William Blair Equities Analysts Lower Earnings Estimates for Cognizant Technology Solutions Co. (NASDAQ:CTSH)

Cognizant Technology Solutions Co. (NASDAQ:CTSH) – Research analysts at William Blair reduced their Q2 2024 EPS estimates for shares of Cognizant Technology Solutions in a report issued on Thursday, May 2nd. William Blair analyst M. Nolan now forecasts that the information technology service provider will post earnings of $1.08 per share for the quarter, down from their previous estimate of $1.11. The consensus estimate for Cognizant Technology Solutions’ current full-year earnings is $4.59 per share. William Blair also issued estimates for Cognizant Technology Solutions’ Q3 2024 earnings at $1.20 EPS, Q1 2025 earnings at $1.12 EPS, Q2 2025 earnings at $1.11 EPS, Q3 2025 earnings at $1.23 EPS and Q4 2025 earnings at $1.20 EPS.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its earnings results on Wednesday, May 1st. The information technology service provider reported $1.12 EPS for the quarter, beating analysts’ consensus estimates of $1.11 by $0.01. The business had revenue of $4.76 billion during the quarter, compared to analysts’ expectations of $4.72 billion. Cognizant Technology Solutions had a return on equity of 17.64% and a net margin of 10.84%. The business’s revenue was down 1.1% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.11 earnings per share.

Other analysts have also recently issued research reports about the stock. Jefferies Financial Group raised shares of Cognizant Technology Solutions from a “hold” rating to a “buy” rating and upped their price objective for the company from $70.00 to $85.00 in a research note on Thursday, January 11th. Royal Bank of Canada increased their price target on Cognizant Technology Solutions from $74.00 to $77.00 and gave the company a “sector perform” rating in a report on Wednesday, February 7th. Guggenheim initiated coverage on Cognizant Technology Solutions in a research note on Tuesday, March 19th. They set a “neutral” rating and a $80.00 price objective on the stock. Needham & Company LLC reaffirmed a “hold” rating on shares of Cognizant Technology Solutions in a research note on Thursday. Finally, StockNews.com cut shares of Cognizant Technology Solutions from a “buy” rating to a “hold” rating in a research report on Thursday. One investment analyst has rated the stock with a sell rating, fourteen have assigned a hold rating and four have assigned a buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $75.63.

Cognizant Technology Solutions Trading Down 0.0 %

Shares of CTSH stock opened at $66.25 on Friday. Cognizant Technology Solutions has a fifty-two week low of $60.26 and a fifty-two week high of $80.09. The firm has a market capitalization of $32.98 billion, a P/E ratio of 15.93, a PEG ratio of 1.49 and a beta of 1.08. The stock’s fifty day moving average is $72.58 and its two-hundred day moving average is $72.47. The company has a debt-to-equity ratio of 0.05, a quick ratio of 2.25 and a current ratio of 2.25.

Cognizant Technology Solutions Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, May 29th. Shareholders of record on Monday, May 20th will be issued a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a yield of 1.81%. The ex-dividend date of this dividend is Friday, May 17th. Cognizant Technology Solutions’s dividend payout ratio (DPR) is 28.85%.

Insider Transactions at Cognizant Technology Solutions

In related news, EVP Kathryn Diaz sold 900 shares of the company’s stock in a transaction that occurred on Tuesday, March 12th. The stock was sold at an average price of $77.06, for a total value of $69,354.00. Following the completion of the transaction, the executive vice president now directly owns 8,312 shares of the company’s stock, valued at $640,522.72. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.27% of the company’s stock.

Hedge Funds Weigh In On Cognizant Technology Solutions

Large investors have recently modified their holdings of the business. Vanguard Group Inc. lifted its position in shares of Cognizant Technology Solutions by 17.0% during the 4th quarter. Vanguard Group Inc. now owns 51,111,915 shares of the information technology service provider’s stock valued at $3,860,483,000 after acquiring an additional 7,445,089 shares during the period. JPMorgan Chase & Co. grew its holdings in Cognizant Technology Solutions by 32.8% in the third quarter. JPMorgan Chase & Co. now owns 17,663,814 shares of the information technology service provider’s stock valued at $1,196,547,000 after purchasing an additional 4,365,493 shares during the last quarter. Boston Partners increased its position in shares of Cognizant Technology Solutions by 3.0% in the third quarter. Boston Partners now owns 8,056,248 shares of the information technology service provider’s stock valued at $544,942,000 after buying an additional 231,782 shares in the last quarter. Northern Trust Corp raised its stake in shares of Cognizant Technology Solutions by 5.0% during the 3rd quarter. Northern Trust Corp now owns 6,177,547 shares of the information technology service provider’s stock worth $418,467,000 after buying an additional 294,415 shares during the last quarter. Finally, Dimensional Fund Advisors LP grew its stake in Cognizant Technology Solutions by 4.6% in the 4th quarter. Dimensional Fund Advisors LP now owns 5,433,474 shares of the information technology service provider’s stock valued at $410,406,000 after acquiring an additional 238,551 shares during the last quarter. 92.44% of the stock is owned by hedge funds and other institutional investors.

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.