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

Cognizant Technology Solutions (NASDAQ:CTSH) updated 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 earnings per share 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.

Cognizant Technology Solutions Price Performance

NASDAQ CTSH traded down $0.65 on Friday, hitting $86.44. 278,512 shares of the company’s stock were exchanged, compared to its average volume of 2,893,986. The stock has a 50-day moving average of $79.44 and a 200-day moving average of $77.52. The stock 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. Cognizant Technology Solutions has a 52 week low of $63.79 and a 52 week high of $87.61. The company has a current ratio of 2.23, a quick ratio of 2.23 and a debt-to-equity ratio of 0.08.

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

Cognizant Technology Solutions Increases Dividend

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

Analyst Ratings Changes

CTSH has been the subject of several recent research reports. Royal Bank of Canada boosted their price objective on Cognizant Technology Solutions from $82.00 to $93.00 and gave the company a “sector perform” rating in a report on Thursday. Mizuho boosted their price objective on Cognizant Technology Solutions from $83.00 to $84.00 and gave the stock a “neutral” rating in a report on Friday, November 1st. UBS Group lifted their price objective on shares of Cognizant Technology Solutions from $83.00 to $86.00 and gave the stock a “neutral” rating in a report on Monday. Barclays raised Cognizant Technology Solutions from an “equal weight” rating to an “overweight” rating and upped their target price for the company from $80.00 to $95.00 in a report on Tuesday, December 17th. Finally, Deutsche Bank Aktiengesellschaft boosted their price objective 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 assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $83.22.

Insider Buying and Selling

In other news, CAO John Sunshin Kim sold 5,000 shares of Cognizant Technology Solutions stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $80.11, for a total value of $400,550.00. Following the completion of the transaction, the chief accounting officer now owns 39,022 shares of the company’s stock, valued at $3,126,052.42. The trade was a 11.36 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.26% of the stock is owned by insiders.

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.