Cognizant Technology Solutions (CTSH) Downgraded by BMO Capital Markets to Market Perform

BMO Capital Markets cut shares of Cognizant Technology Solutions (NASDAQ:CTSH) from an outperform rating to a market perform rating in a report released on Wednesday morning, The Fly reports. BMO Capital Markets currently has $74.00 price target on the information technology service provider’s stock.

A number of other equities analysts also recently commented on CTSH. BidaskClub upgraded Cognizant Technology Solutions from a hold rating to a buy rating in a report on Friday, July 13th. Wolfe Research began coverage on Cognizant Technology Solutions in a report on Tuesday, July 17th. They issued a market perform rating on the stock. Cowen restated a buy rating and issued a $87.00 price objective on shares of Cognizant Technology Solutions in a report on Friday, August 3rd. KeyCorp cut their price objective on Cognizant Technology Solutions from $91.00 to $89.00 and set an overweight rating on the stock in a report on Friday, August 3rd. Finally, Moffett Nathanson assumed coverage on Cognizant Technology Solutions in a report on Thursday, October 4th. They set a neutral rating and a $85.00 target price on the stock. Two equities research analysts have rated the stock with a sell rating, eight have issued a hold rating, eleven have given a buy rating and two have assigned a strong buy rating to the stock. Cognizant Technology Solutions currently has an average rating of Buy and an average price target of $84.42.

Cognizant Technology Solutions stock opened at $69.50 on Wednesday. The stock has a market capitalization of $40.33 billion, a PE ratio of 16.75, a PEG ratio of 1.28 and a beta of 0.96. The company has a current ratio of 3.24, a quick ratio of 3.27 and a debt-to-equity ratio of 0.06. Cognizant Technology Solutions has a 12 month low of $65.14 and a 12 month high of $85.10.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Tuesday, October 30th. The information technology service provider reported $1.19 EPS for the quarter, topping analysts’ consensus estimates of $1.13 by $0.06. The company had revenue of $4.08 billion for the quarter, compared to the consensus estimate of $4.08 billion. Cognizant Technology Solutions had a return on equity of 22.54% and a net margin of 9.07%. The company’s quarterly revenue was up 8.3% compared to the same quarter last year. During the same period last year, the business posted $0.98 EPS. On average, equities analysts forecast that Cognizant Technology Solutions will post 4.17 earnings per share for the current fiscal year.

The business also recently announced a quarterly dividend, which will be paid on Friday, November 30th. Investors of record on Tuesday, November 20th will be issued a dividend of $0.20 per share. The ex-dividend date of this dividend is Monday, November 19th. This represents a $0.80 annualized dividend and a dividend yield of 1.15%. Cognizant Technology Solutions’s payout ratio is currently 22.66%.

In other Cognizant Technology Solutions news, President Rajeev Mehta sold 22,239 shares of the firm’s stock in a transaction that occurred on Friday, August 10th. The stock was sold at an average price of $75.86, for a total transaction of $1,687,050.54. Following the completion of the sale, the president now owns 352 shares in the company, valued at approximately $26,702.72. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, SVP Robert Telesmanic sold 17,986 shares of the firm’s stock in a transaction that occurred on Wednesday, August 8th. The shares were sold at an average price of $77.62, for a total value of $1,396,073.32. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 48,288 shares of company stock worth $3,694,551. Company insiders own 0.60% of the company’s stock.

Hedge funds and other institutional investors have recently modified their holdings of the business. Kaizen Advisory LLC grew its stake in Cognizant Technology Solutions by 149.4% during the 2nd quarter. Kaizen Advisory LLC now owns 1,429 shares of the information technology service provider’s stock valued at $113,000 after purchasing an additional 856 shares in the last quarter. Willingdon Wealth Management acquired a new stake in Cognizant Technology Solutions during the 3rd quarter valued at approximately $120,000. Fort L.P. acquired a new stake in Cognizant Technology Solutions during the 2nd quarter valued at approximately $123,000. Stratos Wealth Partners LTD. acquired a new stake in Cognizant Technology Solutions during the 3rd quarter valued at approximately $146,000. Finally, San Francisco Sentry Investment Group CA grew its stake in Cognizant Technology Solutions by 170.0% during the 2nd quarter. San Francisco Sentry Investment Group CA now owns 1,909 shares of the information technology service provider’s stock valued at $151,000 after purchasing an additional 1,202 shares in the last quarter. Hedge funds and other institutional investors own 88.04% of the company’s stock.

Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services worldwide. The company operates through four segments: Financial Services; Healthcare; Products and Resources; and Communications, Media and Technology. It offers business, process, operations, and technology consulting services; application design and development, and systems integration services; application testing, consulting, and engineering services; and enterprise information management services.

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The Fly

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