Cognizant Technology Solutions (NASDAQ:CTSH) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report issued on Wednesday. The firm currently has a $84.00 target price on the information technology service provider’s stock. Zacks Investment Research‘s price objective suggests a potential upside of 12.40% from the company’s previous close.

According to Zacks, “Cognizant’s growth can be attributed to its significant exposure to the fast-growing verticals like Financial Services and Healthcare. Higher demand from payer and top-tier consulting clients in the healthcare segment will help to sustain the growth momentum. The company’s ability to harness the ongoing digital transition is a tailwind. The company is also benefiting from accretive acquisitions and share repurchase program. Cognizant has also gained deep industry expertise and knowledge of the domains through partnerships with top firms like Microsoft and SAP. Estimates have been stable lately ahead of the company’s Q4 earnings release. The company has mixed record of earnings surprises in recent quarters. However, stiff competition in the IT services market remains a concern.”

Several other research analysts also recently issued reports on CTSH. Oppenheimer reaffirmed a “buy” rating and set a $80.00 price target on shares of Cognizant Technology Solutions in a research note on Wednesday, November 1st. Morgan Stanley lifted their price target on Cognizant Technology Solutions from $74.00 to $77.00 and gave the stock an “equal weight” rating in a research note on Thursday, November 2nd. Sanford C. Bernstein lifted their price target on Cognizant Technology Solutions from $84.00 to $90.00 and gave the stock an “outperform” rating in a research note on Thursday, November 2nd. KeyCorp reaffirmed a “buy” rating and set a $79.00 price target on shares of Cognizant Technology Solutions in a research note on Thursday, October 12th. Finally, Cantor Fitzgerald reaffirmed a “buy” rating and set a $78.00 price target on shares of Cognizant Technology Solutions in a research note on Wednesday, November 1st. One investment analyst has rated the stock with a sell rating, four have issued a hold rating, twenty-one have issued a buy rating and two have given a strong buy rating to the company. The stock currently has a consensus rating of “Buy” and an average price target of $81.83.

Shares of Cognizant Technology Solutions (NASDAQ CTSH) opened at $74.73 on Wednesday. Cognizant Technology Solutions has a fifty-two week low of $51.52 and a fifty-two week high of $76.51. The company has a debt-to-equity ratio of 0.07, a current ratio of 3.29 and a quick ratio of 3.29. The company has a market capitalization of $44,060.00, a price-to-earnings ratio of 23.14, a price-to-earnings-growth ratio of 1.43 and a beta of 1.08.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings results on Wednesday, November 1st. The information technology service provider reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.85 by $0.13. The business had revenue of $3.77 billion during the quarter, compared to the consensus estimate of $3.77 billion. Cognizant Technology Solutions had a return on equity of 18.94% and a net margin of 13.42%. The business’s revenue was up 9.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.86 EPS. equities research analysts expect that Cognizant Technology Solutions will post 3.35 EPS for the current year.

In other Cognizant Technology Solutions news, CEO Francisco Dsouza sold 482,000 shares of Cognizant Technology Solutions stock in a transaction dated Tuesday, November 21st. The stock was sold at an average price of $72.04, for a total value of $34,723,280.00. Following the completion of the sale, the chief executive officer now owns 621,643 shares in the company, valued at approximately $44,783,161.72. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Malcolm Frank sold 9,462 shares of Cognizant Technology Solutions stock in a transaction dated Wednesday, December 6th. The shares were sold at an average price of $70.61, for a total value of $668,111.82. Following the completion of the sale, the vice president now owns 15,533 shares of the company’s stock, valued at approximately $1,096,785.13. The disclosure for this sale can be found here. Insiders sold a total of 807,286 shares of company stock valued at $58,679,209 in the last three months. 1.08% of the stock is currently owned by corporate insiders.

A number of institutional investors and hedge funds have recently bought and sold shares of the business. FMR LLC grew its holdings in Cognizant Technology Solutions by 81.6% in the 2nd quarter. FMR LLC now owns 25,065,752 shares of the information technology service provider’s stock valued at $1,664,366,000 after buying an additional 11,262,360 shares during the period. Edgewood Management LLC grew its holdings in Cognizant Technology Solutions by 9.3% in the 3rd quarter. Edgewood Management LLC now owns 16,915,676 shares of the information technology service provider’s stock valued at $1,227,063,000 after buying an additional 1,443,368 shares during the period. Nordea Investment Management AB grew its holdings in Cognizant Technology Solutions by 3.2% in the 3rd quarter. Nordea Investment Management AB now owns 10,076,020 shares of the information technology service provider’s stock valued at $730,914,000 after buying an additional 313,364 shares during the period. Comgest Global Investors S.A.S. grew its holdings in Cognizant Technology Solutions by 24.5% in the 3rd quarter. Comgest Global Investors S.A.S. now owns 7,416,617 shares of the information technology service provider’s stock valued at $538,001,000 after buying an additional 1,461,800 shares during the period. Finally, Swedbank grew its holdings in Cognizant Technology Solutions by 1.8% in the 3rd quarter. Swedbank now owns 6,621,266 shares of the information technology service provider’s stock valued at $480,307,000 after buying an additional 116,263 shares during the period. Institutional investors own 86.04% of the company’s stock.

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Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions Corporation is a professional services company. The Company operates through four segments: Financial Services, Healthcare, Manufacturing/Retail/Logistics, and Other. The Financial Services segment includes customers providing banking/transaction processing, capital markets and insurance services.

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