Cognizant Technology Solutions (NASDAQ:CTSH) Reaches New 52-Week Low – Here’s What Happened

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) hit a new 52-week low on Thursday . The stock traded as low as $65.00 and last traded at $66.3020, with a volume of 7010366 shares. The stock had previously closed at $70.91.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on CTSH shares. The Goldman Sachs Group restated a “neutral” rating and set a $84.00 price objective on shares of Cognizant Technology Solutions in a research report on Wednesday, October 29th. Berenberg Bank set a $107.00 price objective on shares of Cognizant Technology Solutions and gave the company a “buy” rating in a research report on Thursday, January 22nd. TD Cowen reaffirmed a “hold” rating and issued a $85.00 price objective (up previously from $84.00) on shares of Cognizant Technology Solutions in a report on Thursday, February 5th. Citigroup reissued a “neutral” rating and set a $86.00 target price (up from $75.00) on shares of Cognizant Technology Solutions in a research note on Thursday, January 22nd. Finally, Weiss Ratings raised Cognizant Technology Solutions from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, February 6th. Ten equities research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Cognizant Technology Solutions currently has an average rating of “Hold” and an average price target of $90.17.

Cognizant Technology Solutions Price Performance

The firm has a market cap of $32.12 billion, a PE ratio of 14.63, a price-to-earnings-growth ratio of 1.43 and a beta of 0.95. The company has a current ratio of 2.34, a quick ratio of 2.36 and a debt-to-equity ratio of 0.04. The company has a 50 day moving average price of $82.04 and a 200 day moving average price of $74.80.

Cognizant Technology Solutions (NASDAQ:CTSH) last issued its quarterly earnings data on Wednesday, February 4th. The information technology service provider reported $1.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.32 by $0.03. The firm had revenue of $5.33 billion during the quarter, compared to analysts’ expectations 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 was up 4.9% on a year-over-year basis. During the same period in the previous year, the firm posted $1.21 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. On average, sell-side analysts expect that Cognizant Technology Solutions Corporation will post 4.98 EPS for the current year.

Cognizant Technology Solutions Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, February 26th. Shareholders of record on Wednesday, February 18th will be given a dividend of $0.33 per share. The ex-dividend date is Wednesday, February 18th. This is an increase 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 (DPR) is presently 27.25%.

Insider Buying and Selling at Cognizant Technology Solutions

In other news, CEO Ravi Kumar Singisetti sold 2,950 shares of the firm’s stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $85.06, for a total transaction of $250,927.00. Following the completion of the transaction, the chief executive officer directly owned 75,209 shares of the company’s stock, valued at $6,397,277.54. This trade represents a 3.77% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CAO John Sunshin Kim sold 2,500 shares of the business’s stock in a transaction on Thursday, December 4th. The stock was sold at an average price of $80.00, for a total value of $200,000.00. Following the completion of the transaction, the chief accounting officer directly owned 36,149 shares of the company’s stock, valued at approximately $2,891,920. This trade represents a 6.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 29,434 shares of company stock valued at $2,460,809 over the last three months. Company insiders own 0.32% of the company’s stock.

Hedge Funds Weigh In On Cognizant Technology Solutions

Several institutional investors and hedge funds have recently bought and sold shares of CTSH. Jacobi Capital Management LLC increased its holdings in shares of Cognizant Technology Solutions by 7.8% during the 4th quarter. Jacobi Capital Management LLC now owns 8,483 shares of the information technology service provider’s stock worth $704,000 after buying an additional 612 shares during the last quarter. FORA Capital LLC raised its holdings in shares of Cognizant Technology Solutions by 282.4% in the 4th quarter. FORA Capital LLC now owns 14,884 shares of the information technology service provider’s stock worth $1,235,000 after purchasing an additional 10,992 shares during the period. Transamerica Financial Advisors LLC lifted its stake in shares of Cognizant Technology Solutions by 13.8% in the 4th quarter. Transamerica Financial Advisors LLC now owns 2,898 shares of the information technology service provider’s stock valued at $241,000 after purchasing an additional 351 shares in the last quarter. UMB Bank n.a. grew its holdings in shares of Cognizant Technology Solutions by 29.6% during the 4th quarter. UMB Bank n.a. now owns 2,502 shares of the information technology service provider’s stock worth $208,000 after purchasing an additional 571 shares during the period. Finally, Quarry LP increased its position in Cognizant Technology Solutions by 23.9% during the 4th quarter. Quarry LP now owns 844 shares of the information technology service provider’s stock worth $70,000 after purchasing an additional 163 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.