Cognizant Technology Solutions (NASDAQ:CTSH) Stock Rating Cut to “Hold” at Deutsche Bank

Deutsche Bank lowered shares of Cognizant Technology Solutions (NASDAQ:CTSH) from a buy rating to a hold rating in a report published on Friday, Marketbeat Ratings reports. The firm currently has $66.00 price objective on the information technology service provider’s stock, down from their previous price objective of $75.00.

Other equities analysts have also issued research reports about the company. Guggenheim reissued a “buy” rating and set a $80.00 target price (up from $65.00) on shares of Cognizant Technology Solutions in a research note on Tuesday, October 27th. Wedbush restated an “outperform” rating and set a $70.00 price objective on shares of Cognizant Technology Solutions in a research report on Friday, October 9th. Mizuho set a $69.00 target price on Cognizant Technology Solutions in a research report on Monday, November 2nd. JPMorgan Chase & Co. boosted their target price on shares of Cognizant Technology Solutions from $67.00 to $78.00 and gave the stock an “overweight” rating in a research report on Monday, October 26th. Finally, Susquehanna set a $82.00 target price on shares of Cognizant Technology Solutions and gave the company a “positive” rating in a research note on Thursday, July 30th. Nine investment analysts have rated the stock with a Buy rating and fifteen have given a Hold rating to the stock. Based on data from MarketBeat.com, Cognizant Technology Solutions has an average rating of “Hold” and an average price target of $68.00.

Cognizant Technology Solutions Price Performance

Shares of Cognizant Technology Solutions stock opened at $63.01 on Friday. The stock’s 50-day simple moving average is $62.46 and its 200-day simple moving average is $58.29. Cognizant Technology Solutions has a 52 week low of $37.08 and a 52 week high of $87.03. The company has a market capitalization of $28.17 billion, a price-to-earnings ratio of 11.50, a PEG ratio of 1.26 and a beta of 0.83. The company has a quick ratio of 2.22, a current ratio of 2.22 and a debt-to-equity ratio of 0.11.

Cognizant Technology Solutions (NASDAQ:CTSH) last issued its earnings results on Thursday, October 29th. The information technology service provider reported $1.49 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.46 by $0.03. The company had revenue of $5.66 billion for the quarter, compared to the consensus estimate of $5.64 billion. Cognizant Technology Solutions had a return on equity of 17.72% and a net margin of 11.75%. The firm’s quarterly revenue was up 4.6% on a year-over-year basis. During the same quarter last year, the company earned $1.39 EPS. As a group, analysts expect that Cognizant Technology Solutions will post 5.78 earnings per share for the current fiscal year.

Cognizant Technology Solutions Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 25th. Shareholders of record on Friday, November 13th will be given a dividend of $0.33 per share. The ex-dividend date of this dividend is Friday, November 13th. This represents a $1.32 annualized dividend and a yield of 2.1%. Cognizant Technology Solutions’s payout ratio is 24.09%.

Institutional Trading of Cognizant Technology Solutions

Hedge funds have recently added to or reduced their stakes in the company. State Board of Administration of Florida Retirement System increased its stake in Cognizant Technology Solutions by 5.8% in the third quarter. State Board of Administration of Florida Retirement System now owns 436,289 shares of the information technology service provider’s stock valued at $25,060,000 after acquiring an additional 23,749 shares during the last quarter. Insigneo Advisory Services LLC acquired a new position in Cognizant Technology Solutions during the 3rd quarter worth approximately $204,000. Bleakley Financial Group LLC lifted its stake in shares of Cognizant Technology Solutions by 20.4% in the third quarter. Bleakley Financial Group LLC now owns 19,937 shares of the information technology service provider’s stock valued at $1,145,000 after buying an additional 3,375 shares in the last quarter. Ingalls & Snyder LLC purchased a new position in Cognizant Technology Solutions during the third quarter worth about $221,000. Finally, First Trust Advisors LP boosted its stake in Cognizant Technology Solutions by 18.0% in the third quarter. First Trust Advisors LP now owns 9,116,622 shares of the information technology service provider’s stock valued at $523,659,000 after acquiring an additional 1,389,248 shares during the last quarter. 92.44% of the stock is owned by institutional investors and hedge funds.

About Cognizant Technology Solutions

Cognizant Technology Solutions is a professional services company that helps businesses use technology to modernize operations and develop digital capabilities. Its services include IT consulting, application development and maintenance, cloud and infrastructure services, data and artificial intelligence, engineering, and business process services. The company serves clients across industries including financial services, healthcare, manufacturing, communications, media, and retail. Its operations span North America, Europe, and Asia-Pacific, with a significant global delivery network.