Rakuten Investment Management Inc. Buys 54,463 Shares of Cognizant Technology Solutions Corporation $CTSH

Rakuten Investment Management Inc. raised its stake in Cognizant Technology Solutions Corporation (NASDAQ:CTSH) by 154.2% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 89,787 shares of the information technology service provider’s stock after buying an additional 54,463 shares during the period. Rakuten Investment Management Inc.’s holdings in Cognizant Technology Solutions were worth $7,632,000 as of its most recent SEC filing.

Other institutional investors have also recently made changes to their positions in the company. Temasek Holdings Private Ltd bought a new stake in shares of Cognizant Technology Solutions in the 3rd quarter valued at about $55,217,000. OFI Invest Asset Management bought a new stake in shares of Cognizant Technology Solutions in the 4th quarter valued at about $8,421,000. Vanguard Group Inc. grew its position in shares of Cognizant Technology Solutions by 0.8% in the 3rd quarter. Vanguard Group Inc. now owns 60,348,442 shares of the information technology service provider’s stock valued at $4,047,570,000 after buying an additional 493,912 shares during the last quarter. Pzena Investment Management LLC grew its holdings in Cognizant Technology Solutions by 1.5% during the 3rd quarter. Pzena Investment Management LLC now owns 17,710,868 shares of the information technology service provider’s stock worth $1,187,868,000 after acquiring an additional 260,177 shares during the period. Finally, Arrowstreet Capital Limited Partnership grew its holdings in Cognizant Technology Solutions by 34.3% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 2,874,274 shares of the information technology service provider’s stock worth $238,565,000 after acquiring an additional 734,337 shares during the period. Institutional investors own 92.44% of the company’s stock.

Analyst Ratings Changes

A number of analysts have weighed in on the company. Berenberg Bank decreased their price target on Cognizant Technology Solutions from $107.00 to $81.00 and set a “buy” rating for the company in a report on Monday, May 11th. Wells Fargo & Company decreased their price target on Cognizant Technology Solutions from $98.00 to $83.00 and set an “overweight” rating for the company in a report on Thursday, April 30th. Citigroup increased their price target on Cognizant Technology Solutions from $51.00 to $55.00 and gave the stock a “neutral” rating in a report on Monday, June 8th. Mizuho decreased their price target on Cognizant Technology Solutions from $87.00 to $68.00 and set a “neutral” rating for the company in a report on Wednesday, May 6th. Finally, Susquehanna decreased their price target on Cognizant Technology Solutions from $98.00 to $88.00 and set a “positive” rating for the company in a report on Friday, May 1st. Eleven analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company’s stock. According to data from MarketBeat, Cognizant Technology Solutions presently has an average rating of “Hold” and an average price target of $73.50.

Cognizant Technology Solutions Stock Performance

Shares of CTSH opened at $51.05 on Wednesday. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.23 and a quick ratio of 2.23. The stock has a 50-day moving average of $54.32 and a 200-day moving average of $67.35. The company has a market cap of $24.19 billion, a PE ratio of 11.10, a P/E/G ratio of 1.07 and a beta of 0.81. Cognizant Technology Solutions Corporation has a one year low of $45.48 and a one year high of $87.03.

Cognizant Technology Solutions (NASDAQ:CTSH) last issued its earnings results on Wednesday, April 29th. The information technology service provider reported $1.40 EPS for the quarter, beating the consensus estimate of $1.33 by $0.07. The company had revenue of $5.41 billion during the quarter, compared to the consensus estimate of $5.41 billion. Cognizant Technology Solutions had a return on equity of 17.50% and a net margin of 10.41%.The firm’s revenue for the quarter was up 5.8% compared to the same quarter last year. During the same period last year, the business posted $1.23 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. On average, equities research analysts predict that Cognizant Technology Solutions Corporation will post 5.7 EPS for the current fiscal year.

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

Cognizant Technology Solutions Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, May 27th. Stockholders of record on Monday, May 18th were paid a $0.33 dividend. The ex-dividend date was Monday, May 18th. This represents a $1.32 annualized dividend and a dividend yield of 2.6%. Cognizant Technology Solutions’s dividend payout ratio (DPR) is currently 28.70%.

Cognizant Technology Solutions 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.