Daiwa Securities Group Has Lowered Expectations for Cognizant Technology Solutions (NASDAQ:CTSH) Stock Price

Cognizant Technology Solutions (NASDAQ:CTSH) had its price objective decreased by research analysts at Daiwa Securities Group from $65.00 to $42.00 in a research report issued to clients and investors on Wednesday,MarketScreener reports. The brokerage presently has a “neutral” rating on the information technology service provider’s stock. Daiwa Securities Group’s target price would indicate a potential downside of 0.58% from the stock’s current price.

Other equities research analysts have also recently issued reports about the stock. HSBC decreased their price target on shares of Cognizant Technology Solutions from $98.00 to $80.00 in a report on Thursday, April 30th. Nomura boosted their price target on shares of Cognizant Technology Solutions from $92.00 to $93.00 and gave the company a “buy” rating in a report on Thursday, April 30th. Morgan Stanley set a $44.00 price target on Cognizant Technology Solutions and gave the company an “equal weight” rating in a research note on Tuesday. UBS Group decreased their price objective on shares of Cognizant Technology Solutions from $60.00 to $55.00 in a research note on Monday, May 11th. Finally, The Goldman Sachs Group set a $75.00 target price on Cognizant Technology Solutions in a research note on Wednesday, April 29th. Ten research analysts have rated the stock with a Buy rating and fourteen have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Cognizant Technology Solutions currently has a consensus rating of “Hold” and an average target price of $70.35.

Cognizant Technology Solutions Stock Up 3.2%

Shares of CTSH traded up $1.29 during mid-day trading on Wednesday, hitting $42.24. 1,994,821 shares of the company’s stock were exchanged, compared to its average volume of 7,833,845. The stock has a market cap of $20.02 billion, a price-to-earnings ratio of 9.14, a P/E/G ratio of 0.88 and a beta of 0.81. The firm has a fifty day moving average of $52.66 and a two-hundred day moving average of $66.15. The company has a quick ratio of 2.23, a current ratio of 2.23 and a debt-to-equity ratio of 0.04. Cognizant Technology Solutions has a twelve month low of $40.77 and a twelve month high of $87.03.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Wednesday, April 29th. The information technology service provider reported $1.40 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.33 by $0.07. The business had revenue of $5.41 billion during the quarter, compared to analyst estimates of $5.41 billion. Cognizant Technology Solutions had a net margin of 10.41% and a return on equity of 17.50%. Cognizant Technology Solutions’s quarterly revenue was up 5.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.23 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. On average, sell-side analysts forecast that Cognizant Technology Solutions will post 5.7 earnings per share for the current year.

Cognizant Technology Solutions declared that its Board of Directors has initiated a stock repurchase plan on Monday, May 18th that permits the company to repurchase $2.00 billion in shares. This repurchase authorization permits the information technology service provider to buy up to 9% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s leadership believes its shares are undervalued.

Institutional Trading of Cognizant Technology Solutions

Large investors have recently bought and sold shares of the business. Flagship Harbor Advisors LLC acquired a new stake in shares of Cognizant Technology Solutions in the 4th quarter valued at about $28,000. Physician Wealth Advisors Inc. grew its stake in shares of Cognizant Technology Solutions by 165.1% in the fourth quarter. Physician Wealth Advisors Inc. now owns 342 shares of the information technology service provider’s stock valued at $28,000 after buying an additional 213 shares in the last quarter. Lodestone Wealth Management LLC acquired a new position in shares of Cognizant Technology Solutions during the 4th quarter worth about $28,000. Prosperity Bancshares Inc acquired a new position in Cognizant Technology Solutions during the fourth quarter worth approximately $29,000. Finally, Towne Trust Company N.A raised its stake in Cognizant Technology Solutions by 85.0% in the fourth quarter. Towne Trust Company N.A now owns 370 shares of the information technology service provider’s stock valued at $31,000 after buying an additional 170 shares during the period. 92.44% of the stock is owned by institutional investors.

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.