Cognizant Technology Solutions (NASDAQ:CTSH) Hits New 52-Week High – Here’s Why

Cognizant Technology Solutions Co. (NASDAQ:CTSH) shares hit a new 52-week high on Wednesday . The company traded as high as $82.22 and last traded at $82.11, with a volume of 438493 shares changing hands. The stock had previously closed at $81.74.

Wall Street Analyst Weigh In

CTSH has been the topic of a number of research reports. JPMorgan Chase & Co. increased their price objective on Cognizant Technology Solutions from $82.00 to $89.00 and gave the company a “neutral” rating in a report on Friday, September 6th. TD Cowen raised their price objective on shares of Cognizant Technology Solutions from $75.00 to $76.00 and gave the stock a “hold” rating in a research note on Thursday, October 31st. Daiwa America upgraded shares of Cognizant Technology Solutions to a “hold” rating in a research note on Tuesday, August 27th. Deutsche Bank Aktiengesellschaft raised their price target on shares of Cognizant Technology Solutions from $70.00 to $80.00 and gave the company a “hold” rating in a research report on Tuesday, October 22nd. Finally, StockNews.com downgraded shares of Cognizant Technology Solutions from a “buy” rating to a “hold” rating in a research report on Friday, November 8th. One analyst has rated the stock with a sell rating, eighteen have issued a hold rating and three have assigned a buy rating to the stock. According to MarketBeat, Cognizant Technology Solutions presently has an average rating of “Hold” and an average target price of $78.83.

Cognizant Technology Solutions Stock Up 0.6 %

The firm’s fifty day simple moving average is $76.64 and its two-hundred day simple moving average is $72.63. The company has a market capitalization of $40.78 billion, a price-to-earnings ratio of 18.17, a price-to-earnings-growth ratio of 2.25 and a beta of 1.05. 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 issued its quarterly earnings data on Wednesday, October 30th. The information technology service provider reported $1.25 earnings per share for the quarter, topping the consensus estimate of $1.15 by $0.10. The company had revenue of $5.04 billion during the quarter, compared to analyst estimates of $4.99 billion. Cognizant Technology Solutions had a return on equity of 17.08% and a net margin of 11.60%. The firm’s revenue for the quarter was up 3.0% compared to the same quarter last year. During the same period in the prior year, the business posted $1.16 earnings per share. Sell-side analysts anticipate that Cognizant Technology Solutions Co. will post 4.66 EPS for the current year.

Cognizant Technology Solutions Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, November 27th. Stockholders of record on Tuesday, November 19th will be paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.46%. The ex-dividend date of this dividend is Tuesday, November 19th. Cognizant Technology Solutions’s dividend payout ratio (DPR) is 26.55%.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in CTSH. 1620 Investment Advisors Inc. acquired a new position in Cognizant Technology Solutions in the 2nd quarter valued at about $25,000. Addison Advisors LLC increased its stake in Cognizant Technology Solutions by 127.7% in the 3rd quarter. Addison Advisors LLC now owns 337 shares of the information technology service provider’s stock valued at $26,000 after purchasing an additional 189 shares in the last quarter. LRI Investments LLC acquired a new position in shares of Cognizant Technology Solutions during the 1st quarter worth $28,000. Ashton Thomas Securities LLC purchased a new stake in shares of Cognizant Technology Solutions in the third quarter valued at about $30,000. Finally, Pinnacle Bancorp Inc. increased its position in Cognizant Technology Solutions by 47.4% during the third quarter. Pinnacle Bancorp Inc. now owns 454 shares of the information technology service provider’s stock worth $35,000 after buying an additional 146 shares in the last quarter. 92.44% of the stock is currently owned by institutional investors and hedge funds.

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.