Cognizant Technology Solutions (NASDAQ:CTSH) Price Target Lowered to $68.00 at HSBC

Cognizant Technology Solutions (NASDAQ:CTSH) had its price objective lowered by HSBC from $80.00 to $68.00 in a research report issued to clients and investors on Wednesday,MarketScreener reports. The brokerage presently has a “buy” rating on the information technology service provider’s stock. HSBC’s price objective would suggest a potential upside of 68.76% from the stock’s current price.

A number of other equities analysts have also recently weighed in on CTSH. Evercore decreased their price objective on Cognizant Technology Solutions from $100.00 to $70.00 in a report on Thursday, April 30th. Wedbush upgraded shares of Cognizant Technology Solutions from a “neutral” rating to an “outperform” rating and increased their price target for the company 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 report on Wednesday, April 29th. TD Cowen cut their price objective on shares of Cognizant Technology Solutions from $62.00 to $47.00 and set a “hold” rating for the company in a research note on Friday, June 26th. Finally, Berenberg Bank set a $59.00 target price on shares of Cognizant Technology Solutions and gave the stock a “hold” rating in a research report on Wednesday, June 17th. Eleven analysts have rated the stock with a Buy rating and fourteen have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $69.17.

Cognizant Technology Solutions Price Performance

Shares of NASDAQ CTSH traded up $1.56 during mid-day trading on Wednesday, reaching $40.29. 1,269,874 shares of the company were exchanged, compared to its average volume of 8,061,543. Cognizant Technology Solutions has a 52 week low of $37.08 and a 52 week high of $87.03. The company’s 50 day moving average price is $50.57 and its 200 day moving average price is $64.69. The stock has a market capitalization of $19.09 billion, a PE ratio of 8.76, a PEG ratio of 0.82 and a beta of 0.81. The company has a quick ratio of 2.23, a current ratio of 2.23 and a debt-to-equity ratio of 0.04.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its earnings results on Wednesday, April 29th. The information technology service provider reported $1.40 EPS for the quarter, beating analysts’ consensus estimates of $1.33 by $0.07. Cognizant Technology Solutions had a return on equity of 17.50% and a net margin of 10.41%.The business had revenue of $5.41 billion for the quarter, compared to analysts’ expectations of $5.41 billion. During the same quarter in the prior year, the firm earned $1.23 earnings per share. The firm’s revenue was up 5.8% on a year-over-year basis. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. Sell-side analysts forecast that Cognizant Technology Solutions will post 5.7 earnings per share for the current fiscal year.

Cognizant Technology Solutions announced that its board has authorized a share repurchase plan on Monday, May 18th that authorizes the company to buyback $2.00 billion in shares. This buyback authorization authorizes the information technology service provider to reacquire up to 9% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s board believes its stock is undervalued.

Institutional Investors Weigh In On Cognizant Technology Solutions

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Checchi Capital Advisers LLC increased its position in shares of Cognizant Technology Solutions by 3.4% in the fourth quarter. Checchi Capital Advisers LLC now owns 3,852 shares of the information technology service provider’s stock valued at $320,000 after acquiring an additional 127 shares during the period. Unison Advisors LLC increased its holdings in Cognizant Technology Solutions by 0.5% during the 4th quarter. Unison Advisors LLC now owns 30,095 shares of the information technology service provider’s stock valued at $2,498,000 after purchasing an additional 138 shares during the period. TD Waterhouse Canada Inc. lifted its holdings in Cognizant Technology Solutions by 7.2% in the 4th quarter. TD Waterhouse Canada Inc. now owns 2,130 shares of the information technology service provider’s stock worth $177,000 after buying an additional 143 shares during the period. Security National Bank of SO Dak grew its position in shares of Cognizant Technology Solutions by 0.6% in the 2nd quarter. Security National Bank of SO Dak now owns 24,635 shares of the information technology service provider’s stock worth $1,922,000 after buying an additional 150 shares during the last quarter. Finally, Cidel Asset Management Inc. raised its holdings in shares of Cognizant Technology Solutions by 3.0% during the fourth quarter. Cidel Asset Management Inc. now owns 5,535 shares of the information technology service provider’s stock valued at $459,000 after acquiring an additional 163 shares in the last quarter. 92.44% of the stock is currently owned by institutional investors.

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.