Cognizant Technology Solutions Co. (NASDAQ:CTSH) Receives Consensus Recommendation of “Hold” from Analysts

Shares of Cognizant Technology Solutions Co. (NASDAQ:CTSH) have earned a consensus recommendation of “Hold” from the seventeen ratings firms that are presently covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a sell recommendation, twelve have issued a hold recommendation and four have issued a buy recommendation on the company. The average 12 month price objective among brokers that have issued a report on the stock in the last year is $76.94.

Several brokerages recently commented on CTSH. Guggenheim began coverage on shares of Cognizant Technology Solutions in a research report on Tuesday, March 19th. They set a “neutral” rating and a $80.00 price objective on the stock. BMO Capital Markets cut their price objective on shares of Cognizant Technology Solutions from $88.00 to $85.00 and set a “market perform” rating on the stock in a research report on Wednesday, February 7th. Societe Generale reaffirmed a “sell” rating and set a $67.00 price target on shares of Cognizant Technology Solutions in a report on Friday, January 5th. Susquehanna reaffirmed a “neutral” rating and set a $80.00 price target (down previously from $87.00) on shares of Cognizant Technology Solutions in a report on Monday, April 1st. Finally, Mizuho assumed coverage on shares of Cognizant Technology Solutions in a research note on Tuesday, January 30th. They issued a “neutral” rating and a $82.00 price objective on the stock.

Insider Activity at Cognizant Technology Solutions

In related news, EVP Kathryn Diaz sold 900 shares of the firm’s stock in a transaction on Tuesday, March 12th. The shares were sold at an average price of $77.06, for a total value of $69,354.00. Following the completion of the transaction, the executive vice president now directly owns 8,312 shares of the company’s stock, valued at $640,522.72. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. 0.27% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Turtle Creek Wealth Advisors LLC purchased a new position in Cognizant Technology Solutions during the fourth quarter worth $26,000. NBC Securities Inc. purchased a new position in Cognizant Technology Solutions during the third quarter worth $27,000. Spire Wealth Management boosted its stake in Cognizant Technology Solutions by 79.1% during the fourth quarter. Spire Wealth Management now owns 437 shares of the information technology service provider’s stock worth $34,000 after buying an additional 193 shares during the period. Neo Ivy Capital Management purchased a new position in Cognizant Technology Solutions during the fourth quarter worth $40,000. Finally, Quarry LP bought a new stake in shares of Cognizant Technology Solutions during the fourth quarter worth $43,000. 92.44% of the stock is owned by hedge funds and other institutional investors.

Cognizant Technology Solutions Stock Performance

Shares of CTSH stock opened at $67.44 on Wednesday. Cognizant Technology Solutions has a 12 month low of $58.09 and a 12 month high of $80.09. The stock has a market cap of $33.57 billion, a PE ratio of 16.06, a price-to-earnings-growth ratio of 1.54 and a beta of 1.06. The company has a current ratio of 2.25, a quick ratio of 2.25 and a debt-to-equity ratio of 0.05. The company’s fifty day moving average price is $74.45 and its 200-day moving average price is $72.58.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its earnings results on Tuesday, February 6th. The information technology service provider reported $1.18 EPS for the quarter, beating analysts’ consensus estimates of $1.04 by $0.14. Cognizant Technology Solutions had a net margin of 10.98% and a return on equity of 17.83%. The firm had revenue of $4.76 billion for the quarter, compared to analysts’ expectations of $4.76 billion. During the same quarter in the previous year, the business posted $1.01 EPS. The company’s quarterly revenue was down 1.7% on a year-over-year basis. On average, equities analysts expect that Cognizant Technology Solutions will post 4.59 EPS for the current fiscal year.

Cognizant Technology Solutions Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, February 28th. Investors of record on Tuesday, February 20th were issued a $0.30 dividend. The ex-dividend date was Friday, February 16th. This is a positive change from Cognizant Technology Solutions’s previous quarterly dividend of $0.29. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.78%. Cognizant Technology Solutions’s dividend payout ratio (DPR) is 28.57%.

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.