Kepler Cheuvreux Suisse SA Sells 159,868 Shares of Cognizant Technology Solutions Corporation $CTSH

Key Points

• Kepler Cheuvreux Suisse SA sharply reduced its stake in Cognizant Technology Solutions, selling 159,868 shares in the first quarter and cutting its position by 89.9%.
• Cognizant reported better-than-expected quarterly EPS of $1.40 on revenue of $5.41 billion, with revenue rising 5.8% year over year; the company also reaffirmed FY 2026 EPS guidance of 5.630–5.770.
• Despite solid earnings and a new $2 billion share repurchase program, analysts remain cautious overall, with the stock carrying a Hold consensus and an average price target of $68.35.

Kepler Cheuvreux Suisse SA lowered its position in Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) by 89.9% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 17,988 shares of the information technology service provider's stock after selling 159,868 shares during the quarter. Kepler Cheuvreux Suisse SA's holdings in Cognizant Technology Solutions were worth $1,104,000 as of its most recent SEC filing.

Other institutional investors also recently bought and sold shares of the company. Evolve Private Wealth LLC purchased a new position in Cognizant Technology Solutions during the 4th quarter valued at about $2,642,000. Temasek Holdings Private Ltd purchased a new stake in shares of Cognizant Technology Solutions in the 3rd quarter worth approximately $55,217,000. OFI Invest Asset Management purchased a new stake in shares of Cognizant Technology Solutions in the 4th quarter worth approximately $8,421,000. Arrowstreet Capital Limited Partnership boosted its stake in shares of Cognizant Technology Solutions by 34.3% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 2,874,274 shares of the information technology service provider's stock valued at $238,565,000 after purchasing an additional 734,337 shares in the last quarter. Finally, Pzena Investment Management LLC boosted its stake in shares of Cognizant Technology Solutions by 14.9% during 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 purchasing an additional 2,633,683 shares in the last quarter. 92.44% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the stock. BMO Capital Markets reduced their price objective on shares of Cognizant Technology Solutions from $83.00 to $63.00 in a research note on Thursday, April 30th. Evercore cut their price target on Cognizant Technology Solutions from $100.00 to $70.00 in a report on Thursday, April 30th. Wells Fargo & Company reduced their price target on Cognizant Technology Solutions from $98.00 to $83.00 and set an "overweight" rating for the company in a research report on Thursday, April 30th. HSBC decreased their price objective on Cognizant Technology Solutions from $80.00 to $68.00 and set a "buy" rating for the company in a research note on Wednesday. Finally, JPMorgan Chase & Co. dropped their price objective on Cognizant Technology Solutions from $92.00 to $74.00 and set an "overweight" rating on the stock in a research report on Tuesday, April 28th. Eleven investment analysts have rated the stock with a Buy rating and fourteen have issued a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $68.35.

Cognizant Technology Solutions Price Performance

Shares of CTSH opened at $41.99 on Friday. The company has a 50 day moving average of $49.48 and a two-hundred day moving average of $63.94. The company has a quick ratio of 2.23, a current ratio of 2.23 and a debt-to-equity ratio of 0.04. Cognizant Technology Solutions Corporation has a twelve month low of $37.08 and a twelve month high of $87.03. The company has a market cap of $19.90 billion, a price-to-earnings ratio of 9.13, a price-to-earnings-growth ratio of 0.88 and a beta of 0.87.

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

Cognizant Technology Solutions Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, May 27th. Shareholders of record on Monday, May 18th were paid a $0.33 dividend. The ex-dividend date was Monday, May 18th. This represents a $1.32 dividend on an annualized basis and a yield of 3.1%. Cognizant Technology Solutions's dividend payout ratio (DPR) is 28.70%.

Cognizant Technology Solutions announced that its board has approved a share repurchase program on Monday, May 18th that authorizes the company to repurchase $2.00 billion in shares. This repurchase authorization authorizes the information technology service provider to repurchase up to 9% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company's leadership believes its shares are undervalued.

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.

Want to see what other hedge funds are holding CTSH? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.