Cognizant Technology Solutions (NASDAQ:CTSH) Sets New 12-Month Low Following Analyst Downgrade

Cognizant Technology Solutions Co. (NASDAQ:CTSHGet Rating)’s share price hit a new 52-week low during trading on Thursday after Robert W. Baird lowered their price target on the stock from $78.00 to $76.00. Robert W. Baird currently has an outperform rating on the stock. Cognizant Technology Solutions traded as low as $59.97 and last traded at $60.45, with a volume of 12745 shares changing hands. The stock had previously closed at $60.08.

Other equities analysts have also issued reports about the stock. UBS Group decreased their price objective on shares of Cognizant Technology Solutions from $89.00 to $76.00 and set a “neutral” rating for the company in a research report on Thursday, July 28th. Morgan Stanley reduced their price target on shares of Cognizant Technology Solutions from $75.00 to $65.00 and set an “equal weight” rating for the company in a research report on Thursday, July 28th. Susquehanna reduced their price target on shares of Cognizant Technology Solutions from $100.00 to $98.00 in a research report on Thursday, July 28th. Citigroup reduced their price target on shares of Cognizant Technology Solutions from $88.00 to $77.00 in a research report on Thursday, July 28th. Finally, JPMorgan Chase & Co. lowered shares of Cognizant Technology Solutions from an “overweight” rating to a “neutral” rating and reduced their price target for the stock from $82.00 to $77.00 in a research report on Thursday, July 28th. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating and five have assigned a buy rating to the company’s stock. Based on data from MarketBeat, Cognizant Technology Solutions has an average rating of “Hold” and an average target price of $83.13.

Insider Activity at Cognizant Technology Solutions

In related news, Director Zein Abdalla sold 4,368 shares of Cognizant Technology Solutions stock in a transaction on Friday, September 9th. The shares were sold at an average price of $65.44, for a total value of $285,841.92. Following the sale, the director now owns 13,556 shares of the company’s stock, valued at approximately $887,104.64. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.34% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Cognizant Technology Solutions

Several institutional investors and hedge funds have recently added to or reduced their stakes in CTSH. Norges Bank purchased a new position in shares of Cognizant Technology Solutions during the 4th quarter worth $465,540,000. Wellington Management Group LLP raised its holdings in Cognizant Technology Solutions by 40.6% in the 1st quarter. Wellington Management Group LLP now owns 12,251,722 shares of the information technology service provider’s stock valued at $1,098,612,000 after buying an additional 3,537,761 shares during the period. Capital Research Global Investors raised its holdings in Cognizant Technology Solutions by 11.5% in the 1st quarter. Capital Research Global Investors now owns 10,619,591 shares of the information technology service provider’s stock valued at $952,259,000 after buying an additional 1,095,473 shares during the period. Vanguard Group Inc. raised its holdings in Cognizant Technology Solutions by 2.6% in the 1st quarter. Vanguard Group Inc. now owns 42,692,149 shares of the information technology service provider’s stock valued at $3,828,205,000 after buying an additional 1,068,699 shares during the period. Finally, Lazard Asset Management LLC grew its position in Cognizant Technology Solutions by 175.2% in the 2nd quarter. Lazard Asset Management LLC now owns 1,503,004 shares of the information technology service provider’s stock valued at $101,436,000 after acquiring an additional 956,946 shares in the last quarter. Institutional investors and hedge funds own 90.67% of the company’s stock.

Cognizant Technology Solutions Stock Performance

The company has a market capitalization of $30.96 billion, a price-to-earnings ratio of 13.87, a P/E/G ratio of 1.24 and a beta of 1.06. The company has a debt-to-equity ratio of 0.05, a quick ratio of 2.23 and a current ratio of 2.23. The firm has a 50-day simple moving average of $66.09 and a two-hundred day simple moving average of $74.00.

Cognizant Technology Solutions (NASDAQ:CTSHGet Rating) last released its earnings results on Wednesday, July 27th. The information technology service provider reported $1.14 earnings per share for the quarter, beating the consensus estimate of $1.09 by $0.05. The company had revenue of $4.91 billion during the quarter, compared to the consensus estimate of $4.92 billion. Cognizant Technology Solutions had a return on equity of 19.36% and a net margin of 11.74%. Cognizant Technology Solutions’s revenue was up 7.0% compared to the same quarter last year. During the same period in the previous year, the company posted $0.99 EPS. On average, sell-side analysts anticipate that Cognizant Technology Solutions Co. will post 4.55 EPS for the current fiscal year.

Cognizant Technology Solutions Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, August 30th. Shareholders of record on Friday, August 19th were given a $0.27 dividend. This represents a $1.08 annualized dividend and a yield of 1.81%. The ex-dividend date of this dividend was Thursday, August 18th. Cognizant Technology Solutions’s dividend payout ratio is currently 25.06%.

About Cognizant Technology Solutions

(Get Rating)

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; Healthcare; Products and Resources; and Communications, Media and Technology.

Featured Stories

Receive News & Ratings for Cognizant Technology Solutions Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cognizant Technology Solutions and related companies with MarketBeat.com's FREE daily email newsletter.