Access Investment Management LLC Purchases 67,705 Shares of Cognizant Technology Solutions Corporation $CTSH

Key Points

• Access Investment Management LLC increased its Cognizant Technology Solutions stake by 1,260.8%, acquiring 67,705 additional shares and ending the quarter with 73,075 shares valued at $4.48 million.
• Institutional ownership remains high at 92.44%, with other major investors including Pzena Investment Management, Invesco, Norges Bank, GQG Partners and FIL increasing or initiating positions.
• Cognizant reported quarterly revenue of $5.48 billion, up 4.5% year over year, but adjusted EPS of $1.37 narrowly missed estimates. The company also declared a $0.33 quarterly dividend and authorized a $2 billion share buyback.

Access Investment Management LLC increased its position in shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) by 1,260.8% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 73,075 shares of the information technology service provider's stock after acquiring an additional 67,705 shares during the period. Access Investment Management LLC's holdings in Cognizant Technology Solutions were worth $4,483,000 at the end of the most recent reporting period.

Other hedge funds have also recently made changes to their positions in the company. Pzena Investment Management LLC boosted its holdings in Cognizant Technology Solutions by 14.9% in the first quarter. Pzena Investment Management LLC now owns 20,262,362 shares of the information technology service provider's stock valued at $1,243,096,000 after acquiring an additional 2,633,683 shares during the last quarter. Invesco Ltd. increased its position in shares of Cognizant Technology Solutions by 8.6% during the third quarter. Invesco Ltd. now owns 12,534,198 shares of the information technology service provider's stock worth $840,669,000 after buying an additional 987,395 shares during the period. Norges Bank acquired a new stake in shares of Cognizant Technology Solutions during the fourth quarter worth $690,959,000. GQG Partners LLC bought a new position in Cognizant Technology Solutions during the fourth quarter worth $673,651,000. Finally, FIL Ltd lifted its holdings in Cognizant Technology Solutions by 46.6% in the fourth quarter. FIL Ltd now owns 6,680,508 shares of the information technology service provider's stock valued at $554,482,000 after buying an additional 2,122,600 shares during the period. 92.44% of the stock is owned by institutional investors and hedge funds.

Cognizant Technology Solutions News Roundup

Here are the key news stories impacting Cognizant Technology Solutions this week:

• Positive Sentiment: Broader AI strategy: Cognizant is positioning itself as an implementation and consulting partner across multiple leading AI models, including Anthropic and OpenAI, reducing the risk of relying on a single platform. The company reported more than 8,000 AI engagements and is emphasizing AI-led services, platforms and large deals. Anthropic Is Only Part of the Story. Cognizant Has a Much Bigger AI Plan
• Positive Sentiment: Analyst support increased: Wells Fargo raised its price target from $61 to $67 and maintained an Overweight rating, citing Cognizant’s differentiated AI strategy. Morgan Stanley also increased its target, while William Blair initiated a Buy recommendation based on margin expansion, Financial Services growth and AI-driven demand. Cognizant in focus as Morgan Stanley ups price target
• Positive Sentiment: Revenue and demand trends: Second-quarter revenue rose 4.5% year over year to $5.48 billion, matching or exceeding expectations, with Financial Services described as a key growth area. Investors also continue to view CTSH as an attractively valued momentum stock, with earnings growth and AI opportunities supporting the long-term case. Cognizant Q2 Earnings Results
• Positive Sentiment: Shareholder return: Cognizant declared a quarterly dividend of $0.33 per share, representing an annualized yield of approximately 2.4%, adding support for income-focused investors.
• Neutral Sentiment: Mixed quarterly results: Adjusted EPS of $1.37 narrowly missed the $1.38 consensus, although revenue met expectations and exceeded the prior-year result. Management’s full-year EPS guidance is $5.70–$5.82, while reports indicate the 2026 sales outlook was trimmed. Cognizant Q2 2026 Earnings Call Summary
• Negative Sentiment: Valuation caution: TD Cowen raised its target from $47 to $54 but retained a Hold rating, leaving its target below the recent trading level. Higher interest costs also pressured quarterly earnings.

Analyst Upgrades and Downgrades

CTSH has been the topic of several research analyst reports. Wells Fargo & Company upped their target price on Cognizant Technology Solutions from $61.00 to $67.00 and gave the company an "overweight" rating in a research report on Thursday. JPMorgan Chase & Co. lowered their target price on shares of Cognizant Technology Solutions from $74.00 to $55.00 and set an "overweight" rating on the stock in a report on Friday, July 24th. BMO Capital Markets dropped their price objective on Cognizant Technology Solutions from $83.00 to $63.00 in a research note on Thursday, April 30th. Robert W. Baird set a $68.00 price objective on shares of Cognizant Technology Solutions in a research note on Thursday. Finally, Mizuho cut their target price on Cognizant Technology Solutions from $87.00 to $68.00 and set a "neutral" rating on the stock in a research note on Wednesday, May 6th. Ten research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus target price of $63.17.

Cognizant Technology Solutions Stock Up 2.7%

CTSH opened at $55.35 on Friday. The business's 50-day moving average price is $47.22 and its 200-day moving average price is $58.56. Cognizant Technology Solutions Corporation has a 12 month low of $37.08 and a 12 month high of $87.03. The company has a current ratio of 2.18, a quick ratio of 2.23 and a debt-to-equity ratio of 0.11. The company has a market cap of $26.23 billion, a P/E ratio of 11.90, a P/E/G ratio of 1.17 and a beta of 0.87.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last announced its quarterly earnings results on Wednesday, July 29th. The information technology service provider reported $1.37 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.38 by ($0.01). Cognizant Technology Solutions had a net margin of 10.26% and a return on equity of 17.70%. The company had revenue of $5.48 billion for the quarter, compared to analysts' expectations of $5.48 billion. During the same quarter in the prior year, the firm earned $1.31 EPS. Cognizant Technology Solutions's quarterly revenue was up 4.5% compared to the same quarter last year. Cognizant Technology Solutions has set its FY 2026 guidance at 5.700-5.820 EPS. On average, equities analysts expect that Cognizant Technology Solutions Corporation will post 5.72 EPS for the current year.

Cognizant Technology Solutions Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 25th. Investors of record on Tuesday, August 18th will be given a dividend of $0.33 per share. The ex-dividend date of this dividend is Tuesday, August 18th. This represents a $1.32 annualized dividend and a dividend yield of 2.4%. Cognizant Technology Solutions's dividend payout ratio (DPR) is 28.39%.

Cognizant Technology Solutions declared that its board has authorized a share buyback plan on Monday, May 18th that authorizes the company to buyback $2.00 billion in outstanding shares. This buyback authorization authorizes the information technology service provider to purchase up to 9% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's leadership believes its shares are undervalued.

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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