Vanguard Group Inc. Decreases Stock Holdings in Cognizant Technology Solutions Corporation $CTSH

Key Points

• Vanguard trimmed its stake in Cognizant by 0.2% in Q4, selling 138,437 shares and ending the quarter with 60,210,005 shares (about 12.47% of the company) valued at roughly $4.997 billion.
• Wall Street's consensus is a Hold with an average price target of $83.72, though analyst views diverge materially — Wells Fargo at $98 versus Citigroup cutting its target to $68.
• Cognizant slightly beat Q results (EPS $1.35 vs. $1.32; revenue $5.33B, +4.9% y/y), set FY2026 guidance of $5.56–$5.70 EPS, and raised its quarterly dividend to $0.33 (annualized yield ~2.4%).

Vanguard Group Inc. reduced its holdings in shares of Cognizant Technology Solutions Corporation (NASDAQ:CTSH - Free Report) by 0.2% in the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 60,210,005 shares of the information technology service provider's stock after selling 138,437 shares during the quarter. Vanguard Group Inc. owned 12.47% of Cognizant Technology Solutions worth $4,997,430,000 at the end of the most recent quarter.

Several other institutional investors also recently bought and sold shares of the business. Checchi Capital Advisers LLC grew its stake in Cognizant Technology Solutions by 3.4% during the fourth quarter. Checchi Capital Advisers LLC now owns 3,852 shares of the information technology service provider's stock worth $320,000 after buying an additional 127 shares during the period. Unison Advisors LLC boosted 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. boosted 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 boosted 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 boosted 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. 92.44% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

CTSH has been the subject of several analyst reports. Wells Fargo & Company restated an "overweight" rating and issued a $98.00 target price (up from $87.00) on shares of Cognizant Technology Solutions in a research note on Wednesday, January 14th. Royal Bank Of Canada upped their target price on shares of Cognizant Technology Solutions from $82.00 to $88.00 and gave the company a "sector perform" rating in a research note on Thursday, February 5th. Mizuho set a $87.00 target price on shares of Cognizant Technology Solutions in a research note on Monday, February 9th. Citigroup decreased their target price 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. Finally, Argus upgraded shares of Cognizant Technology Solutions to a "hold" rating in a research note on Tuesday, February 10th. Eight investment analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Hold" and an average price target of $83.72.

Insider Buying and Selling at Cognizant Technology Solutions

In other Cognizant Technology Solutions news, insider Surya Gummadi sold 1,728 shares of the stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $83.06, for a total transaction of $143,527.68. Following the sale, the insider directly owned 25,641 shares of the company's stock, valued at approximately $2,129,741.46. This represents a 6.31% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 0.32% of the company's stock.

Cognizant Technology Solutions Trading Down 0.9%

NASDAQ CTSH opened at $54.63 on Tuesday. Cognizant Technology Solutions Corporation has a 12 month low of $54.26 and a 12 month high of $87.03. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.14 and a quick ratio of 2.14. The company has a market capitalization of $26.13 billion, a price-to-earnings ratio of 12.01, a price-to-earnings-growth ratio of 1.20 and a beta of 0.98. The company's fifty day moving average price is $61.56 and its two-hundred day moving average price is $71.91.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last posted its quarterly earnings data on Wednesday, February 4th. The information technology service provider reported $1.35 EPS for the quarter, beating analysts' consensus estimates of $1.32 by $0.03. Cognizant Technology Solutions had a net margin of 10.56% and a return on equity of 17.17%. The firm had revenue of $5.33 billion for the quarter, compared to the consensus estimate of $5.31 billion. The firm's revenue was up 4.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.21 EPS. Cognizant Technology Solutions has set its FY 2026 guidance at 5.560-5.700 EPS. As a group, research analysts predict that Cognizant Technology Solutions Corporation will post 5.65 earnings per share for the current fiscal year.

Cognizant Technology Solutions Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, February 26th. Shareholders of record on Wednesday, February 18th were issued a dividend of $0.33 per share. This represents a $1.32 dividend on an annualized basis and a dividend yield of 2.4%. This is a positive change from Cognizant Technology Solutions's previous quarterly dividend of $0.31. The ex-dividend date of this dividend was Wednesday, February 18th. Cognizant Technology Solutions's dividend payout ratio is currently 29.01%.

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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