Prudential PLC Purchases 132,544 Shares of Cognizant Technology Solutions Corporation $CTSH

Key Points

• Prudential PLC boosted its stake in Cognizant Technology Solutions by 250.5% in the fourth quarter, buying 132,544 shares and lifting its total holding to 185,463 shares valued at about $15.4 million.
• Cognizant reported better-than-expected quarterly earnings, posting $1.40 EPS versus the $1.33 estimate, while revenue came in at $5.41 billion and rose 5.8% year over year.
• The company also announced a $2 billion share buyback and continued its dividend, paying $0.33 per share for a 2.5% annualized yield, though Wall Street currently rates the stock a consensus Hold.

Prudential PLC increased its position in Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) by 250.5% in the 4th quarter, according to its most recent 13F filing with the SEC. The firm owned 185,463 shares of the information technology service provider's stock after buying an additional 132,544 shares during the period. Prudential PLC's holdings in Cognizant Technology Solutions were worth $15,393,000 at the end of the most recent quarter.

Other hedge funds also recently bought and sold shares of the company. JPL Wealth Management LLC bought a new position in Cognizant Technology Solutions in the 3rd quarter worth $25,000. Lodestone Wealth Management LLC bought a new position in Cognizant Technology Solutions in the 4th quarter worth $28,000. Flagship Harbor Advisors LLC bought a new position in Cognizant Technology Solutions in the 4th quarter worth $28,000. Physician Wealth Advisors Inc. boosted its holdings in shares of Cognizant Technology Solutions by 165.1% during the 4th quarter. Physician Wealth Advisors Inc. now owns 342 shares of the information technology service provider's stock valued at $28,000 after purchasing an additional 213 shares during the last quarter. Finally, Towne Trust Company N.A boosted its holdings in shares of Cognizant Technology Solutions by 85.0% during the 4th quarter. Towne Trust Company N.A now owns 370 shares of the information technology service provider's stock valued at $31,000 after purchasing an additional 170 shares during the last quarter. Institutional investors own 92.44% of the company's stock.

Cognizant Technology Solutions Stock Down 0.4%

Shares of NASDAQ:CTSH opened at $53.21 on Friday. The company has a current ratio of 2.23, a quick ratio of 2.23 and a debt-to-equity ratio of 0.04. Cognizant Technology Solutions Corporation has a 12 month low of $45.48 and a 12 month high of $87.03. The company has a 50-day moving average price of $55.65 and a 200 day moving average price of $68.48. The company has a market cap of $25.21 billion, a price-to-earnings ratio of 11.57, a PEG ratio of 1.13 and a beta of 0.81.

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

Cognizant Technology Solutions declared that its Board of Directors has approved a share buyback plan on Monday, May 18th that allows the company to repurchase $2.00 billion in shares. This repurchase authorization allows the information technology service provider to buy up to 9% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's management believes its shares are undervalued.

Cognizant Technology Solutions Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, May 27th. Investors of record on Monday, May 18th were issued a $0.33 dividend. The ex-dividend date of this dividend was 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 (DPR) is presently 28.70%.

Wall Street Analyst Weigh In

CTSH has been the subject of several research reports. Guggenheim dropped their price objective on shares of Cognizant Technology Solutions from $85.00 to $80.00 and set a "buy" rating for the company in a report on Thursday, April 30th. Evercore dropped their price objective on shares of Cognizant Technology Solutions from $100.00 to $70.00 in a report on Thursday, April 30th. Berenberg Bank dropped their price objective on shares of Cognizant Technology Solutions from $107.00 to $81.00 and set a "buy" rating for the company in a report on Monday, May 11th. Morgan Stanley dropped their price objective on shares of Cognizant Technology Solutions from $70.00 to $63.00 and set an "equal weight" rating for the company in a report on Thursday, April 30th. Finally, Truist Financial initiated coverage on shares of Cognizant Technology Solutions in a report on Monday, June 1st. They set a "hold" rating and a $66.00 price objective for the company. Ten investment analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company. According to MarketBeat, Cognizant Technology Solutions currently has a consensus rating of "Hold" and an average price target of $72.68.

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.