th quarter. Resources Management Corp CT ADV now owns 3,695 shares of the information technology service provider’s stock valued at $307,000 after acquiring an additional 211 shares in the last quarter. Institutional investors and hedge funds own 92.44% of the company’s stock.

About Cognizant Technology Solutions

Cognizant Technology Solutions Corporation is a professional services and information technology company that helps organizations modernize their technology infrastructure, operations and customer experiences. The company provides consulting, systems integration, application development and maintenance, and business process services to clients across industries.

Its offerings include cloud enablement, software engineering, data and analytics, artificial intelligence, cybersecurity, automation and digital workplace solutions.