Ritholtz Wealth Management Acquires 18,855 Shares of Cognizant Technology Solutions Corporation $CTSH

Key Points

• Ritholtz Wealth Management boosted its stake in Cognizant by 123.3%, adding 18,855 shares to hold 34,148 shares valued at about $2.83 million at the end of the quarter.
• Cognizant beat quarterly estimates with EPS of $1.35 (vs. $1.32 consensus) and revenue of $5.33 billion, and set FY2026 guidance of $5.560–$5.700 EPS.
• The company raised its quarterly dividend to $0.33 (annualized $1.32, ~2.3% yield), while analysts' consensus rating is a "Hold" with an average target price of $85.84.

Ritholtz Wealth Management boosted its holdings in Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) by 123.3% during the 4th quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 34,148 shares of the information technology service provider's stock after acquiring an additional 18,855 shares during the quarter. Ritholtz Wealth Management's holdings in Cognizant Technology Solutions were worth $2,834,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. AustralianSuper Pty Ltd purchased a new stake in Cognizant Technology Solutions in the 3rd quarter valued at about $4,422,000. Thrivent Financial for Lutherans increased its stake in Cognizant Technology Solutions by 60.9% in the 2nd quarter. Thrivent Financial for Lutherans now owns 39,474 shares of the information technology service provider's stock valued at $3,079,000 after buying an additional 14,946 shares during the last quarter. Alps Advisors Inc. increased its stake in Cognizant Technology Solutions by 16.5% in the 3rd quarter. Alps Advisors Inc. now owns 306,078 shares of the information technology service provider's stock valued at $20,529,000 after buying an additional 43,252 shares during the last quarter. Arjuna Capital increased its stake in Cognizant Technology Solutions by 62.6% in the 3rd quarter. Arjuna Capital now owns 24,622 shares of the information technology service provider's stock valued at $1,651,000 after buying an additional 9,482 shares during the last quarter. Finally, National Pension Service increased its stake in Cognizant Technology Solutions by 5.5% in the 3rd quarter. National Pension Service now owns 863,720 shares of the information technology service provider's stock valued at $57,930,000 after buying an additional 45,016 shares during the last quarter. Hedge funds and other institutional investors own 92.44% of the company's stock.

Insider Buying and Selling

In related news, insider Surya Gummadi sold 1,728 shares of the firm's stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $83.06, for a total value of $143,527.68. Following the completion of the transaction, the insider directly owned 25,641 shares of the company's stock, valued at approximately $2,129,741.46. This trade represents a 6.31% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.32% of the company's stock.

Cognizant Technology Solutions Price Performance

CTSH opened at $57.92 on Monday. The company has a 50 day moving average of $64.76 and a 200 day moving average of $72.58. The company has a market cap of $27.70 billion, a PE ratio of 12.73, a price-to-earnings-growth ratio of 1.26 and a beta of 0.98. Cognizant Technology Solutions Corporation has a 12 month low of $57.39 and a 12 month high of $87.03. The company has a current ratio of 2.14, a quick ratio of 2.14 and a debt-to-equity ratio of 0.04.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last released its quarterly earnings data on Wednesday, February 4th. The information technology service provider reported $1.35 EPS for the quarter, topping the consensus estimate of $1.32 by $0.03. The company had revenue of $5.33 billion during the quarter, compared to the consensus estimate of $5.31 billion. Cognizant Technology Solutions had a net margin of 10.56% and a return on equity of 17.17%. Cognizant Technology Solutions's revenue for the quarter was up 4.9% on a year-over-year basis. During the same period last year, the firm earned $1.21 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. On average, sell-side analysts expect that Cognizant Technology Solutions Corporation will post 4.98 EPS for the current year.

Cognizant Technology Solutions Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, February 26th. Investors of record on Wednesday, February 18th were issued a $0.33 dividend. This is a boost from Cognizant Technology Solutions's previous quarterly dividend of $0.31. The ex-dividend date of this dividend was Wednesday, February 18th. This represents a $1.32 annualized dividend and a yield of 2.3%. Cognizant Technology Solutions's payout ratio is 29.01%.

Analyst Upgrades and Downgrades

Several research firms have commented on CTSH. Citigroup decreased their price objective on shares of Cognizant Technology Solutions from $86.00 to $68.00 and set a "neutral" rating for the company in a research note on Tuesday, April 7th. Berenberg Bank set a $107.00 price objective on shares of Cognizant Technology Solutions and gave the company a "buy" rating in a research note on Thursday, January 22nd. TD Cowen decreased their price objective on shares of Cognizant Technology Solutions from $85.00 to $71.00 and set a "hold" rating for the company in a research note on Friday, March 13th. Wedbush started coverage on shares of Cognizant Technology Solutions in a research report on Thursday. They set a "neutral" rating and a $61.00 target price for the company. Finally, UBS Group set a $71.00 target price on shares of Cognizant Technology Solutions in a research report on Friday, March 13th. Nine equities research analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average target price of $85.84.

About Cognizant Technology Solutions

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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