Cognizant Technology Solutions Co. (NASDAQ:CTSH) Expected to Post Quarterly Sales of $4.36 Billion


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Wall Street brokerages expect Cognizant Technology Solutions Co. (NASDAQ:CTSH) to post $4.36 billion in sales for the current fiscal quarter, according to Zacks. Seven analysts have provided estimates for Cognizant Technology Solutions’ earnings. The highest sales estimate is $4.37 billion and the lowest is $4.34 billion. Cognizant Technology Solutions posted sales of $4.23 billion during the same quarter last year, which would indicate a positive year-over-year growth rate of 3.1%. The business is expected to announce its next quarterly earnings results after the market closes on Wednesday, May 5th.

On average, analysts expect that Cognizant Technology Solutions will report full-year sales of $17.86 billion for the current year, with estimates ranging from $17.66 billion to $18.04 billion. For the next financial year, analysts expect that the company will post sales of $18.82 billion, with estimates ranging from $18.57 billion to $19.04 billion. Zacks’ sales calculations are a mean average based on a survey of analysts that cover Cognizant Technology Solutions.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Tuesday, February 2nd. The information technology service provider reported $0.67 EPS for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.23). The business had revenue of $4.18 billion during the quarter, compared to analysts’ expectations of $4.25 billion. Cognizant Technology Solutions had a net margin of 8.78% and a return on equity of 19.04%. The company’s revenue was down 2.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.07 EPS.

Several equities analysts recently issued reports on CTSH shares. Deutsche Bank Aktiengesellschaft boosted their price target on Cognizant Technology Solutions from $71.00 to $79.00 and gave the company a “hold” rating in a research report on Monday, February 1st. Berenberg Bank raised their target price on shares of Cognizant Technology Solutions from $70.00 to $77.00 and gave the stock a “hold” rating in a research note on Tuesday, February 2nd. Zacks Investment Research upgraded shares of Cognizant Technology Solutions from a “hold” rating to a “buy” rating and set a $84.00 price target on the stock in a research note on Wednesday, February 3rd. BMO Capital Markets raised their price objective on shares of Cognizant Technology Solutions from $82.00 to $90.00 and gave the company an “outperform” rating in a research report on Monday, February 1st. Finally, Wolfe Research upgraded Cognizant Technology Solutions from an “underperform” rating to a “peer perform” rating in a research report on Wednesday, January 6th. Three investment analysts have rated the stock with a sell rating, nine have issued a hold rating and fourteen have assigned a buy rating to the company’s stock. Cognizant Technology Solutions has an average rating of “Hold” and a consensus target price of $77.39.

NASDAQ:CTSH traded down $0.95 during mid-day trading on Thursday, reaching $81.25. 3,875,780 shares of the stock were exchanged, compared to its average volume of 3,015,516. The stock has a market capitalization of $43.11 billion, a P/E ratio of 30.05, a P/E/G ratio of 1.83 and a beta of 1.12. Cognizant Technology Solutions has a 1 year low of $47.39 and a 1 year high of $82.73. The company has a 50 day simple moving average of $79.07 and a 200-day simple moving average of $77.67. The company has a quick ratio of 2.61, a current ratio of 2.62 and a debt-to-equity ratio of 0.22.

The firm also recently disclosed a quarterly dividend, which was paid on Friday, February 26th. Stockholders of record on Thursday, February 18th were paid a dividend of $0.24 per share. This represents a $0.96 dividend on an annualized basis and a dividend yield of 1.18%. This is a boost from Cognizant Technology Solutions’s previous quarterly dividend of $0.22. The ex-dividend date of this dividend was Wednesday, February 17th. Cognizant Technology Solutions’s dividend payout ratio (DPR) is 24.06%.

In other Cognizant Technology Solutions news, insider Malcolm Frank sold 471 shares of the stock in a transaction on Tuesday, March 16th. The stock was sold at an average price of $78.45, for a total transaction of $36,949.95. Following the sale, the insider now owns 44,065 shares in the company, valued at approximately $3,456,899.25. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.31% of the stock is currently owned by corporate insiders.

Several institutional investors and hedge funds have recently bought and sold shares of the stock. CLARET ASSET MANAGEMENT Corp boosted its stake in shares of Cognizant Technology Solutions by 15.0% during the 1st quarter. CLARET ASSET MANAGEMENT Corp now owns 230,378 shares of the information technology service provider’s stock worth $17,997,000 after purchasing an additional 30,025 shares during the last quarter. Envestnet Asset Management Inc. lifted its holdings in shares of Cognizant Technology Solutions by 0.7% during the 1st quarter. Envestnet Asset Management Inc. now owns 954,525 shares of the information technology service provider’s stock worth $74,567,000 after acquiring an additional 6,822 shares during the period. Diamond Hill Capital Management Inc. boosted its position in shares of Cognizant Technology Solutions by 16.2% in the first quarter. Diamond Hill Capital Management Inc. now owns 5,526,932 shares of the information technology service provider’s stock worth $431,764,000 after acquiring an additional 771,351 shares during the last quarter. Victory Capital Management Inc. grew its holdings in Cognizant Technology Solutions by 1.1% in the first quarter. Victory Capital Management Inc. now owns 655,925 shares of the information technology service provider’s stock valued at $51,241,000 after purchasing an additional 7,345 shares during the period. Finally, Ascension Asset Management LLC purchased a new position in Cognizant Technology Solutions during the first quarter worth approximately $1,522,000. 87.66% of the stock is currently owned by institutional investors and hedge funds.

Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions Corp. engages in the provision of information technology, consulting, and business process outsourcing services. It operates through the following business segments: Financial Services; Healthcare; Products and Resources; and Communications, Media, and Technology. The Financial Services segment consists of banking and insurance services.

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Earnings History and Estimates for Cognizant Technology Solutions (NASDAQ:CTSH)

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