Cognizant Technology Solutions (NASDAQ:CTSH) Releases FY 2025 Earnings Guidance

Cognizant Technology Solutions (NASDAQ:CTSH) issued an update on its FY 2025 earnings guidance on Wednesday. The company provided earnings per share guidance of 4.900-5.060 for the period, compared to the consensus estimate of 4.960. The company issued revenue guidance of $20.3 billion-$20.8 billion, compared to the consensus revenue estimate of $20.9 billion. Cognizant Technology Solutions also updated its Q1 2025 guidance to EPS.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the stock. Barclays raised shares of Cognizant Technology Solutions from an “equal weight” rating to an “overweight” rating and increased their price objective for the stock from $80.00 to $95.00 in a research note on Tuesday, December 17th. Royal Bank of Canada increased their price target on shares of Cognizant Technology Solutions from $82.00 to $93.00 and gave the company a “sector perform” rating in a report on Thursday. Morgan Stanley boosted their price objective on Cognizant Technology Solutions from $80.00 to $85.00 and gave the stock an “equal weight” rating in a research note on Thursday. UBS Group raised their price objective on Cognizant Technology Solutions from $83.00 to $86.00 and gave the company a “neutral” rating in a research note on Monday. Finally, Deutsche Bank Aktiengesellschaft raised their price target on Cognizant Technology Solutions from $70.00 to $80.00 and gave the stock a “hold” rating in a research report on Tuesday, October 22nd. Sixteen investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $83.22.

Cognizant Technology Solutions Trading Down 0.7 %

Shares of NASDAQ:CTSH traded down $0.65 during mid-day trading on Friday, reaching $86.44. 278,512 shares of the company were exchanged, compared to its average volume of 2,893,986. The firm has a market cap of $42.86 billion, a price-to-earnings ratio of 19.14, a P/E/G ratio of 2.21 and a beta of 1.07. The company has a debt-to-equity ratio of 0.08, a current ratio of 2.23 and a quick ratio of 2.23. Cognizant Technology Solutions has a 1 year low of $63.79 and a 1 year high of $87.61. The firm’s 50-day simple moving average is $79.44 and its 200 day simple moving average is $77.52.

Cognizant Technology Solutions (NASDAQ:CTSH) last issued its quarterly earnings results on Wednesday, February 5th. The information technology service provider reported $1.21 EPS for the quarter, beating the consensus estimate of $1.12 by $0.09. Cognizant Technology Solutions had a net margin of 11.60% and a return on equity of 17.08%. Equities research analysts forecast that Cognizant Technology Solutions will post 4.66 EPS for the current year.

Cognizant Technology Solutions Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, February 26th. Investors of record on Tuesday, February 18th will be paid a dividend of $0.31 per share. The ex-dividend date is Tuesday, February 18th. This represents a $1.24 dividend on an annualized basis and a dividend yield of 1.43%. This is an increase from Cognizant Technology Solutions’s previous quarterly dividend of $0.30. Cognizant Technology Solutions’s payout ratio is presently 26.55%.

Insider Transactions at Cognizant Technology Solutions

In related news, CAO John Sunshin Kim sold 5,000 shares of the stock in a transaction on Tuesday, December 3rd. The stock was sold at an average price of $80.11, for a total transaction of $400,550.00. Following the completion of the sale, the chief accounting officer now directly owns 39,022 shares of the company’s stock, valued at $3,126,052.42. This trade represents a 11.36 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 0.26% of the company’s stock.

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.