Zacks Investment Research upgraded shares of Cognizant Technology Solutions (NASDAQ:CTSH) from a hold rating to a buy rating in a report published on Wednesday morning. They currently have $84.00 price target on the information technology service provider’s stock.
According to Zacks, “Cognizant’s growth can be attributed to its significant exposure to the fast-growing verticals like Financial Services and Healthcare. Higher demand from payer and top-tier consulting clients in the healthcare segment will help to sustain the growth momentum. The company’s ability to harness the ongoing digital transition is a tailwind. The company is also benefiting from accretive acquisitions and share repurchase program. Cognizant has also gained deep industry expertise and knowledge of the domains through partnerships with top firms like Microsoft and SAP. Estimates have been stable lately ahead of the company’s Q4 earnings release. The company has mixed record of earnings surprises in recent quarters. However, stiff competition in the IT services market remains a concern.”
Other analysts have also issued research reports about the stock. Vetr raised shares of Cognizant Technology Solutions from a hold rating to a strong-buy rating and set a $95.56 target price on the stock in a report on Wednesday, November 29th. BidaskClub lowered shares of Cognizant Technology Solutions from a buy rating to a hold rating in a report on Tuesday, December 5th. BMO Capital Markets upped their target price on shares of Cognizant Technology Solutions from $76.00 to $78.00 and gave the stock an outperform rating in a report on Thursday, November 2nd. Needham & Company LLC raised shares of Cognizant Technology Solutions from a buy rating to a strong-buy rating and upped their target price for the stock from $78.00 to $90.00 in a report on Wednesday, November 1st. Finally, William Blair raised shares of Cognizant Technology Solutions from a market perform rating to an outperform rating in a report on Wednesday, November 1st. Five investment analysts have rated the stock with a hold rating, twenty-one have assigned a buy rating and two have issued a strong buy rating to the company. The stock has an average rating of Buy and a consensus price target of $81.98.
Cognizant Technology Solutions (NASDAQ:CTSH) last posted its quarterly earnings results on Wednesday, November 1st. The information technology service provider reported $0.98 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.85 by $0.13. Cognizant Technology Solutions had a net margin of 13.42% and a return on equity of 18.94%. The company had revenue of $3.77 billion for the quarter, compared to analyst estimates of $3.77 billion. During the same quarter in the previous year, the firm posted $0.86 earnings per share. The company’s quarterly revenue was up 9.1% compared to the same quarter last year. equities research analysts expect that Cognizant Technology Solutions will post 3.35 earnings per share for the current fiscal year.
In other news, insider Venkat Krishnaswamy sold 4,000 shares of the company’s stock in a transaction on Monday, November 6th. The shares were sold at an average price of $75.00, for a total value of $300,000.00. Following the completion of the sale, the insider now owns 3,919 shares of the company’s stock, valued at approximately $293,925. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Sean Middleton sold 1,278 shares of the company’s stock in a transaction on Thursday, December 7th. The shares were sold at an average price of $71.36, for a total transaction of $91,198.08. Following the completion of the sale, the insider now directly owns 3,366 shares of the company’s stock, valued at approximately $240,197.76. The disclosure for this sale can be found here. Insiders sold a total of 889,911 shares of company stock valued at $64,936,834 in the last ninety days. 1.08% of the stock is owned by corporate insiders.
Institutional investors have recently made changes to their positions in the company. Acrospire Investment Management LLC boosted its stake in shares of Cognizant Technology Solutions by 92.6% in the 2nd quarter. Acrospire Investment Management LLC now owns 1,664 shares of the information technology service provider’s stock valued at $110,000 after purchasing an additional 800 shares in the last quarter. Bank of Nova Scotia Trust Co. purchased a new stake in Cognizant Technology Solutions during the 3rd quarter valued at $121,000. WFG Advisors LP boosted its position in Cognizant Technology Solutions by 46.4% during the 2nd quarter. WFG Advisors LP now owns 1,958 shares of the information technology service provider’s stock valued at $130,000 after buying an additional 621 shares during the period. Krilogy Financial LLC purchased a new stake in Cognizant Technology Solutions during the 2nd quarter valued at $137,000. Finally, BB&T Investment Services Inc. boosted its position in Cognizant Technology Solutions by 86.8% during the 3rd quarter. BB&T Investment Services Inc. now owns 2,176 shares of the information technology service provider’s stock valued at $141,000 after buying an additional 1,011 shares during the period. 86.04% of the stock is owned by institutional investors.
About Cognizant Technology Solutions
Cognizant Technology Solutions Corporation is a professional services company. The Company operates through four segments: Financial Services, Healthcare, Manufacturing/Retail/Logistics, and Other. The Financial Services segment includes customers providing banking/transaction processing, capital markets and insurance services.
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