Cognizant Technology Solutions (NASDAQ:CTSH) Price Target Cut to $74.00 by Analysts at Nomura

Cognizant Technology Solutions (NASDAQ:CTSH) had its price objective reduced by equities research analysts at Nomura from $93.00 to $74.00 in a research report issued on Wednesday,MarketScreener reports. The brokerage presently has a “buy” rating on the information technology service provider’s stock. Nomura’s price objective suggests a potential upside of 84.10% from the stock’s previous close.

A number of other research firms also recently weighed in on CTSH. TD Cowen reduced their price target on Cognizant Technology Solutions from $62.00 to $47.00 and set a “hold” rating for the company in a research report on Friday, June 26th. Citigroup boosted their price objective on shares of Cognizant Technology Solutions from $51.00 to $55.00 and gave the stock a “neutral” rating in a research report on Monday, June 8th. Daiwa Securities Group reduced their target price on shares of Cognizant Technology Solutions from $65.00 to $42.00 and set a “neutral” rating for the company in a report on Wednesday, June 24th. UBS Group lowered their price target on shares of Cognizant Technology Solutions from $60.00 to $55.00 in a research note on Monday, May 11th. Finally, JPMorgan Chase & Co. reduced their price objective on shares of Cognizant Technology Solutions from $92.00 to $74.00 and set an “overweight” rating for the company in a research note on Tuesday, April 28th. Eleven analysts have rated the stock with a Buy rating and fourteen have given a Hold rating to the stock. Based on data from MarketBeat, Cognizant Technology Solutions has an average rating of “Hold” and a consensus price target of $68.35.

Cognizant Technology Solutions Stock Up 3.8%

CTSH stock traded up $1.47 during trading hours on Wednesday, reaching $40.20. 1,405,923 shares of the stock were exchanged, compared to its average volume of 8,061,543. The firm’s 50-day moving average is $50.57 and its 200-day moving average is $64.69. Cognizant Technology Solutions has a 12 month low of $37.08 and a 12 month high of $87.03. The company has a market cap of $19.05 billion, a price-to-earnings ratio of 8.73, a PEG ratio of 0.82 and a beta of 0.81. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.23 and a quick ratio of 2.23.

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

Cognizant Technology Solutions declared that its Board of Directors has authorized a share buyback program on Monday, May 18th that permits the company to buyback $2.00 billion in outstanding shares. This buyback authorization permits the information technology service provider to repurchase up to 9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Institutional Trading of Cognizant Technology Solutions

A number of large investors have recently added to or reduced their stakes in the company. Flagship Harbor Advisors LLC bought a new stake in shares of Cognizant Technology Solutions in the 4th quarter valued at about $28,000. Physician Wealth Advisors Inc. increased its stake in shares of Cognizant Technology Solutions by 165.1% during the fourth quarter. Physician Wealth Advisors Inc. now owns 342 shares of the information technology service provider’s stock worth $28,000 after purchasing an additional 213 shares during the period. Lodestone Wealth Management LLC bought a new stake in Cognizant Technology Solutions in the 4th quarter valued at $28,000. Prosperity Bancshares Inc acquired a new position in Cognizant Technology Solutions in the 4th quarter valued at $29,000. Finally, Towne Trust Company N.A increased its position in Cognizant Technology Solutions by 85.0% during the 4th quarter. Towne Trust Company N.A now owns 370 shares of the information technology service provider’s stock worth $31,000 after buying an additional 170 shares during the period. Institutional investors and hedge funds own 92.44% of the company’s stock.

About Cognizant Technology Solutions

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.