Price T Rowe Associates Inc. MD Reduces Stake in Cognizant Technology Solutions Corporation $CTSH

Key Points

• Price T Rowe Associates Inc. MD reduced its stake in Cognizant Technology Solutions by 0.6%, holding approximately 3.36 million shares worth $257.17 million as of the end of the first quarter.
• Multiple hedge funds, including Ritholtz Wealth Management and Janney Montgomery Scott LLC, increased their positions in Cognizant during the same period, indicating significant interest from institutional investors.
• Cognizant Technology Solutions announced a quarterly dividend of $0.31, representing an annualized yield of 1.7%, with a payout ratio currently at 25.20%.

Price T Rowe Associates Inc. MD lowered its holdings in Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) by 0.6% in the 1st quarter, according to the company in its most recent filing with the SEC. The firm owned 3,361,733 shares of the information technology service provider's stock after selling 19,147 shares during the quarter. Price T Rowe Associates Inc. MD owned approximately 0.68% of Cognizant Technology Solutions worth $257,174,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also bought and sold shares of the company. Park Square Financial Group LLC purchased a new stake in Cognizant Technology Solutions in the 4th quarter worth approximately $36,000. CoreCap Advisors LLC raised its position in shares of Cognizant Technology Solutions by 21.5% in the 4th quarter. CoreCap Advisors LLC now owns 711 shares of the information technology service provider's stock worth $55,000 after acquiring an additional 126 shares in the last quarter. Pinney & Scofield Inc. bought a new position in shares of Cognizant Technology Solutions in the 4th quarter worth approximately $55,000. Optiver Holding B.V. bought a new position in shares of Cognizant Technology Solutions in the 4th quarter worth approximately $66,000. Finally, Zions Bancorporation National Association UT bought a new position in shares of Cognizant Technology Solutions in the 1st quarter worth approximately $66,000. Hedge funds and other institutional investors own 92.44% of the company's stock.

Analysts Set New Price Targets

Several brokerages have recently issued reports on CTSH. Deutsche Bank Aktiengesellschaft began coverage on Cognizant Technology Solutions in a research report on Thursday, July 17th. They issued a "hold" rating and a $80.00 target price for the company. Susquehanna raised Cognizant Technology Solutions from a "neutral" rating to a "positive" rating and raised their price objective for the company from $77.00 to $90.00 in a research report on Thursday, May 1st. Guggenheim raised Cognizant Technology Solutions from a "neutral" rating to a "buy" rating and set a $90.00 price objective for the company in a research report on Friday, July 18th. Robert W. Baird raised their price objective on Cognizant Technology Solutions from $78.00 to $82.00 and gave the company a "neutral" rating in a research report on Thursday, May 1st. Finally, TD Securities raised their price objective on Cognizant Technology Solutions from $77.00 to $79.00 and gave the company a "hold" rating in a research report on Thursday, May 1st. Five analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Cognizant Technology Solutions currently has a consensus rating of "Hold" and a consensus price target of $86.07.

Cognizant Technology Solutions Stock Down 0.8%

Shares of Cognizant Technology Solutions stock traded down $0.58 on Thursday, reaching $71.73. The company's stock had a trading volume of 1,779,997 shares, compared to its average volume of 3,827,932. The company has a market capitalization of $35.03 billion, a price-to-earnings ratio of 14.59, a P/E/G ratio of 1.49 and a beta of 0.90. The firm's fifty day simple moving average is $74.49 and its two-hundred day simple moving average is $77.29. Cognizant Technology Solutions Corporation has a 52 week low of $65.52 and a 52 week high of $90.82. The company has a quick ratio of 2.41, a current ratio of 2.41 and a debt-to-equity ratio of 0.04.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last posted its earnings results on Wednesday, July 30th. The information technology service provider reported $1.31 EPS for the quarter, topping analysts' consensus estimates of $1.26 by $0.05. The business had revenue of $5.25 billion during the quarter, compared to analyst estimates of $5.17 billion. Cognizant Technology Solutions had a return on equity of 16.77% and a net margin of 11.89%.The company's quarterly revenue was up 8.1% compared to the same quarter last year. During the same quarter last year, the company earned $1.17 EPS. Cognizant Technology Solutions has set its FY 2025 guidance at 5.080-5.220 EPS. Q3 2025 guidance at EPS. Equities analysts anticipate that Cognizant Technology Solutions Corporation will post 4.98 earnings per share for the current year.

Cognizant Technology Solutions Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, August 26th. Shareholders of record on Monday, August 18th were issued a $0.31 dividend. The ex-dividend date of this dividend was Monday, August 18th. This represents a $1.24 dividend on an annualized basis and a dividend yield of 1.7%. Cognizant Technology Solutions's dividend payout ratio (DPR) is presently 25.20%.

Cognizant Technology Solutions Company Profile

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.