PFA Pension Forsikringsaktieselskab Acquires Shares of 1,005,161 Cognizant Technology Solutions Corporation $CTSH

Key Points

• PFA Pension acquired a new position of 1,005,161 shares of Cognizant (about $84.6M), part of broad institutional buying that leaves roughly 92.4% of CTSH owned by institutions.
• Cognizant posted a Q1 EPS beat ($1.40 vs. $1.33) and raised its margin outlook while agreeing to buy Astreya for about $600M to expand CX/cloud services, though revenue growth was modest and management flagged margin pressure.
• Analysts are mixed—many price‑target cuts offset some upgrades—giving a MarketBeat consensus of "Hold" with a $77.15 target; the stock trades near $52.43, with a P/E of 11.4 and a 2.5% dividend yield.

PFA Pension Forsikringsaktieselskab acquired a new position in shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) in the fourth quarter, according to its most recent disclosure with the SEC. The firm acquired 1,005,161 shares of the information technology service provider's stock, valued at approximately $84,574,000. PFA Pension Forsikringsaktieselskab owned 0.21% of Cognizant Technology Solutions at the end of the most recent quarter.

A number of other hedge funds also recently added to or reduced their stakes in CTSH. CIBC Bancorp USA Inc. acquired a new stake in Cognizant Technology Solutions during the 3rd quarter worth approximately $201,834,000. Voloridge Investment Management LLC lifted its position in Cognizant Technology Solutions by 801.4% during the 3rd quarter. Voloridge Investment Management LLC now owns 2,104,276 shares of the information technology service provider's stock worth $141,134,000 after acquiring an additional 1,870,834 shares during the period. Hotchkis & Wiley Capital Management LLC increased its stake in Cognizant Technology Solutions by 144.3% in the 3rd quarter. Hotchkis & Wiley Capital Management LLC now owns 2,631,890 shares of the information technology service provider's stock valued at $176,521,000 after buying an additional 1,554,648 shares during the period. Massachusetts Financial Services Co. MA increased its stake in Cognizant Technology Solutions by 59.4% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 3,778,252 shares of the information technology service provider's stock valued at $253,407,000 after buying an additional 1,407,776 shares during the period. Finally, Invesco Ltd. increased its stake in Cognizant Technology Solutions by 8.6% in the 3rd quarter. Invesco Ltd. now owns 12,534,198 shares of the information technology service provider's stock valued at $840,669,000 after buying an additional 987,395 shares during the period. 92.44% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on the stock. HSBC dropped their price objective on shares of Cognizant Technology Solutions from $98.00 to $80.00 in a research note on Thursday. UBS Group dropped their price objective on shares of 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. The Goldman Sachs Group set a $75.00 price objective on shares of Cognizant Technology Solutions in a research note on Wednesday. Robert W. Baird set a $72.00 price objective on shares of Cognizant Technology Solutions and gave the company a "neutral" rating in a research note on Friday, April 10th. Finally, Nomura increased their target price on Cognizant Technology Solutions from $92.00 to $93.00 and gave the stock a "buy" rating in a research note on Thursday. Ten analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $77.15.

Cognizant Technology Solutions Stock Performance

Shares of CTSH stock opened at $52.43 on Friday. The company has a market cap of $25.07 billion, a price-to-earnings ratio of 11.40, a price-to-earnings-growth ratio of 1.15 and a beta of 0.81. The stock has a 50 day simple moving average of $60.88 and a 200-day simple moving average of $71.58. Cognizant Technology Solutions Corporation has a 12-month low of $52.28 and a 12-month high of $87.03. The company has a current ratio of 2.23, a quick ratio of 2.14 and a debt-to-equity ratio of 0.04.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last issued its 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 during 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 company's revenue for the quarter was up 5.8% on a year-over-year basis. During the same period in the prior year, the business posted $1.23 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. On average, equities analysts forecast that Cognizant Technology Solutions Corporation will post 5.67 EPS 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. Investors of record on Monday, May 18th will be issued a $0.33 dividend. 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 dividend payout ratio is currently 29.01%.

Key Cognizant Technology Solutions News

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

• Positive Sentiment: Q1 EPS beat and margin outlook lift confidence — Cognizant reported an EPS beat for Q1 and raised its 2026 margin outlook, which supports near-term earnings visibility. Cognizant Q1 Earnings Beat
• Positive Sentiment: Acquisition adds scale in contact-center services — Cognizant agreed to buy Astreya for about $600M, expanding its CX and cloud services footprint. This is strategic revenue and capability growth. Cognizant to buy Astreya
• Positive Sentiment: Selective analyst upgrades/raises remain — A few firms (e.g., Nomura, Susquehanna) reaffirm buy/positive views or raised targets, indicating some analysts see material upside despite broader cuts. Nomura raises PT to $93
• Neutral Sentiment: Zacks ranks CTSH as a top growth stock — Useful context for growth-oriented investors, but a style score is not an immediate catalyst. CTSH is a Top-Ranked Growth Stock
• Neutral Sentiment: Brand/partnership news supports long-term positioning — Becoming Aston Martin Aramco F1 Team’s Global AI Services Partner raises profile but is more strategic/PR than near-term revenue. Cognizant named AMF1 Global AI Services Partner
• Negative Sentiment: Broad wave of price‑target cuts from major analysts — Multiple firms trimmed targets (Evercore, BMO, HSBC, JPMorgan, Morgan Stanley, Wedbush, Wells Fargo, Guggenheim), weighing on the stock by reducing near-term upside expectations. Evercore cuts PT to $70 BMO cuts PT to $63 JPMorgan cuts PT to $74
• Negative Sentiment: Project Leap restructuring flagged as a risk — Analysts and risk monitors highlight Project Leap’s cost and execution risks, which could pressure productivity and margins if issues persist. Project Leap raises risks
• Negative Sentiment: Top-line softness and margin strain concerns — While EPS beat, revenue missed and management flagged margin pressure in the call, which limits optimism about a quick re-rating. Earnings call: bookings shine amid margin strain

Insider Buying and Selling at Cognizant Technology Solutions

In related news, insider Surya Gummadi sold 1,728 shares of the company's stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $83.06, for a total value of $143,527.68. Following the sale, the insider owned 25,641 shares in the company, valued at $2,129,741.46. This represents a 6.31% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 0.32% of the stock is currently owned by corporate insiders.

Cognizant Technology Solutions 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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