Cognizant Technology Solutions (NASDAQ:CTSH) Rating Increased to Buy at HSBC

Cognizant Technology Solutions (NASDAQ:CTSH) was upgraded by equities research analysts at HSBC from a “hold” rating to a “buy” rating in a report released on Thursday, Briefing.com reports. The brokerage currently has a $90.00 target price on the information technology service provider’s stock, up from their prior target price of $80.00. HSBC’s price target would indicate a potential upside of 32.84% from the company’s current price.

CTSH has been the topic of a number of other research reports. Zacks Investment Research upgraded Cognizant Technology Solutions from a “sell” rating to a “hold” rating and set a $79.00 target price on the stock in a research report on Monday, May 10th. Susquehanna decreased their target price on Cognizant Technology Solutions from $99.00 to $91.00 and set a “positive” rating on the stock in a research report on Wednesday, June 30th. Morgan Stanley decreased their target price on Cognizant Technology Solutions from $95.00 to $93.00 and set an “overweight” rating on the stock in a research report on Thursday, May 6th. Finally, Susquehanna Bancshares decreased their target price on Cognizant Technology Solutions from $99.00 to $91.00 and set a “positive” rating on the stock in a research report on Wednesday, June 30th. Three research analysts have rated the stock with a sell rating, six have given a hold rating and fifteen have issued a buy rating to the stock. Cognizant Technology Solutions presently has a consensus rating of “Buy” and a consensus price target of $80.48.

Cognizant Technology Solutions stock opened at $67.75 on Thursday. The company has a current ratio of 2.09, a quick ratio of 2.09 and a debt-to-equity ratio of 0.06. Cognizant Technology Solutions has a 12 month low of $61.28 and a 12 month high of $82.73. The stock has a 50 day moving average of $70.07. The stock has a market cap of $35.73 billion, a price-to-earnings ratio of 23.77, a PEG ratio of 1.54 and a beta of 1.14.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Tuesday, May 4th. The information technology service provider reported $0.97 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.94 by $0.03. Cognizant Technology Solutions had a return on equity of 16.77% and a net margin of 9.09%. The business had revenue of $4.40 billion for the quarter, compared to analyst estimates of $4.36 billion. During the same quarter in the prior year, the firm posted $0.96 EPS. The business’s quarterly revenue was up 4.1% compared to the same quarter last year. As a group, sell-side analysts forecast that Cognizant Technology Solutions will post 3.98 earnings per share for the current fiscal year.

In related news, Director Michael Patsalos-Fox sold 5,858 shares of the firm’s stock in a transaction dated Thursday, May 27th. The stock was sold at an average price of $71.20, for a total transaction of $417,089.60. Following the completion of the sale, the director now directly owns 57,830 shares of the company’s stock, valued at approximately $4,117,496. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Malcolm Frank sold 1,031 shares of the firm’s stock in a transaction dated Thursday, June 3rd. The stock was sold at an average price of $70.84, for a total value of $73,036.04. Following the sale, the insider now directly owns 45,178 shares of the company’s stock, valued at $3,200,409.52. The disclosure for this sale can be found here. Insiders sold a total of 12,785 shares of company stock valued at $904,731 over the last ninety days. Corporate insiders own 0.31% of the company’s stock.

Several large investors have recently modified their holdings of CTSH. Norges Bank acquired a new stake in shares of Cognizant Technology Solutions during the 4th quarter worth about $462,515,000. JPMorgan Chase & Co. boosted its holdings in Cognizant Technology Solutions by 314.4% during the 4th quarter. JPMorgan Chase & Co. now owns 4,140,098 shares of the information technology service provider’s stock valued at $339,280,000 after acquiring an additional 3,141,127 shares during the period. Pzena Investment Management LLC boosted its holdings in Cognizant Technology Solutions by 18.7% during the 1st quarter. Pzena Investment Management LLC now owns 10,193,327 shares of the information technology service provider’s stock valued at $796,303,000 after acquiring an additional 1,605,316 shares during the period. Clearbridge Investments LLC boosted its holdings in Cognizant Technology Solutions by 147.8% during the 1st quarter. Clearbridge Investments LLC now owns 2,209,653 shares of the information technology service provider’s stock valued at $172,618,000 after acquiring an additional 1,318,079 shares during the period. Finally, Morgan Stanley boosted its holdings in Cognizant Technology Solutions by 99.7% during the 1st quarter. Morgan Stanley now owns 2,225,345 shares of the information technology service provider’s stock valued at $173,842,000 after acquiring an additional 1,111,102 shares during the period. 89.69% of the stock is owned by hedge funds and other institutional investors.

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. The company operates through four segments: Financial Services; Healthcare; Products and Resources; and Communications, Media and Technology.

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Analyst Recommendations for Cognizant Technology Solutions (NASDAQ:CTSH)

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