Cognizant Technology Solutions (NASDAQ:CTSH) Given New $67.00 Price Target at Wells Fargo & Company

Cognizant Technology Solutions (NASDAQ:CTSH) had its price target hoisted by Wells Fargo & Company from $61.00 to $67.00 in a research report released on Thursday,Benzinga reports. Wells Fargo & Company currently has an overweight rating on the information technology service provider’s stock.

Several other brokerages have also recently issued reports on CTSH. Berenberg Bank set a $59.00 target price on shares of Cognizant Technology Solutions and gave the stock a “hold” rating in a report on Wednesday, June 17th. Robert W. Baird reduced their price target on shares of Cognizant Technology Solutions from $72.00 to $55.00 and set a “neutral” rating for the company in a report on Friday, July 10th. Wedbush raised shares of Cognizant Technology Solutions from a “neutral” rating to an “outperform” rating and upped their price target for the stock from $56.00 to $70.00 in a research report on Monday, June 8th. The Goldman Sachs Group set a $75.00 price objective on shares of Cognizant Technology Solutions in a research note on Wednesday, April 29th. Finally, JPMorgan Chase & Co. cut their price objective on shares of Cognizant Technology Solutions from $74.00 to $55.00 and set an “overweight” rating on the stock in a report on Friday, July 24th. Ten analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $63.17.

Cognizant Technology Solutions Price Performance

Shares of CTSH stock opened at $53.90 on Thursday. Cognizant Technology Solutions has a twelve month low of $37.08 and a twelve month high of $87.03. The company has a current ratio of 2.18, a quick ratio of 2.23 and a debt-to-equity ratio of 0.11. The stock has a fifty day simple moving average of $47.16 and a two-hundred day simple moving average of $58.58. The stock has a market capitalization of $25.54 billion, a price-to-earnings ratio of 11.59, a P/E/G ratio of 1.22 and a beta of 0.87.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its quarterly earnings results on Wednesday, July 29th. The information technology service provider reported $1.37 EPS for the quarter, missing the consensus estimate of $1.38 by ($0.01). The firm had revenue of $5.48 billion for the quarter, compared to analysts’ expectations of $5.48 billion. Cognizant Technology Solutions had a net margin of 10.26% and a return on equity of 17.70%. The business’s quarterly revenue was up 4.5% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.31 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.700-5.820 EPS. On average, analysts predict that Cognizant Technology Solutions will post 5.7 EPS for the current fiscal year.

Cognizant Technology Solutions declared that its board has initiated a stock repurchase plan on Monday, May 18th that authorizes the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization authorizes the information technology service provider to buy up to 9% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its shares are undervalued.

Cognizant Technology Solutions Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, August 25th. Shareholders of record on Tuesday, August 18th will be paid a $0.33 dividend. This represents a $1.32 annualized dividend and a yield of 2.4%. The ex-dividend date is Tuesday, August 18th. Cognizant Technology Solutions’s payout ratio is 28.70%.

Institutional Trading of Cognizant Technology Solutions

Several hedge funds have recently modified their holdings of the company. Norges Bank bought a new stake in shares of Cognizant Technology Solutions in the 4th quarter valued at about $690,959,000. GQG Partners LLC bought a new position in shares of Cognizant Technology Solutions during the 4th quarter worth approximately $673,651,000. Assenagon Asset Management S.A. raised its stake in shares of Cognizant Technology Solutions by 925.5% during the 2nd quarter. Assenagon Asset Management S.A. now owns 3,652,358 shares of the information technology service provider’s stock worth $141,456,000 after acquiring an additional 3,296,205 shares in the last quarter. Cibc World Markets Corp purchased a new stake in Cognizant Technology Solutions during the fourth quarter valued at approximately $234,671,000. Finally, Pzena Investment Management LLC lifted its position in Cognizant Technology Solutions by 14.9% during the first quarter. Pzena Investment Management LLC now owns 20,262,362 shares of the information technology service provider’s stock valued at $1,243,096,000 after acquiring an additional 2,633,683 shares during the last quarter. 92.44% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Cognizant Technology Solutions

Here are the key news stories impacting Cognizant Technology Solutions this week:

• Positive Sentiment: Management highlighted more than 8,000 AI engagements, growth in its AI platforms and a shift toward becoming an “AI builder.” The company is also organizing an OpenAI Codex hackathon involving 10,000 associates in India, supporting its strategy to scale AI-led services. Cognizant Q2 Earnings Call Focuses on AI Builder Shift
• Positive Sentiment: Second-quarter revenue increased 4.5% year over year to approximately $5.5 billion, led by 12% growth in Financial Services. Operating margins expanded, bookings rose 5% to $29.1 billion, and adjusted full-year EPS guidance was raised to $5.70-$5.82. Cognizant also repurchased about $1.1 billion of stock. Cognizant Reports Second Quarter 2026 Results
• Positive Sentiment: Analyst sentiment provided some support: Wells Fargo raised its price target to $67 and assigned an overweight rating, while Morgan Stanley increased its target based on Cognizant’s differentiated AI strategy. Morgan Stanley raises Cognizant price target
• Neutral Sentiment: Cognizant declared a quarterly dividend of $0.33 per share, with payment scheduled for August 25 for shareholders of record on August 18. Cognizant dividend announcement
• Negative Sentiment: Adjusted EPS of $1.37 narrowly missed the $1.38 consensus estimate. Higher interest costs contributed to earnings pressure despite revenue meeting expectations. Cognizant Q2 earnings miss
• Negative Sentiment: The company’s third-quarter revenue outlook of $5.6-$5.7 billion was below Wall Street expectations, reflecting cautious client spending on discretionary IT projects. Full-year revenue growth guidance was revised to 4.0%-5.5%, reinforcing concerns that AI investment is benefiting infrastructure spending more quickly than software and services demand. Cognizant forecasts weak quarterly revenue

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.