Cognizant Technology Solutions Co. (NASDAQ:CTSH) Receives Consensus Recommendation of “Hold” from Analysts

Cognizant Technology Solutions Co. (NASDAQ:CTSH) has been assigned an average recommendation of “Hold” from the twenty analysts that are currently covering the firm, MarketBeat Ratings reports. One analyst has rated the stock with a sell rating, fifteen have assigned a hold rating and four have assigned a buy rating to the company. The average 1 year price objective among brokerages that have issued ratings on the stock in the last year is $80.35.

A number of research firms have recently commented on CTSH. The Goldman Sachs Group restated a “neutral” rating and issued a $76.00 price target on shares of Cognizant Technology Solutions in a report on Thursday, September 12th. Royal Bank of Canada raised their target price on shares of Cognizant Technology Solutions from $81.00 to $82.00 and gave the stock a “sector perform” rating in a research report on Wednesday, August 28th. Needham & Company LLC reiterated a “hold” rating on shares of Cognizant Technology Solutions in a report on Thursday, October 31st. Barclays upgraded Cognizant Technology Solutions from an “equal weight” rating to an “overweight” rating and raised their price objective for the stock from $80.00 to $95.00 in a report on Tuesday, December 17th. Finally, JPMorgan Chase & Co. upped their target price on Cognizant Technology Solutions from $82.00 to $89.00 and gave the stock a “neutral” rating in a report on Friday, September 6th.

Cognizant Technology Solutions Stock Down 0.3 %

Shares of NASDAQ CTSH opened at $79.23 on Monday. The company has a market cap of $39.28 billion, a P/E ratio of 17.53, a PEG ratio of 2.24 and a beta of 1.06. The firm has a 50-day simple moving average of $78.64 and a two-hundred day simple moving average of $75.06. Cognizant Technology Solutions has a 1 year low of $63.79 and a 1 year high of $82.46. The company has a debt-to-equity ratio of 0.08, a current ratio of 2.23 and a quick ratio of 2.23.

Cognizant Technology Solutions (NASDAQ:CTSH) last posted its quarterly earnings data on Wednesday, October 30th. The information technology service provider reported $1.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.15 by $0.10. Cognizant Technology Solutions had a return on equity of 17.08% and a net margin of 11.60%. The company had revenue of $5.04 billion during the quarter, compared to analysts’ expectations of $4.99 billion. During the same quarter in the previous year, the business earned $1.16 EPS. Cognizant Technology Solutions’s revenue was up 3.0% compared to the same quarter last year. Research analysts anticipate that Cognizant Technology Solutions will post 4.66 earnings per share for the current year.

Cognizant Technology Solutions Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, November 27th. Shareholders of record on Tuesday, November 19th were paid a $0.30 dividend. The ex-dividend date was Tuesday, November 19th. This represents a $1.20 annualized dividend and a yield of 1.51%. Cognizant Technology Solutions’s dividend payout ratio (DPR) is 26.55%.

Insider Transactions at Cognizant Technology Solutions

In related news, CAO John Sunshin Kim sold 5,000 shares of the stock in a transaction that occurred on Tuesday, December 3rd. The shares were sold at an average price of $80.11, for a total value of $400,550.00. Following the completion of the transaction, the chief accounting officer now directly owns 39,022 shares of the company’s stock, valued at $3,126,052.42. This trade represents a 11.36 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 0.26% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of CTSH. Principal Financial Group Inc. grew its stake in Cognizant Technology Solutions by 5.0% during the 3rd quarter. Principal Financial Group Inc. now owns 665,305 shares of the information technology service provider’s stock valued at $51,348,000 after purchasing an additional 31,758 shares during the last quarter. Retirement Systems of Alabama boosted its position in Cognizant Technology Solutions by 3.5% in the third quarter. Retirement Systems of Alabama now owns 1,187,850 shares of the information technology service provider’s stock valued at $91,678,000 after buying an additional 40,226 shares during the last quarter. Wilmington Savings Fund Society FSB acquired a new position in Cognizant Technology Solutions in the 3rd quarter worth approximately $155,000. World Investment Advisors LLC raised its position in Cognizant Technology Solutions by 21.8% during the 3rd quarter. World Investment Advisors LLC now owns 5,634 shares of the information technology service provider’s stock worth $435,000 after buying an additional 1,010 shares during the last quarter. Finally, Tudor Financial Inc. acquired a new stake in Cognizant Technology Solutions during the 3rd quarter valued at approximately $225,000. Institutional investors and hedge funds own 92.44% of the company’s stock.

Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services in North America, Europe, and internationally. It operates through four segments: Financial Services, Health Sciences, Products and Resources, and Communications, Media and Technology.