William Blair Has Optimistic Outlook of CTSH FY2024 Earnings

Cognizant Technology Solutions Co. (NASDAQ:CTSH - Free Report) - Equities research analysts at William Blair boosted their FY2024 earnings estimates for Cognizant Technology Solutions in a note issued to investors on Wednesday, October 30th. William Blair analyst M. Nolan now anticipates that the information technology service provider will post earnings of $4.64 per share for the year, up from their prior forecast of $4.60. The consensus estimate for Cognizant Technology Solutions' current full-year earnings is $4.65 per share.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last released its quarterly earnings data on Wednesday, October 30th. The information technology service provider reported $1.25 earnings per share for the quarter, topping analysts' consensus estimates of $1.15 by $0.10. Cognizant Technology Solutions had a net margin of 11.60% and a return on equity of 17.08%. The company had revenue of $5.04 billion for the quarter, compared to analysts' expectations of $4.99 billion. During the same quarter last year, the company earned $1.16 earnings per share. The firm's revenue for the quarter was up 3.0% on a year-over-year basis.

CTSH has been the topic of a number of other reports. Daiwa America raised shares of Cognizant Technology Solutions to a "hold" rating in a report on Tuesday, August 27th. The Goldman Sachs Group reaffirmed a "neutral" rating and issued a $76.00 target price on shares of Cognizant Technology Solutions in a report on Thursday, September 12th. Royal Bank of Canada lifted their target price on shares of Cognizant Technology Solutions from $81.00 to $82.00 and gave the company a "sector perform" rating in a report on Wednesday, August 28th. Bank of America upgraded shares of Cognizant Technology Solutions from an "underperform" rating to a "neutral" rating and lifted their price objective for the company from $73.00 to $75.00 in a research report on Wednesday, August 7th. Finally, Mizuho lifted their price objective on shares of Cognizant Technology Solutions from $83.00 to $84.00 and gave the company a "neutral" rating in a research report on Friday. One investment analyst has rated the stock with a sell rating, nineteen have issued a hold rating and three have given a buy rating to the company's stock. According to data from MarketBeat.com, Cognizant Technology Solutions currently has a consensus rating of "Hold" and an average target price of $78.37.

Cognizant Technology Solutions Stock Performance

Shares of Cognizant Technology Solutions stock traded up $0.29 during trading on Monday, reaching $74.90. The company's stock had a trading volume of 3,693,092 shares, compared to its average volume of 3,831,016. The company has a 50-day moving average price of $76.32 and a two-hundred day moving average price of $72.10. The firm has a market cap of $37.12 billion, a PE ratio of 16.57, a P/E/G ratio of 2.08 and a beta of 1.05. Cognizant Technology Solutions has a fifty-two week low of $63.79 and a fifty-two week high of $80.27. The company has a current ratio of 2.23, a quick ratio of 2.46 and a debt-to-equity ratio of 0.08.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Addison Advisors LLC increased its stake in shares of 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 acquiring an additional 189 shares during the last quarter. 1620 Investment Advisors Inc. acquired a new stake in Cognizant Technology Solutions during the 2nd quarter worth approximately $25,000. LRI Investments LLC acquired a new stake in Cognizant Technology Solutions during the 1st quarter worth approximately $28,000. Ashton Thomas Securities LLC acquired a new stake in Cognizant Technology Solutions during the 3rd quarter worth approximately $30,000. Finally, Pinnacle Bancorp Inc. increased its position in Cognizant Technology Solutions by 47.4% during the 3rd quarter. Pinnacle Bancorp Inc. now owns 454 shares of the information technology service provider's stock worth $35,000 after purchasing an additional 146 shares in the last quarter. Institutional investors and hedge funds own 92.44% of the company's stock.

Insider Activity at Cognizant Technology Solutions

In related news, CEO Ravi Kumar Singisetti sold 6,728 shares of the business's stock in a transaction dated Tuesday, August 6th. The shares were sold at an average price of $73.66, for a total value of $495,584.48. Following the completion of the transaction, the chief executive officer now owns 46,427 shares of the company's stock, valued at approximately $3,419,812.82. The trade was a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.26% of the stock is currently owned by corporate insiders.

Cognizant Technology Solutions Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, November 27th. Investors of record on Tuesday, November 19th will be paid a $0.30 dividend. This represents a $1.20 annualized dividend and a yield of 1.60%. The ex-dividend date of this dividend is Tuesday, November 19th. Cognizant Technology Solutions's payout ratio is 26.55%.

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.