Cognizant Technology Solutions Co. (NASDAQ:CTSH) Receives $79.47 Average Target Price from Brokerages

Shares of Cognizant Technology Solutions Co. (NASDAQ:CTSH) have earned a consensus rating of “Hold” from the twenty brokerages that are currently covering the company, MarketBeat Ratings reports. One research analyst has rated the stock with a sell recommendation, sixteen have assigned a hold recommendation and three have given a buy recommendation to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $79.47.

A number of research firms have recently commented on CTSH. StockNews.com cut shares of Cognizant Technology Solutions from a “buy” rating to a “hold” rating in a report on Friday, November 8th. Jefferies Financial Group started coverage on Cognizant Technology Solutions in a report on Wednesday, August 28th. They issued a “buy” rating and a $90.00 price target for the company. Needham & Company LLC reissued a “hold” rating on shares of Cognizant Technology Solutions in a research note on Thursday, October 31st. Mizuho lifted their target price on Cognizant Technology Solutions from $83.00 to $84.00 and gave the company a “neutral” rating in a research report on Friday, November 1st. Finally, Daiwa America raised Cognizant Technology Solutions to a “hold” rating in a research report on Tuesday, August 27th.

Cognizant Technology Solutions Stock Performance

Cognizant Technology Solutions stock opened at $80.49 on Thursday. Cognizant Technology Solutions has a 1-year low of $63.79 and a 1-year high of $82.41. The company’s 50-day moving average is $77.45 and its 200 day moving average is $73.74. The firm has a market capitalization of $39.91 billion, a P/E ratio of 17.81, a price-to-earnings-growth ratio of 2.23 and a beta of 1.05. 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 issued its quarterly earnings results on Wednesday, October 30th. The information technology service provider reported $1.25 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.15 by $0.10. The firm had revenue of $5.04 billion during the quarter, compared to analyst estimates of $4.99 billion. Cognizant Technology Solutions had a return on equity of 17.08% and a net margin of 11.60%. Cognizant Technology Solutions’s quarterly revenue was up 3.0% compared to the same quarter last year. During the same period last year, the company earned $1.16 EPS. Research analysts forecast that Cognizant Technology Solutions will post 4.66 EPS for the current year.

Cognizant Technology Solutions Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, November 27th. Stockholders of record on Tuesday, November 19th were given a $0.30 dividend. The ex-dividend date of this dividend was Tuesday, November 19th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.49%. Cognizant Technology Solutions’s payout ratio is 26.55%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. Pinnacle Bancorp Inc. grew its stake in shares of Cognizant Technology Solutions by 47.4% during the third quarter. Pinnacle Bancorp Inc. now owns 454 shares of the information technology service provider’s stock worth $35,000 after acquiring an additional 146 shares during the last quarter. Benjamin Edwards Inc. grew its position in Cognizant Technology Solutions by 42.1% during the 2nd quarter. Benjamin Edwards Inc. now owns 533 shares of the information technology service provider’s stock worth $36,000 after purchasing an additional 158 shares during the last quarter. Addison Advisors LLC increased its stake in Cognizant Technology Solutions by 127.7% during the 3rd quarter. Addison Advisors LLC now owns 337 shares of the information technology service provider’s stock valued at $26,000 after purchasing an additional 189 shares in the last quarter. Meeder Asset Management Inc. raised its holdings in shares of Cognizant Technology Solutions by 32.5% in the third quarter. Meeder Asset Management Inc. now owns 786 shares of the information technology service provider’s stock worth $61,000 after buying an additional 193 shares during the last quarter. Finally, V Square Quantitative Management LLC lifted its stake in shares of Cognizant Technology Solutions by 1.8% during the third quarter. V Square Quantitative Management LLC now owns 11,169 shares of the information technology service provider’s stock worth $862,000 after buying an additional 194 shares during the period. 92.44% of the stock is owned by institutional investors and hedge funds.

About Cognizant Technology Solutions

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.