Cognizant Technology Solutions (NASDAQ:CTSH) Cut to Hold at StockNews.com

StockNews.com cut shares of Cognizant Technology Solutions (NASDAQ:CTSH) from a buy rating to a hold rating in a research note published on Wednesday morning.

Other equities analysts have also recently issued reports about the company. Deutsche Bank Aktiengesellschaft raised their target price on Cognizant Technology Solutions from $70.00 to $80.00 and gave the company a “hold” rating in a report on Tuesday. Royal Bank of Canada upped their target price on shares of Cognizant Technology Solutions from $81.00 to $82.00 and gave the stock a “sector perform” rating in a research note on Wednesday, August 28th. Jefferies Financial Group began coverage on shares of Cognizant Technology Solutions in a research report on Wednesday, August 28th. They issued a “buy” rating and a $90.00 price target for the company. Robert W. Baird upped their price objective on Cognizant Technology Solutions from $75.00 to $78.00 and gave the stock a “neutral” rating in a research report on Thursday, August 1st. Finally, JPMorgan Chase & Co. lifted their target price on Cognizant Technology Solutions from $82.00 to $89.00 and gave the company a “neutral” rating in a report on Friday, September 6th. One research analyst has rated the stock with a sell rating, nineteen have issued a hold rating and three have given a buy rating to the stock. According to MarketBeat, Cognizant Technology Solutions has an average rating of “Hold” and an average target price of $77.58.

Cognizant Technology Solutions Price Performance

Shares of CTSH opened at $74.82 on Wednesday. The firm has a 50-day simple moving average of $76.52 and a two-hundred day simple moving average of $71.79. The stock has a market cap of $37.20 billion, a PE ratio of 17.99, a P/E/G ratio of 2.16 and a beta of 1.05. Cognizant Technology Solutions has a 1-year low of $62.14 and a 1-year high of $80.27. The company has a debt-to-equity ratio of 0.04, a current ratio of 2.46 and a quick ratio of 2.46.

Cognizant Technology Solutions (NASDAQ:CTSH) last announced its earnings results on Wednesday, July 31st. The information technology service provider reported $1.17 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.12 by $0.05. Cognizant Technology Solutions had a return on equity of 17.31% and a net margin of 11.39%. The company had revenue of $4.85 billion for the quarter, compared to analyst estimates of $4.80 billion. During the same quarter in the previous year, the company earned $1.10 earnings per share. The firm’s quarterly revenue was down .7% compared to the same quarter last year. As a group, analysts forecast that Cognizant Technology Solutions will post 4.62 EPS for the current year.

Cognizant Technology Solutions Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 28th. Stockholders of record on Tuesday, August 20th were given a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.60%. The ex-dividend date was Tuesday, August 20th. Cognizant Technology Solutions’s dividend payout ratio (DPR) is currently 28.85%.

Insider Activity

In related news, CEO Ravi Kumar Singisetti sold 6,728 shares of the firm’s stock in a transaction that occurred on Tuesday, August 6th. The stock was sold at an average price of $73.66, for a total transaction of $495,584.48. Following the transaction, the chief executive officer now owns 46,427 shares in the company, valued at $3,419,812.82. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Company insiders own 0.26% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. 1620 Investment Advisors Inc. purchased a new position in shares of Cognizant Technology Solutions during the second quarter worth about $25,000. LRI Investments LLC purchased a new position in shares of Cognizant Technology Solutions in the 1st quarter valued at approximately $28,000. Pinnacle Bancorp Inc. increased its holdings in shares of Cognizant Technology Solutions by 47.4% in the third quarter. Pinnacle Bancorp Inc. now owns 454 shares of the information technology service provider’s stock valued at $35,000 after purchasing an additional 146 shares during the period. Eastern Bank purchased a new stake in shares of Cognizant Technology Solutions during the third quarter worth approximately $37,000. Finally, Benjamin Edwards Inc. lifted its holdings in shares of Cognizant Technology Solutions by 42.1% during the second quarter. Benjamin Edwards Inc. now owns 533 shares of the information technology service provider’s stock worth $36,000 after purchasing an additional 158 shares during the period. 92.44% of the stock is owned by hedge funds and other institutional investors.

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.