Cognizant Technology Solutions (NASDAQ:CTSH) Reaches New 52-Week Low - Time to Sell?
Cognizant Technology Solutions (NASDAQ:CTSH) shares hit a new 52-week low at $65.17, closing at $66.77. Analysts have mixed ratings, with Deutsche Bank and Wall Street Zen issuing 'hold' ratings, while Guggenheim upgraded to 'buy'. The company reported Q2 earnings of $1.31 per share, exceeding estimates, with revenue up 8.1% year-over-year. Cognizant declared a quarterly dividend of $0.31, yielding 1.9%. Institutional investors hold 92.44% of the stock, reflecting significant interest despite recent price declines.
Shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Get Free Report) hit a new 52-week low during trading on Friday . The company traded as low as $65.17 and last traded at $66.77, with a volume of 5881179 shares. The stock had previously closed at $70.26.
Wall Street Analyst Weigh In
- Big Buybacks: 3 Large Caps Exceed 5% Repurchase Power
A number of brokerages have recently commented on CTSH. Deutsche Bank Aktiengesellschaft began coverage on shares of Cognizant Technology Solutions in a research note on Thursday, July 17th. They issued a "hold" rating and a $80.00 price target for the company. Wall Street Zen lowered shares of Cognizant Technology Solutions from a "buy" rating to a "hold" rating in a research note on Saturday, August 2nd. JPMorgan Chase & Co. reduced their price target on shares of Cognizant Technology Solutions from $101.00 to $89.00 and set an "overweight" rating for the company in a research note on Wednesday, August 20th. Evercore ISI assumed coverage on shares of Cognizant Technology Solutions in a research report on Thursday, July 17th. They set an "outperform" rating and a $100.00 target price for the company. Finally, Guggenheim upgraded shares of Cognizant Technology Solutions from a "neutral" rating to a "buy" rating and set a $90.00 target price for the company in a research report on Friday, July 18th. Five investment analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $86.79.
Check Out Our Latest Stock Analysis on CTSH
Cognizant Technology Solutions Trading Down 4.7%
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The firm has a market capitalization of $32.69 billion, a P/E ratio of 13.61, a price-to-earnings-growth ratio of 1.46 and a beta of 0.93. The stock's 50-day simple moving average is $72.03 and its two-hundred day simple moving average is $75.52. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.41 and a quick ratio of 2.41.
Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last issued its earnings results on Wednesday, July 30th. The information technology service provider reported $1.31 earnings per share for the quarter, topping analysts' consensus estimates of $1.26 by $0.05. Cognizant Technology Solutions had a net margin of 11.89% and a return on equity of 16.77%. The firm had revenue of $5.25 billion during the quarter, compared to analyst estimates of $5.17 billion. During the same quarter in the prior year, the business earned $1.17 earnings per share. Cognizant Technology Solutions's revenue for the quarter was up 8.1% on a year-over-year basis. Cognizant Technology Solutions has set its FY 2025 guidance at 5.080-5.220 EPS. Q3 2025 guidance at EPS. Equities research analysts expect that Cognizant Technology Solutions Corporation will post 4.98 EPS for the current year.
Cognizant Technology Solutions Dividend Announcement
The business also recently declared a quarterly dividend, which was paid on Tuesday, August 26th. Investors of record on Monday, August 18th were paid a $0.31 dividend. This represents a $1.24 annualized dividend and a yield of 1.9%. The ex-dividend date of this dividend was Monday, August 18th. Cognizant Technology Solutions's dividend payout ratio (DPR) is currently 25.20%.
Institutional Inflows and Outflows
Several institutional investors have recently added to or reduced their stakes in the stock. Valeo Financial Advisors LLC increased its stake in Cognizant Technology Solutions by 9.6% in the 2nd quarter. Valeo Financial Advisors LLC now owns 4,188 shares of the information technology service provider's stock worth $327,000 after buying an additional 368 shares during the period. Osaic Holdings Inc. increased its stake in Cognizant Technology Solutions by 162.5% in the 2nd quarter. Osaic Holdings Inc. now owns 67,297 shares of the information technology service provider's stock worth $5,191,000 after buying an additional 41,661 shares during the period. Thrivent Financial for Lutherans increased its stake in Cognizant Technology Solutions by 60.9% in the 2nd quarter. Thrivent Financial for Lutherans now owns 39,474 shares of the information technology service provider's stock worth $3,079,000 after buying an additional 14,946 shares during the period. B. Riley Wealth Advisors Inc. bought a new position in Cognizant Technology Solutions during the 2nd quarter worth about $300,000. Finally, State of Wyoming grew its holdings in Cognizant Technology Solutions by 25.5% during the 2nd quarter. State of Wyoming now owns 7,728 shares of the information technology service provider's stock worth $603,000 after acquiring an additional 1,568 shares in the last quarter. Hedge funds and other institutional investors own 92.44% of the company's stock.
About Cognizant Technology Solutions
(Get Free Report)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.
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