Equities Analysts Set Expectations for CTSH Q4 Earnings

Cognizant Technology Solutions Co. (NASDAQ:CTSH - Free Report) - Research analysts at William Blair upped their Q4 2025 EPS estimates for shares of Cognizant Technology Solutions in a research report issued on Thursday, May 1st. William Blair analyst M. Nolan now expects that the information technology service provider will post earnings per share of $1.34 for the quarter, up from their previous estimate of $1.32. The consensus estimate for Cognizant Technology Solutions' current full-year earnings is $4.98 per share. William Blair also issued estimates for Cognizant Technology Solutions' Q1 2026 earnings at $1.33 EPS, Q2 2026 earnings at $1.33 EPS, Q3 2026 earnings at $1.32 EPS and Q4 2026 earnings at $1.39 EPS.

Other equities research analysts also recently issued reports about the stock. StockNews.com raised shares of Cognizant Technology Solutions from a "hold" rating to a "buy" rating in a research report on Thursday, February 6th. Barclays decreased their price target on Cognizant Technology Solutions from $103.00 to $90.00 and set an "overweight" rating for the company in a research report on Friday, April 25th. Needham & Company LLC reissued a "hold" rating on shares of Cognizant Technology Solutions in a research report on Thursday, May 1st. Morgan Stanley reduced their price objective on Cognizant Technology Solutions from $85.00 to $80.00 and set an "equal weight" rating for the company in a research note on Wednesday, March 12th. Finally, Robert W. Baird lifted their target price on Cognizant Technology Solutions from $78.00 to $82.00 and gave the stock a "neutral" rating in a research note on Thursday, May 1st. Fifteen equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, Cognizant Technology Solutions has an average rating of "Hold" and a consensus target price of $83.87.

Cognizant Technology Solutions Stock Up 0.2 %

Shares of NASDAQ CTSH traded up $0.17 during trading on Monday, hitting $79.38. The stock had a trading volume of 1,188,350 shares, compared to its average volume of 3,941,856. The firm has a fifty day moving average of $75.32 and a two-hundred day moving average of $78.58. The company has a market capitalization of $39.26 billion, a PE ratio of 17.60, a PEG ratio of 2.11 and a beta of 0.93. The company has a debt-to-equity ratio of 0.06, a current ratio of 2.09 and a quick ratio of 2.09. Cognizant Technology Solutions has a 12 month low of $63.79 and a 12 month high of $90.82.

Cognizant Technology Solutions (NASDAQ:CTSH - Get Free Report) last announced its earnings results on Wednesday, April 30th. The information technology service provider reported $1.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.20 by $0.03. The company had revenue of $5.12 billion for the quarter, compared to analysts' expectations of $5.06 billion. Cognizant Technology Solutions had a return on equity of 16.78% and a net margin of 11.35%. Cognizant Technology Solutions's quarterly revenue was up 7.5% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.12 earnings per share.

Institutional Trading of Cognizant Technology Solutions

A number of institutional investors have recently added to or reduced their stakes in the stock. World Investment Advisors LLC boosted its position in shares of Cognizant Technology Solutions by 21.8% in the third quarter. World Investment Advisors LLC now owns 5,634 shares of the information technology service provider's stock valued at $435,000 after acquiring an additional 1,010 shares during the period. Wilmington Savings Fund Society FSB purchased a new position in shares of Cognizant Technology Solutions during the 3rd quarter valued at $155,000. Principal Financial Group Inc. increased its holdings in shares of Cognizant Technology Solutions by 5.0% in the third quarter. Principal Financial Group Inc. now owns 665,305 shares of the information technology service provider's stock worth $51,348,000 after purchasing an additional 31,758 shares during the period. GAMMA Investing LLC raised its position in shares of Cognizant Technology Solutions by 14.0% in the fourth quarter. GAMMA Investing LLC now owns 10,057 shares of the information technology service provider's stock worth $773,000 after buying an additional 1,235 shares in the last quarter. Finally, Nordea Investment Management AB boosted its stake in Cognizant Technology Solutions by 5.1% during the fourth quarter. Nordea Investment Management AB now owns 42,651 shares of the information technology service provider's stock valued at $3,282,000 after buying an additional 2,061 shares during the period. Hedge funds and other institutional investors own 92.44% of the company's stock.

Cognizant Technology Solutions declared that its Board of Directors has authorized a share repurchase program on Tuesday, March 25th that allows the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization allows the information technology service provider to purchase up to 5.1% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company's leadership believes its shares are undervalued.

Cognizant Technology Solutions Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, May 28th. Stockholders of record on Monday, May 19th will be given a $0.31 dividend. This represents a $1.24 annualized dividend and a dividend yield of 1.56%. The ex-dividend date of this dividend is Monday, May 19th. Cognizant Technology Solutions's dividend payout ratio (DPR) is presently 26.11%.

About Cognizant Technology Solutions

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.