Analysts Set Cognizant Technology Solutions Corporation (NASDAQ:CTSH) Target Price at $86.79

Shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH) have earned a consensus rating of “Hold” from the seventeen research firms that are presently covering the company, Marketbeat reports. Eleven research analysts have rated the stock with a hold rating and six have given a buy rating to the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $86.1333.

A number of analysts recently commented on the stock. Wall Street Zen downgraded shares of Cognizant Technology Solutions from a “buy” rating to a “hold” rating in a report on Saturday, August 2nd. Wells Fargo & Company assumed coverage on shares of Cognizant Technology Solutions in a report on Tuesday. They set an “overweight” rating and a $82.00 price objective on the stock. Deutsche Bank Aktiengesellschaft began coverage on shares of Cognizant Technology Solutions in a report on Thursday, July 17th. They set a “hold” rating and a $80.00 price objective on the stock. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Cognizant Technology Solutions in a report on Wednesday, October 8th. Finally, Guggenheim reaffirmed a “buy” rating and issued a $85.00 price target (down previously from $90.00) on shares of Cognizant Technology Solutions in a report on Tuesday.

Cognizant Technology Solutions Trading Up 3.1%

Shares of Cognizant Technology Solutions stock opened at $68.77 on Friday. Cognizant Technology Solutions has a 52-week low of $65.15 and a 52-week high of $90.82. The company has a quick ratio of 2.41, a current ratio of 2.41 and a debt-to-equity ratio of 0.04. The company’s 50-day simple moving average is $69.18 and its 200-day simple moving average is $73.65. The firm has a market cap of $33.59 billion, a price-to-earnings ratio of 13.98, a price-to-earnings-growth ratio of 1.39 and a beta of 0.95.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Wednesday, July 30th. The information technology service provider reported $1.31 EPS for the quarter, topping analysts’ consensus estimates of $1.26 by $0.05. The firm had revenue of $5.25 billion for the quarter, compared to the consensus estimate of $5.17 billion. Cognizant Technology Solutions had a net margin of 11.89% and a return on equity of 16.77%. The firm’s revenue was up 8.1% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.17 earnings per share. Cognizant Technology Solutions has set its FY 2025 guidance at 5.080-5.220 EPS. Q3 2025 guidance at EPS. As a group, equities research analysts anticipate that Cognizant Technology Solutions will post 4.98 earnings per share for the current year.

Cognizant Technology Solutions Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, August 26th. Shareholders of record on Monday, August 18th were issued a $0.31 dividend. This represents a $1.24 annualized dividend and a dividend yield of 1.8%. The ex-dividend date of this dividend was Monday, August 18th. Cognizant Technology Solutions’s dividend payout ratio is 25.20%.

Institutional Trading of Cognizant Technology Solutions

Several institutional investors and hedge funds have recently modified their holdings of the business. Vanguard Group Inc. lifted its holdings in shares of Cognizant Technology Solutions by 1.3% in the second quarter. Vanguard Group Inc. now owns 59,854,530 shares of the information technology service provider’s stock valued at $4,670,449,000 after purchasing an additional 746,732 shares in the last quarter. State Street Corp lifted its stake in shares of Cognizant Technology Solutions by 0.6% during the second quarter. State Street Corp now owns 25,381,572 shares of the information technology service provider’s stock valued at $1,980,524,000 after buying an additional 157,427 shares during the period. Pzena Investment Management LLC lifted its stake in shares of Cognizant Technology Solutions by 2.2% during the second quarter. Pzena Investment Management LLC now owns 17,450,691 shares of the information technology service provider’s stock valued at $1,361,677,000 after buying an additional 375,619 shares during the period. Geode Capital Management LLC lifted its stake in shares of Cognizant Technology Solutions by 1.5% during the second quarter. Geode Capital Management LLC now owns 14,019,891 shares of the information technology service provider’s stock valued at $1,091,391,000 after buying an additional 206,532 shares during the period. Finally, Invesco Ltd. lifted its stake in shares of Cognizant Technology Solutions by 13.3% during the first quarter. Invesco Ltd. now owns 12,077,445 shares of the information technology service provider’s stock valued at $923,925,000 after buying an additional 1,422,265 shares during the period. Hedge funds and other institutional investors own 92.44% of the company’s stock.

About Cognizant Technology Solutions

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services in North America, Europe, and internationally. It operates through four segments: Financial Services, Health Sciences, Products and Resources, and Communications, Media and Technology.