Cognizant Technology Solutions (NASDAQ:CTSH) Sets New 12-Month Low – Time to Sell?

Cognizant Technology Solutions Corporation (NASDAQ:CTSH)’s stock price reached a new 52-week low on Wednesday . The stock traded as low as $64.61 and last traded at $65.18, with a volume of 11600665 shares traded. The stock had previously closed at $66.55.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on CTSH shares. Argus upgraded shares of Cognizant Technology Solutions to a “hold” rating in a research note on Tuesday, February 10th. Wells Fargo & Company reaffirmed an “overweight” rating and set a $98.00 price target (up previously from $87.00) on shares of Cognizant Technology Solutions in a research report on Wednesday, January 14th. JPMorgan Chase & Co. boosted their price target on Cognizant Technology Solutions from $89.00 to $92.00 and gave the company an “overweight” rating in a research note on Thursday, October 30th. Susquehanna restated a “positive” rating and issued a $98.00 price objective on shares of Cognizant Technology Solutions in a research note on Friday, January 23rd. Finally, BMO Capital Markets set a $83.00 target price on Cognizant Technology Solutions in a report on Thursday, February 12th. Ten investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $90.17.

Cognizant Technology Solutions Stock Up 0.1%

The stock has a market cap of $31.39 billion, a PE ratio of 14.29, a P/E/G ratio of 1.41 and a beta of 0.95. The business has a 50 day moving average price of $80.73 and a 200 day moving average price of $74.61. The company has a quick ratio of 2.14, a current ratio of 2.14 and a debt-to-equity ratio of 0.04.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its quarterly earnings results on Wednesday, February 4th. The information technology service provider reported $1.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.32 by $0.03. The company had revenue of $5.33 billion during the quarter, compared to the consensus estimate of $5.31 billion. Cognizant Technology Solutions had a return on equity of 17.17% and a net margin of 10.56%.Cognizant Technology Solutions’s revenue for the quarter was up 4.9% on a year-over-year basis. During the same period in the previous year, the company posted $1.21 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. Equities research analysts expect that Cognizant Technology Solutions Corporation will post 4.98 EPS for the current fiscal year.

Cognizant Technology Solutions Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, February 26th. Shareholders of record on Wednesday, February 18th will be issued a $0.33 dividend. The ex-dividend date of this dividend is Wednesday, February 18th. This is a positive change from Cognizant Technology Solutions’s previous quarterly dividend of $0.31. This represents a $1.32 dividend on an annualized basis and a yield of 2.0%. Cognizant Technology Solutions’s dividend payout ratio is presently 29.01%.

Insider Activity

In other Cognizant Technology Solutions news, Director Michael Patsalos-Fox sold 7,000 shares of the stock in a transaction that occurred on Thursday, December 11th. The stock was sold at an average price of $83.52, for a total transaction of $584,640.00. Following the transaction, the director owned 47,729 shares in the company, valued at approximately $3,986,326.08. This represents a 12.79% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CAO John Sunshin Kim sold 2,500 shares of the firm’s stock in a transaction that occurred on Thursday, December 4th. The shares were sold at an average price of $80.00, for a total value of $200,000.00. Following the completion of the sale, the chief accounting officer directly owned 36,149 shares in the company, valued at approximately $2,891,920. The trade was a 6.47% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 29,434 shares of company stock worth $2,460,809. 0.32% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Cognizant Technology Solutions

A number of institutional investors have recently added to or reduced their stakes in the stock. JPL Wealth Management LLC purchased a new position in Cognizant Technology Solutions during the third quarter valued at $25,000. Lodestone Wealth Management LLC acquired a new position in shares of Cognizant Technology Solutions during the 4th quarter worth about $28,000. Flagship Harbor Advisors LLC purchased a new position in Cognizant Technology Solutions in the 4th quarter valued at about $28,000. Physician Wealth Advisors Inc. boosted its holdings in Cognizant Technology Solutions by 165.1% in the 4th quarter. Physician Wealth Advisors Inc. now owns 342 shares of the information technology service provider’s stock worth $28,000 after buying an additional 213 shares during the last quarter. Finally, NewSquare Capital LLC increased its stake in Cognizant Technology Solutions by 71.8% during the 2nd quarter. NewSquare Capital LLC now owns 366 shares of the information technology service provider’s stock worth $29,000 after buying an additional 153 shares in the last quarter. Institutional investors and hedge funds own 92.44% of the company’s stock.

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.