Brokerages Set Cognizant Technology Solutions Corporation (NASDAQ:CTSH) Price Target at $88.78

Shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH) have received an average rating of “Hold” from the twenty-one analysts that are currently covering the firm, Marketbeat reports. Twelve analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. The average 1 year target price among brokerages that have issued a report on the stock in the last year is $88.7778.

CTSH has been the topic of several research analyst reports. Citigroup reiterated a “neutral” rating and issued a $86.00 price objective (up from $75.00) on shares of Cognizant Technology Solutions in a report on Thursday, January 22nd. Berenberg Bank set a $107.00 target price on Cognizant Technology Solutions and gave the stock a “buy” rating in a research note on Thursday, January 22nd. Mizuho set a $87.00 price objective on Cognizant Technology Solutions in a report on Monday, February 9th. Guggenheim reaffirmed a “buy” rating and issued a $100.00 target price (up from $95.00) on shares of Cognizant Technology Solutions in a report on Wednesday, January 28th. Finally, Deutsche Bank Aktiengesellschaft upgraded shares of Cognizant Technology Solutions from a “hold” rating to a “buy” rating and set a $100.00 price target for the company in a research report on Monday, January 26th.

Cognizant Technology Solutions Trading Up 0.8%

Shares of Cognizant Technology Solutions stock opened at $62.07 on Wednesday. The stock has a 50 day moving average of $71.77 and a 200 day moving average of $73.47. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.14 and a current ratio of 2.14. The firm has a market capitalization of $29.68 billion, a price-to-earnings ratio of 13.64, a PEG ratio of 1.33 and a beta of 0.99. Cognizant Technology Solutions has a fifty-two week low of $59.35 and a fifty-two week high of $87.03.

Cognizant Technology Solutions (NASDAQ:CTSH) last posted its earnings results on Wednesday, February 4th. The information technology service provider reported $1.35 EPS for the quarter, beating analysts’ consensus estimates of $1.32 by $0.03. The company had revenue of $5.33 billion for 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%.The company’s revenue for the quarter was up 4.9% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.21 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. As a group, research analysts predict that Cognizant Technology Solutions will post 4.98 earnings per share for the current year.

Cognizant Technology Solutions Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, February 26th. Stockholders of record on Wednesday, February 18th were issued a $0.33 dividend. The ex-dividend date of this dividend was 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 dividend yield of 2.1%. Cognizant Technology Solutions’s dividend payout ratio is currently 29.01%.

Insider Transactions at Cognizant Technology Solutions

In other news, Director Michael Patsalos-Fox sold 4,000 shares of the firm’s stock in a transaction on Wednesday, December 24th. The shares were sold at an average price of $85.30, for a total value of $341,200.00. Following the completion of the sale, the director owned 37,729 shares in the company, valued at approximately $3,218,283.70. This trade represents a 9.59% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Surya Gummadi sold 1,728 shares of the business’s stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $83.06, for a total transaction of $143,527.68. Following the transaction, the insider owned 25,641 shares in the company, valued at approximately $2,129,741.46. This trade represents a 6.31% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 13,859 shares of company stock worth $1,172,110. Corporate insiders own 0.32% of the company’s stock.

Hedge Funds Weigh In On Cognizant Technology Solutions

A number of large investors have recently made changes to their positions in the stock. Stance Capital LLC increased its stake in Cognizant Technology Solutions by 2,316.4% in the 4th quarter. Stance Capital LLC now owns 16,673 shares of the information technology service provider’s stock valued at $1,384,000 after purchasing an additional 15,983 shares in the last quarter. World Investment Advisors raised its stake in shares of Cognizant Technology Solutions by 9.3% during the 4th quarter. World Investment Advisors now owns 6,828 shares of the information technology service provider’s stock worth $567,000 after buying an additional 583 shares during the last quarter. Larry Mathis Financial Planning LLC purchased a new stake in shares of Cognizant Technology Solutions in the 4th quarter worth about $253,000. Corient Private Wealth LLC lifted its holdings in shares of Cognizant Technology Solutions by 44.4% in the fourth quarter. Corient Private Wealth LLC now owns 108,131 shares of the information technology service provider’s stock valued at $8,977,000 after purchasing an additional 33,248 shares in the last quarter. Finally, Auto Owners Insurance Co grew its position in shares of Cognizant Technology Solutions by 8,200.0% in the fourth quarter. Auto Owners Insurance Co now owns 849,256 shares of the information technology service provider’s stock valued at $7,049,000 after purchasing an additional 839,024 shares during the last quarter. Hedge funds and other institutional investors own 92.44% of the company’s stock.

About Cognizant Technology Solutions

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.