Cognizant Technology Solutions (NASDAQ:CTSH) Releases FY 2026 Earnings Guidance

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) issued an update on its FY 2026 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 5.630-5.770 for the period, compared to the consensus estimate of 5.650. The company issued revenue guidance of $22.1 billion-$22.6 billion, compared to the consensus revenue estimate of $22.4 billion. Cognizant Technology Solutions also updated its Q2 2026 guidance to EPS.

Cognizant Technology Solutions Price Performance

CTSH opened at $55.12 on Wednesday. The firm has a 50-day moving average price of $61.36 and a 200-day moving average price of $71.84. Cognizant Technology Solutions has a twelve month low of $54.26 and a twelve month high of $87.03. The company has a quick ratio of 2.14, a current ratio of 2.14 and a debt-to-equity ratio of 0.04. The company has a market capitalization of $26.36 billion, a price-to-earnings ratio of 12.11, a PEG ratio of 1.19 and a beta of 0.98.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last announced its quarterly earnings results on Wednesday, April 29th. The information technology service provider reported $1.40 EPS for the quarter, beating analysts' consensus estimates of $1.34 by $0.06. Cognizant Technology Solutions had a net margin of 10.56% and a return on equity of 17.17%. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. Equities analysts expect that Cognizant Technology Solutions will post 5.65 EPS for the current year.

Cognizant Technology Solutions Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, February 26th. Stockholders of record on Wednesday, February 18th were issued a $0.33 dividend. The ex-dividend date of this dividend was Wednesday, February 18th. This is an increase from Cognizant Technology Solutions's previous quarterly dividend of $0.31. This represents a $1.32 dividend on an annualized basis and a dividend yield of 2.4%. Cognizant Technology Solutions's dividend payout ratio is 29.01%.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on CTSH shares. UBS Group decreased their price objective on Cognizant Technology Solutions from $67.00 to $64.00 and set a "neutral" rating on the stock in a research note on Monday, April 13th. Robert W. Baird set a $72.00 target price on Cognizant Technology Solutions and gave the company a "neutral" rating in a report on Friday, April 10th. Deutsche Bank Aktiengesellschaft upgraded Cognizant Technology Solutions from a "hold" rating to a "buy" rating and set a $100.00 price target on the stock in a research report on Monday, January 26th. Guggenheim cut their price objective on shares of Cognizant Technology Solutions from $100.00 to $85.00 and set a "buy" rating for the company in a research report on Wednesday, April 22nd. Finally, TD Cowen reduced their price objective on shares of Cognizant Technology Solutions from $85.00 to $71.00 and set a "hold" rating for the company in a research note on Friday, March 13th. Ten research analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $82.85.

Insider Buying and Selling

In other Cognizant Technology Solutions news, insider Surya Gummadi sold 1,728 shares of the company's stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $83.06, for a total value of $143,527.68. Following the transaction, the insider directly owned 25,641 shares in the company, valued at $2,129,741.46. This represents a 6.31% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.32% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of CTSH. JPL Wealth Management LLC purchased a new stake in Cognizant Technology Solutions in the third quarter valued at approximately $25,000. Prosperity Bancshares Inc purchased a new position in Cognizant Technology Solutions in the 4th quarter worth approximately $29,000. WealthCollab LLC increased its holdings in shares of Cognizant Technology Solutions by 37.1% in the 3rd quarter. WealthCollab LLC now owns 643 shares of the information technology service provider's stock worth $43,000 after buying an additional 174 shares during the last quarter. Geneos Wealth Management Inc. raised its position in shares of Cognizant Technology Solutions by 118.8% during the 1st quarter. Geneos Wealth Management Inc. now owns 569 shares of the information technology service provider's stock valued at $44,000 after buying an additional 309 shares in the last quarter. Finally, Wilkerson Advisory Group LLC purchased a new stake in shares of Cognizant Technology Solutions during the 4th quarter valued at $48,000. 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.

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