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

by · The Markets Daily

Shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH – Get Free Report) have been given an average rating of “Hold” by the twenty-four brokerages that are covering the stock, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, thirteen have issued a hold rating and ten have assigned a buy rating to the company. The average 1 year target price among analysts that have issued a report on the stock in the last year is $63.00.

Several equities analysts recently commented on CTSH shares. Berenberg Bank set a $59.00 price target on shares of Cognizant Technology Solutions and gave the company a “hold” rating in a report on Wednesday, June 17th. Morgan Stanley reaffirmed a “negative” rating and set a $51.00 price target (up from $44.00) on shares of Cognizant Technology Solutions in a research note on Thursday, July 30th. Susquehanna set a $82.00 target price on shares of Cognizant Technology Solutions and gave the stock a “positive” rating in a report on Thursday, July 30th. TD Cowen increased their target price on Cognizant Technology Solutions from $47.00 to $54.00 and gave the company a “hold” rating in a research report on Thursday, July 30th. Finally, Mizuho set a $64.00 price target on Cognizant Technology Solutions in a report on Thursday, August 6th.

Get Our Latest Analysis on CTSH

Hedge Funds Weigh In On Cognizant Technology Solutions

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. JPL Wealth Management LLC purchased a new stake in shares of Cognizant Technology Solutions during the 3rd quarter valued at approximately $25,000. Prosperity Bancshares Inc purchased a new position in Cognizant Technology Solutions in the 4th quarter valued at approximately $29,000. Signature Equity Partners LLC raised its position in Cognizant Technology Solutions by 102.4% in the 1st quarter. Signature Equity Partners LLC now owns 599 shares of the information technology service provider’s stock valued at $37,000 after purchasing an additional 303 shares in the last quarter. Reflection Asset Management purchased a new position in Cognizant Technology Solutions in the fourth quarter worth approximately $40,000. Finally, MV Capital Management Inc. purchased a new stake in Cognizant Technology Solutions during the 4th quarter worth about $42,000. 92.44% of the stock is owned by hedge funds and other institutional investors.

Cognizant Technology Solutions Stock Performance

CTSH opened at $60.00 on Wednesday. The company has a 50 day simple moving average of $54.42 and a two-hundred day simple moving average of $54.83. 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 firm has a market cap of $27.03 billion, a P/E ratio of 12.90, a PEG ratio of 1.12 and a beta of 0.83. Cognizant Technology Solutions has a 1-year low of $37.08 and a 1-year high of $87.03.

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

Cognizant Technology Solutions declared that its board has initiated a share repurchase plan on Monday, May 18th that allows the company to buyback $2.00 billion in shares. This buyback authorization allows the information technology service provider to repurchase up to 9% of its stock through open market purchases. Stock buyback plans 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 announced 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 2.2%. The ex-dividend date of this dividend was Tuesday, August 18th. Cognizant Technology Solutions’s dividend payout ratio is presently 28.39%.

Cognizant Technology Solutions Company Profile

(Get Free Report)

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.

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