Berenberg Bank Cuts Cognizant Technology Solutions (NASDAQ:CTSH) Price Target to $81.00

Key Points

• Berenberg Bank cut Cognizant Technology Solutions’ price target to $81 from $107, while keeping a buy rating on the stock.
• Other analysts have also recently lowered their targets, and the current consensus rating is Hold with an average price target of $73.76.
• Cognizant reported better-than-expected Q1 earnings of $1.40 per share on revenue of $5.41 billion, but the stock was still trading near its 52-week low around $50.43.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) had its price target lowered by investment analysts at Berenberg Bank from $107.00 to $81.00 in a research note issued on Monday,MarketScreener reports. The firm currently has a "buy" rating on the information technology service provider's stock. Berenberg Bank's target price would suggest a potential upside of 60.63% from the stock's previous close.

A number of other analysts also recently weighed in on the company. Argus upgraded Cognizant Technology Solutions to a "hold" rating in a research report on Tuesday, February 10th. Susquehanna reduced their price objective on Cognizant Technology Solutions from $98.00 to $88.00 and set a "positive" rating on the stock in a research note on Friday, May 1st. BMO Capital Markets lowered their target price on Cognizant Technology Solutions from $83.00 to $63.00 in a research note on Thursday, April 30th. Mizuho dropped their target price on Cognizant Technology Solutions from $87.00 to $68.00 and set a "neutral" rating for the company in a report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. decreased their price target on Cognizant Technology Solutions from $92.00 to $74.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 28th. Ten analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $73.76.

Cognizant Technology Solutions Trading Down 2.4%

Cognizant Technology Solutions stock opened at $50.43 on Monday. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.23 and a current ratio of 2.23. Cognizant Technology Solutions has a fifty-two week low of $50.19 and a fifty-two week high of $87.03. The stock has a market cap of $23.90 billion, a P/E ratio of 10.98, a PEG ratio of 1.09 and a beta of 0.81. The firm's fifty day moving average price is $60.24 and its 200-day moving average price is $71.35.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last posted its quarterly earnings data on Wednesday, April 29th. The information technology service provider reported $1.40 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.33 by $0.07. The company had revenue of $5.41 billion during the quarter, compared to analyst estimates of $5.41 billion. Cognizant Technology Solutions had a return on equity of 17.50% and a net margin of 10.41%.The firm's quarterly revenue was up 5.8% on a year-over-year basis. During the same quarter last year, the company earned $1.23 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. Equities research analysts forecast that Cognizant Technology Solutions will post 5.7 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Cognizant Technology Solutions

Hedge funds have recently made changes to their positions in the business. Oslo Pensjonsforsikring AS bought a new stake in Cognizant Technology Solutions in the first quarter valued at $394,000. Wilkerson Advisory Group LLC raised its holdings in Cognizant Technology Solutions by 90.9% in the 1st quarter. Wilkerson Advisory Group LLC now owns 1,107 shares of the information technology service provider's stock worth $68,000 after purchasing an additional 527 shares in the last quarter. Commerzbank Aktiengesellschaft FI lifted its position in shares of Cognizant Technology Solutions by 1,138.8% in the 1st quarter. Commerzbank Aktiengesellschaft FI now owns 38,738 shares of the information technology service provider's stock worth $2,377,000 after purchasing an additional 35,611 shares during the period. Dimensional Fund Advisors LP increased its position in shares of Cognizant Technology Solutions by 3.6% during the first quarter. Dimensional Fund Advisors LP now owns 6,404,918 shares of the information technology service provider's stock valued at $392,947,000 after buying an additional 222,819 shares during the period. Finally, SEB Asset Management AB purchased a new position in shares of Cognizant Technology Solutions during the first quarter valued at about $16,885,000. 92.44% of the stock is owned by hedge funds and other institutional investors.

Cognizant Technology Solutions Company Profile

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.

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