Cognizant Technology Solutions Co. (NASDAQ:CTSH) Sees Significant Growth in Short Interest

Cognizant Technology Solutions Co. (NASDAQ:CTSH) was the recipient of a significant increase in short interest in the month of February. As of February 28th, there was short interest totalling 18,970,000 shares, an increase of 26.1% from the February 13th total of 15,040,000 shares. Currently, 3.9% of the shares of the company are sold short. Based on an average trading volume of 3,420,000 shares, the short-interest ratio is presently 5.5 days.

Wall Street Analysts Forecast Growth

Several analysts recently commented on CTSH shares. BMO Capital Markets raised their target price on Cognizant Technology Solutions from $88.00 to $94.00 and gave the stock a “market perform” rating in a report on Thursday, February 6th. Morgan Stanley dropped their target price on Cognizant Technology Solutions from $85.00 to $80.00 and set an “equal weight” rating on the stock in a report on Wednesday, March 12th. StockNews.com raised Cognizant Technology Solutions from a “hold” rating to a “buy” rating in a report on Thursday, February 6th. Barclays raised their target price on Cognizant Technology Solutions from $95.00 to $103.00 and gave the stock an “overweight” rating in a report on Monday, February 10th. Finally, UBS Group dropped their price objective on Cognizant Technology Solutions from $93.00 to $88.00 and set a “neutral” rating on the stock in a report on Monday. Sixteen research analysts have rated the stock with a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat.com, Cognizant Technology Solutions has an average rating of “Hold” and a consensus target price of $83.50.

Hedge Funds Weigh In On Cognizant Technology Solutions

A number of institutional investors have recently added to or reduced their stakes in CTSH. Duncker Streett & Co. Inc. purchased a new position in Cognizant Technology Solutions during the fourth quarter worth approximately $28,000. Trust Co. of Vermont lifted its position in Cognizant Technology Solutions by 188.4% during the fourth quarter. Trust Co. of Vermont now owns 447 shares of the information technology service provider’s stock worth $34,000 after buying an additional 292 shares in the last quarter. SBI Securities Co. Ltd. purchased a new position in Cognizant Technology Solutions during the fourth quarter worth approximately $36,000. Park Square Financial Group LLC purchased a new position in Cognizant Technology Solutions during the fourth quarter worth approximately $36,000. Finally, Spire Wealth Management lifted its position in Cognizant Technology Solutions by 74.7% during the fourth quarter. Spire Wealth Management now owns 477 shares of the information technology service provider’s stock worth $37,000 after buying an additional 204 shares in the last quarter. Hedge funds and other institutional investors own 92.44% of the company’s stock.

Cognizant Technology Solutions Price Performance

Shares of NASDAQ CTSH traded down $0.44 during midday trading on Tuesday, hitting $79.58. The stock had a trading volume of 2,584,015 shares, compared to its average volume of 3,437,360. The company has a market capitalization of $39.36 billion, a PE ratio of 17.65, a P/E/G ratio of 2.11 and a beta of 1.12. The stock has a 50 day simple moving average of $82.46 and a 200-day simple moving average of $79.44. Cognizant Technology Solutions has a 1 year low of $63.79 and a 1 year high of $90.82. The company has a quick ratio of 2.09, a current ratio of 2.09 and a debt-to-equity ratio of 0.06.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its earnings results 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 16.78% and a net margin of 11.35%. On average, sell-side analysts expect that Cognizant Technology Solutions will post 4.98 EPS for the current fiscal year.

Cognizant Technology Solutions Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, February 26th. Investors of record on Tuesday, February 18th were given a dividend of $0.31 per share. This is an increase from Cognizant Technology Solutions’s previous quarterly dividend of $0.30. The ex-dividend date was Tuesday, February 18th. This represents a $1.24 dividend on an annualized basis and a yield of 1.56%. Cognizant Technology Solutions’s dividend payout ratio (DPR) is presently 27.49%.

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.