Cognizant Technology Solutions Corporation (NASDAQ:CTSH) Stock Has Average Price Target of $68.04

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) has earned a consensus recommendation of “Hold” from the twenty-four research firms that are presently covering the stock, MarketBeat.com reports. Fourteen research analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average 12-month price target among brokers that have issued a report on the stock in the last year is $67.96.

Several equities analysts recently commented on the stock. Wedbush reaffirmed an “outperform” rating and set a $70.00 price target on shares of Cognizant Technology Solutions in a research report on Friday, October 9th. Weiss Ratings upgraded shares of Cognizant Technology Solutions from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, October 19th. Daiwa Securities Group boosted their price objective on shares of Cognizant Technology Solutions from $42.00 to $60.00 and gave the company a “neutral” rating in a research note on Friday, September 25th. TD Cowen restated a “hold” rating and set a $60.00 price objective (up from $54.00) on shares of Cognizant Technology Solutions in a report on Tuesday, October 13th. Finally, Morgan Stanley dropped their price objective on Cognizant Technology Solutions from $70.00 to $68.00 and set an “equal weight” rating for the company in a report on Friday.

Cognizant Technology Solutions Stock Performance

NASDAQ CTSH opened at $65.11 on Thursday. The business’s 50-day moving average price is $62.20 and its 200 day moving average price is $59.29. The company has a current ratio of 2.22, a quick ratio of 2.18 and a debt-to-equity ratio of 0.11. Cognizant Technology Solutions has a twelve month low of $37.08 and a twelve month high of $87.03. The company has a market capitalization of $29.33 billion, a PE ratio of 11.88, a price-to-earnings-growth ratio of 1.21 and a beta of 0.86.

Cognizant Technology Solutions (NASDAQ:CTSH) last posted its quarterly earnings results on Thursday, October 29th. The information technology service provider reported $1.49 EPS for the quarter, beating the consensus estimate of $1.46 by $0.03. Cognizant Technology Solutions had a return on equity of 17.72% and a net margin of 11.75%. The company had revenue of $5.66 billion during the quarter, compared to analysts’ expectations of $5.64 billion. During the same quarter in the previous year, the business earned $1.39 EPS. The firm’s revenue was up 4.6% on a year-over-year basis. On average, research analysts predict that Cognizant Technology Solutions will post 5.76 earnings per share for the current year.

Cognizant Technology Solutions Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, November 25th. Investors of record on Friday, November 13th will be issued a $0.33 dividend. The ex-dividend date is Friday, November 13th. 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 24.09%.

Trending Headlines about Cognizant Technology Solutions

Here are the key news stories impacting Cognizant Technology Solutions this week:

• Positive Sentiment: Third-quarter earnings exceeded expectations. Adjusted EPS was $1.49 versus the $1.46 consensus, while revenue reached $5.66 billion, slightly above estimates and 4.6% higher year over year. Adjusted operating margin expanded to 16.3%, and free cash flow totaled $1.58 billion. Cognizant Reports Third Quarter 2026 Results
• Positive Sentiment: Cognizant is scaling its OpenAI business. The company created an OpenAI Frontier Capability Group with more than 25,000 professionals to deliver products such as ChatGPT and Codex. The initiative could support future demand as enterprises move generative AI into production, although no immediate revenue impact was provided. Cognizant OpenAI announcement
• Positive Sentiment: Shareholder returns remain supportive. Cognizant declared a quarterly dividend of $0.33 per share and repurchased approximately $258 million of stock during the quarter.
• Neutral Sentiment: Analyst views are mixed. Morgan Stanley lowered its price target to $68 and maintained an “equal weight” rating, while RBC raised its target to $55 but kept a “sector perform” rating.
• Negative Sentiment: Bookings raised concerns about future growth. Third-quarter bookings declined 7% year over year, and roughly four percentage points of reported revenue growth came from acquisitions and resold products, implying slower underlying growth. Cognizant bookings and AI analysis
• Negative Sentiment: 2026 guidance was narrowed to a modest growth range. Cognizant now expects constant-currency revenue growth of 4.0% to 4.4%, while ETFs were reported as net sellers, adding near-term trading pressure.

Institutional Investors Weigh In On Cognizant Technology Solutions

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Chicago Partners Investment Group LLC lifted its stake in shares of Cognizant Technology Solutions by 3.1% in the 3rd quarter. Chicago Partners Investment Group LLC now owns 7,427 shares of the information technology service provider’s stock valued at $524,000 after purchasing an additional 220 shares in the last quarter. Unison Advisors LLC grew its holdings in shares of Cognizant Technology Solutions by 0.8% during the 3rd quarter. Unison Advisors LLC now owns 30,620 shares of the information technology service provider’s stock worth $1,759,000 after purchasing an additional 235 shares during the period. Security National Bank of SO Dak increased its position in Cognizant Technology Solutions by 1.1% during the 2nd quarter. Security National Bank of SO Dak now owns 25,780 shares of the information technology service provider’s stock worth $998,000 after purchasing an additional 290 shares in the last quarter. Signature Equity Partners LLC increased its position in Cognizant Technology Solutions by 102.4% during the 1st quarter. Signature Equity Partners LLC now owns 599 shares of the information technology service provider’s stock worth $37,000 after purchasing an additional 303 shares in the last quarter. Finally, Pine Valley Investments Ltd Liability Co raised its holdings in Cognizant Technology Solutions by 3.6% in the first quarter. Pine Valley Investments Ltd Liability Co now owns 9,338 shares of the information technology service provider’s stock valued at $573,000 after buying an additional 322 shares during the period. 92.44% of the stock is currently owned by institutional investors and hedge funds.

Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions Corporation is a global information technology services and consulting company that helps organizations modernize their technology infrastructure, operations and customer experiences. The company serves businesses across industries including financial services, healthcare, life sciences, manufacturing, retail and communications.

Cognizant’s services include consulting, application development and modernization, cloud computing, data and artificial intelligence, digital engineering, cybersecurity and business process services.