Jacobs Levy Equity Management Inc. Acquires New Stake in Cognizant Technology Solutions Corporation $CTSH

Key Points

• Jacobs Levy Equity Management Inc. invested approximately $41.72 million in Cognizant Technology Solutions by acquiring 545,388 shares, representing 0.11% ownership as of their latest SEC filing.
• In the latest earnings report, Cognizant reported an EPS of $1.31, exceeding analyst estimates of $1.26, with a revenue of $5.25 billion for the quarter.
• The company recently announced a quarterly dividend of $0.31, equating to an annual yield of 1.7%, with a payout ratio of 25.20%.

Jacobs Levy Equity Management Inc. acquired a new position in Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) during the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund acquired 545,388 shares of the information technology service provider's stock, valued at approximately $41,722,000. Jacobs Levy Equity Management Inc. owned 0.11% of Cognizant Technology Solutions at the end of the most recent quarter.

Other hedge funds also recently bought and sold shares of the company. Ritholtz Wealth Management increased its holdings in Cognizant Technology Solutions by 21.0% during the 1st quarter. Ritholtz Wealth Management now owns 10,531 shares of the information technology service provider's stock valued at $806,000 after purchasing an additional 1,827 shares during the period. Envestnet Asset Management Inc. increased its holdings in Cognizant Technology Solutions by 1.4% during the 1st quarter. Envestnet Asset Management Inc. now owns 500,039 shares of the information technology service provider's stock valued at $38,253,000 after purchasing an additional 7,105 shares during the period. Janney Montgomery Scott LLC increased its holdings in Cognizant Technology Solutions by 40.7% during the 1st quarter. Janney Montgomery Scott LLC now owns 28,047 shares of the information technology service provider's stock valued at $2,146,000 after purchasing an additional 8,116 shares during the period. Golden State Wealth Management LLC increased its holdings in Cognizant Technology Solutions by 290.9% during the 1st quarter. Golden State Wealth Management LLC now owns 899 shares of the information technology service provider's stock valued at $69,000 after purchasing an additional 669 shares during the period. Finally, Farther Finance Advisors LLC increased its holdings in Cognizant Technology Solutions by 14.0% during the 1st quarter. Farther Finance Advisors LLC now owns 4,814 shares of the information technology service provider's stock valued at $368,000 after purchasing an additional 591 shares during the period. Hedge funds and other institutional investors own 92.44% of the company's stock.

Analyst Upgrades and Downgrades

CTSH has been the topic of several research reports. Evercore ISI initiated coverage on Cognizant Technology Solutions in a research report on Thursday, July 17th. They set an "outperform" rating and a $100.00 price objective on the stock. JPMorgan Chase & Co. cut their price objective on Cognizant Technology Solutions from $101.00 to $89.00 and set an "overweight" rating on the stock in a research report on Wednesday, August 20th. Wall Street Zen cut Cognizant Technology Solutions from a "buy" rating to a "hold" rating in a research report on Saturday, August 2nd. Guggenheim raised Cognizant Technology Solutions from a "neutral" rating to a "buy" rating and set a $90.00 price objective on the stock in a research report on Friday, July 18th. Finally, Deutsche Bank Aktiengesellschaft initiated coverage on Cognizant Technology Solutions in a research report on Thursday, July 17th. They set a "hold" rating and a $80.00 price objective on the stock. Five investment analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the stock. According to data from MarketBeat, Cognizant Technology Solutions currently has a consensus rating of "Hold" and an average target price of $86.07.

Cognizant Technology Solutions Stock Up 0.9%

CTSH stock traded up $0.60 during midday trading on Thursday, hitting $69.76. The company's stock had a trading volume of 1,747,484 shares, compared to its average volume of 3,819,516. The company has a market cap of $34.07 billion, a PE ratio of 14.17, a P/E/G ratio of 1.47 and a beta of 0.93. Cognizant Technology Solutions Corporation has a 12 month low of $65.52 and a 12 month high of $90.82. The company has a current ratio of 2.41, a quick ratio of 2.41 and a debt-to-equity ratio of 0.04. The firm's 50-day moving average is $73.17 and its 200-day moving average is $76.12.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The information technology service provider reported $1.31 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.26 by $0.05. The business had revenue of $5.25 billion for the quarter, compared to analysts' expectations of $5.17 billion. Cognizant Technology Solutions had a return on equity of 16.77% and a net margin of 11.89%.The firm's quarterly revenue was up 8.1% on a year-over-year basis. During the same period in the prior year, the firm posted $1.17 EPS. Cognizant Technology Solutions has set its FY 2025 guidance at 5.080-5.220 EPS. Q3 2025 guidance at EPS. On average, equities research analysts forecast that Cognizant Technology Solutions Corporation will post 4.98 earnings per share for the current fiscal year.

Cognizant Technology Solutions Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, August 26th. Stockholders of record on Monday, August 18th were paid a $0.31 dividend. This represents a $1.24 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date was Monday, August 18th. Cognizant Technology Solutions's dividend payout ratio (DPR) is 25.20%.

About Cognizant Technology Solutions

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.