What Analysts Are Saying About Cognizant Tech Solns Stock

During the last three months, 12 analysts shared their evaluations of Cognizant Tech Solns (NASDAQ:CTSH), revealing diverse outlooks from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	0	2	10	0	0
Last 30D	0	1	0	0	0
1M Ago	0	0	3	0	0
2M Ago	0	0	2	0	0
3M Ago	0	1	5	0	0

Analysts have set 12-month price targets for Cognizant Tech Solns, revealing an average target of $87.25, a high estimate of $103.00, and a low estimate of $77.00. Observing a downward trend, the current average is 0.19% lower than the prior average price target of $87.42.

Analyzing Analyst Ratings: A Detailed Breakdown

The standing of Cognizant Tech Solns among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|--------------------|---------------|---------------|--------------------|--------------------| |Ramsey El-Assal |Barclays |Lowers |Overweight | $90.00|$103.00 | |James Friedman |Susquehanna |Lowers |Neutral | $77.00|$82.00 | |David Koning |Baird |Lowers |Neutral | $78.00|$90.00 | |Daniel Perlin |RBC Capital |Maintains |Sector Perform | $93.00|$93.00 | |Kevin Mcveigh |UBS |Lowers |Neutral | $88.00|$93.00 | |James Faucette |Morgan Stanley |Lowers |Equal-Weight | $80.00|$85.00 | |Ramsey El-Assal |Barclays |Raises |Overweight | $103.00|$95.00 | |Daniel Perlin |RBC Capital |Raises |Sector Perform | $93.00|$82.00 | |James Faucette |Morgan Stanley |Raises |Equal-Weight | $85.00|$80.00 | |Keith Bachman |BMO Capital |Raises |Market Perform | $94.00|$88.00 | |Kevin Mcveigh |UBS |Raises |Neutral | $86.00|$83.00 | |James Faucette |Morgan Stanley |Raises |Equal-Weight | $80.00|$75.00 |

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Cognizant Tech Solns. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Cognizant Tech Solns compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Cognizant Tech Solns's stock. This analysis reveals shifts in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Cognizant Tech Solns's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Cognizant Tech Solns analyst ratings.

Get to Know Cognizant Tech Solns Better

Cognizant is a global IT services provider, offering consulting and outsourcing services to some of the world's largest enterprises spanning the financial services, media and communications, healthcare, natural resources, and consumer products industries. Cognizant employs nearly 350,000 people globally, roughly 70% of whom are in India, although the company's headquarters are in Teaneck, New Jersey.

A Deep Dive into Cognizant Tech Solns's Financials

Market Capitalization Highlights: Above the industry average, the company's market capitalization signifies a significant scale, indicating strong confidence and market prominence.

Revenue Growth: Cognizant Tech Solns's revenue growth over a period of 3M has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 6.81%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Cognizant Tech Solns's net margin excels beyond industry benchmarks, reaching 10.74%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Cognizant Tech Solns's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 3.78%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Cognizant Tech Solns's ROA stands out, surpassing industry averages. With an impressive ROA of 2.72%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Cognizant Tech Solns's debt-to-equity ratio is below the industry average at 0.1, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Significance of Analyst Ratings Explained

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.