Cognizant Technology Solutions (NASDAQ:CTSH) Rating Increased to Buy at Guggenheim

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) was upgraded by analysts at Guggenheim from a "neutral" rating to a "buy" rating in a report released on Friday, Marketbeat Ratings reports. The firm presently has a $90.00 price target on the information technology service provider's stock. Guggenheim's price target would indicate a potential upside of 18.92% from the stock's previous close.

CTSH has been the topic of several other research reports. JPMorgan Chase & Co. upgraded Cognizant Technology Solutions from a "neutral" rating to an "overweight" rating and lifted their price objective for the stock from $88.00 to $98.00 in a report on Monday, May 19th. Evercore ISI began coverage on Cognizant Technology Solutions in a research note on Thursday. They issued an "outperform" rating and a $100.00 price target on the stock. TD Securities increased their price objective on Cognizant Technology Solutions from $77.00 to $79.00 and gave the company a "hold" rating in a research note on Thursday, May 1st. Royal Bank Of Canada reaffirmed a "sector perform" rating and issued a $93.00 target price on shares of Cognizant Technology Solutions in a research note on Wednesday, March 26th. Finally, Needham & Company LLC reissued a "hold" rating on shares of Cognizant Technology Solutions in a research report on Thursday, May 1st. Thirteen analysts have rated the stock with a hold rating and seven have issued a buy rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $86.18.

Cognizant Technology Solutions Stock Performance

Shares of NASDAQ CTSH traded up $0.12 during midday trading on Friday, reaching $75.68. The company's stock had a trading volume of 4,901,713 shares, compared to its average volume of 3,531,732. The stock has a market capitalization of $37.31 billion, a P/E ratio of 15.93, a PEG ratio of 1.74 and a beta of 0.96. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.22 and a quick ratio of 2.22. The firm has a 50 day moving average price of $79.11 and a 200-day moving average price of $78.71. Cognizant Technology Solutions has a 12-month low of $65.52 and a 12-month high of $90.82.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last issued its quarterly earnings results on Wednesday, April 30th. The information technology service provider reported $1.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.20 by $0.03. Cognizant Technology Solutions had a net margin of 11.73% and a return on equity of 16.73%. The company had revenue of $5.12 billion during the quarter, compared to analyst estimates of $5.06 billion. During the same quarter last year, the business posted $1.12 EPS. Cognizant Technology Solutions's quarterly revenue was up 7.5% compared to the same quarter last year. As a group, equities analysts predict that Cognizant Technology Solutions will post 4.98 earnings per share for the current year.

Cognizant Technology Solutions announced that its Board of Directors has authorized a share repurchase plan on Tuesday, March 25th that authorizes the company to buyback $2.00 billion in shares. This buyback authorization authorizes the information technology service provider to purchase up to 5.1% of its stock through open market purchases. Stock buyback plans are often an indication that the company's management believes its shares are undervalued.

Hedge Funds Weigh In On Cognizant Technology Solutions

Several institutional investors have recently made changes to their positions in the business. Park Square Financial Group LLC bought a new stake in Cognizant Technology Solutions during the fourth quarter valued at about $36,000. Geneos Wealth Management Inc. increased its holdings in Cognizant Technology Solutions by 118.8% in the 1st quarter. Geneos Wealth Management Inc. now owns 569 shares of the information technology service provider's stock worth $44,000 after acquiring an additional 309 shares in the last quarter. CoreCap Advisors LLC raised its stake in Cognizant Technology Solutions by 21.5% during 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 during the period. Pinney & Scofield Inc. purchased a new position in Cognizant Technology Solutions during the fourth quarter valued at approximately $55,000. Finally, Loomis Sayles & Co. L P bought a new position in shares of Cognizant Technology Solutions in the fourth quarter worth approximately $56,000. Institutional investors own 92.44% of the company's stock.

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.