Cognizant Tech Solns Stock: A Deep Dive Into Analyst Perspectives (10 Ratings)
Ratings for Cognizant Tech Solns (NASDAQ:CTSH) were provided by 10 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 1 | 8 | 0 | 0 |
| Last 30D | 0 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 1 | 5 | 0 | 0 |
| 3M Ago | 0 | 0 | 3 | 0 | 0 |
Analysts have set 12-month price targets for Cognizant Tech Solns, revealing an average target of $77.9, a high estimate of $85.00, and a low estimate of $70.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 3.37%.
Understanding Analyst Ratings: A Comprehensive Breakdown
In examining recent analyst actions, we gain insights into how financial experts perceive Cognizant Tech Solns. The following summary 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 |
|---|---|---|---|---|---|
| Tien-Tsin Huang | JP Morgan | Lowers | Neutral | $74.00 | $81.00 |
| Keith Bachman | BMO Capital | Raises | Market Perform | $78.00 | $77.00 |
| Moshe Katri | Wedbush | Maintains | Outperform | $85.00 | - |
| James Friedman | Susquehanna | Lowers | Neutral | $78.00 | $80.00 |
| Keith Bachman | BMO Capital | Lowers | Market Perform | $77.00 | $85.00 |
| Ramsey El-Assal | Barclays | Lowers | Equal-Weight | $75.00 | $80.00 |
| Ashwin Shirvaikar | Citigroup | Lowers | Buy | $82.00 | $90.00 |
| James Friedman | Susquehanna | Lowers | Neutral | $80.00 | $87.00 |
| David Togut | Evercore ISI Group | Raises | In-Line | $70.00 | $65.00 |
| Jonathan Lee | Guggenheim | Announces | Neutral | $80.00 | - |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Cognizant Tech Solns. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Cognizant Tech Solns compared to the broader market.
- Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.
For valuable insights into Cognizant Tech Solns's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Cognizant Tech Solns analyst ratings.
All You Need to Know About Cognizant Tech Solns
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 300,000 people globally, roughly 70% of whom are in India, although the company's headquarters are in Teaneck, New Jersey.
Cognizant Tech Solns: A Financial Overview
Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.
Decline in Revenue: Over the 3 months period, Cognizant Tech Solns faced challenges, resulting in a decline of approximately -1.08% in revenue growth as of 31 March, 2024. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: Cognizant Tech Solns's net margin is impressive, surpassing industry averages. With a net margin of 11.47%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Cognizant Tech Solns's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 4.09% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Cognizant Tech Solns's ROA stands out, surpassing industry averages. With an impressive ROA of 2.96%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Cognizant Tech Solns's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.09.
Understanding the Relevance of Analyst Ratings
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.