New Age Alpha Advisors LLC Takes $3.24 Million Position in Cognizant Technology Solutions Corporation $CTSH

Key Points

• New Age Alpha Advisors LLC opened a new position in Cognizant Technology Solutions, buying 39,003 shares worth about $3.24 million in the fourth quarter.
• Institutional ownership remains very high, with hedge funds and other institutions holding 92.44% of Cognizant’s shares, while several other investors also added to their stakes.
• Analysts are mixed on the stock: Cognizant has a consensus rating of Hold with an average price target of $73, even as the company recently beat EPS estimates and authorized a $2 billion share repurchase program.

New Age Alpha Advisors LLC acquired a new stake in Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm acquired 39,003 shares of the information technology service provider's stock, valued at approximately $3,237,000.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the stock. Checchi Capital Advisers LLC lifted its stake in shares of Cognizant Technology Solutions by 3.4% in the fourth quarter. Checchi Capital Advisers LLC now owns 3,852 shares of the information technology service provider's stock valued at $320,000 after purchasing an additional 127 shares during the period. Unison Advisors LLC lifted its stake in shares of Cognizant Technology Solutions by 0.5% in the fourth quarter. Unison Advisors LLC now owns 30,095 shares of the information technology service provider's stock valued at $2,498,000 after purchasing an additional 138 shares during the period. TD Waterhouse Canada Inc. lifted its stake in shares of Cognizant Technology Solutions by 7.2% in the fourth quarter. TD Waterhouse Canada Inc. now owns 2,130 shares of the information technology service provider's stock valued at $177,000 after purchasing an additional 143 shares during the period. Security National Bank of SO Dak lifted its stake in shares of Cognizant Technology Solutions by 0.6% in the second quarter. Security National Bank of SO Dak now owns 24,635 shares of the information technology service provider's stock valued at $1,922,000 after purchasing an additional 150 shares during the period. Finally, Haven Private LLC lifted its stake in shares of Cognizant Technology Solutions by 1.9% in the third quarter. Haven Private LLC now owns 8,451 shares of the information technology service provider's stock valued at $567,000 after purchasing an additional 157 shares during the period. Institutional investors and hedge funds own 92.44% of the company's stock.

Analyst Upgrades and Downgrades

Several analysts recently commented on the stock. Jefferies Financial Group reduced their price objective on shares of Cognizant Technology Solutions from $80.00 to $65.00 and set a "buy" rating for the company in a research note on Monday, May 4th. Morgan Stanley cut their target price on shares of Cognizant Technology Solutions from $70.00 to $63.00 and set an "equal weight" rating for the company in a research report on Thursday, April 30th. Berenberg Bank cut their target price on shares of Cognizant Technology Solutions from $107.00 to $81.00 and set a "buy" rating for the company in a research report on Monday, May 11th. TD Cowen restated a "hold" rating and set a $62.00 target price (down from $71.00) on shares of Cognizant Technology Solutions in a research report on Thursday, April 30th. Finally, Guggenheim cut their target price on shares of Cognizant Technology Solutions from $85.00 to $80.00 and set a "buy" rating for the company in a research report on Thursday, April 30th. Ten investment analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. Based on data from MarketBeat.com, Cognizant Technology Solutions currently has an average rating of "Hold" and a consensus target price of $73.00.

Cognizant Technology Solutions Stock Performance

Shares of NASDAQ CTSH opened at $52.75 on Tuesday. The company has a market cap of $25.00 billion, a PE ratio of 11.47, a price-to-earnings-growth ratio of 1.11 and a beta of 0.81. Cognizant Technology Solutions Corporation has a 12 month low of $45.48 and a 12 month high of $87.03. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.23 and a quick ratio of 2.23. The company has a 50-day simple moving average of $56.88 and a 200-day simple moving average of $69.67.

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 EPS for the quarter, topping analysts' consensus estimates of $1.33 by $0.07. The business had revenue of $5.41 billion during the quarter, compared to the consensus estimate of $5.41 billion. Cognizant Technology Solutions had a net margin of 10.41% and a return on equity of 17.50%. The company's quarterly revenue was up 5.8% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.23 earnings per share. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. On average, equities analysts anticipate that Cognizant Technology Solutions Corporation will post 5.7 earnings per share for the current year.

Cognizant Technology Solutions Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, May 27th. Stockholders of record on Monday, May 18th will be issued a dividend of $0.33 per share. The ex-dividend date is Monday, May 18th. This represents a $1.32 dividend on an annualized basis and a dividend yield of 2.5%. Cognizant Technology Solutions's payout ratio is 28.70%.

Cognizant Technology Solutions announced that its Board of Directors has approved a share repurchase program on Monday, May 18th that permits the company to buyback $2.00 billion in shares. This buyback authorization permits the information technology service provider to purchase up to 9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's board of directors believes its stock is 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.

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