Cognizant Technology Solutions (NASDAQ:CTSH) Price Target Cut to $55.00 by Analysts at Robert W. Baird

Cognizant Technology Solutions (NASDAQ:CTSH) had its target price cut by Robert W. Baird from $72.00 to $55.00 in a research report sent to investors on Friday, Marketbeat.com reports. They currently have a neutral rating on the information technology service provider’s stock.

Other analysts have also recently issued reports about the company. Dbs Bank dropped their price target on Cognizant Technology Solutions from $80.00 to $66.00 in a research report on Thursday, May 7th. Morgan Stanley set a $44.00 target price on Cognizant Technology Solutions and gave the stock an “equal weight” rating in a research report on Tuesday, June 23rd. Jefferies Financial Group cut their target price on Cognizant Technology Solutions from $80.00 to $65.00 and set a “buy” rating on the stock in a research note on Monday, May 4th. Mizuho reduced their price target on shares of Cognizant Technology Solutions from $87.00 to $68.00 and set a “neutral” rating for the company in a report on Wednesday, May 6th. Finally, Weiss Ratings cut shares of Cognizant Technology Solutions from a “hold (c)” rating to a “hold (c-)” rating in a report on Wednesday, May 13th. Eleven research analysts have rated the stock with a Buy rating and fourteen have assigned a Hold rating to the company’s stock. According to data from MarketBeat, Cognizant Technology Solutions presently has an average rating of “Hold” and an average price target of $64.70.

Cognizant Technology Solutions Stock Performance

Shares of NASDAQ CTSH traded down $0.83 during midday trading on Friday, hitting $42.57. The company’s stock had a trading volume of 6,250,900 shares, compared to its average volume of 14,306,458. Cognizant Technology Solutions has a 1-year low of $37.08 and a 1-year high of $87.03. The firm’s fifty day moving average price is $48.26 and its 200-day moving average price is $62.49. The company has a debt-to-equity ratio of 0.04, a quick ratio of 2.23 and a current ratio of 2.23. The firm has a market cap of $20.17 billion, a P/E ratio of 9.25, a P/E/G ratio of 0.91 and a beta of 0.87.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Wednesday, April 29th. The information technology service provider reported $1.40 earnings per share for the quarter, topping the consensus estimate of $1.33 by $0.07. Cognizant Technology Solutions had a net margin of 10.41% and a return on equity of 17.50%. The firm had revenue of $5.41 billion for the quarter, compared to analyst estimates of $5.41 billion. During the same quarter in the prior year, the business earned $1.23 earnings per share. Cognizant Technology Solutions’s quarterly revenue was up 5.8% on a year-over-year basis. Cognizant Technology Solutions has set its FY 2026 guidance at 5.630-5.770 EPS. On average, sell-side analysts forecast that Cognizant Technology Solutions will post 5.7 EPS for the current fiscal year.

Cognizant Technology Solutions declared that its board has initiated a stock buyback program on Monday, May 18th that allows the company to repurchase $2.00 billion in shares. This repurchase authorization allows the information technology service provider to buy up to 9% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board believes its stock is undervalued.

Cognizant Technology Solutions Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, May 27th. Shareholders of record on Monday, May 18th were given a dividend of $0.33 per share. This represents a $1.32 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date was Monday, May 18th. Cognizant Technology Solutions’s payout ratio is 28.70%.

Institutional Investors Weigh In On Cognizant Technology Solutions

A number of hedge funds and other institutional investors have recently modified their holdings of CTSH. Brighton Jones LLC bought a new position in Cognizant Technology Solutions in the 4th quarter valued at about $214,000. Geneos Wealth Management Inc. raised its position in shares of Cognizant Technology Solutions by 118.8% during the 1st quarter. Geneos Wealth Management Inc. now owns 569 shares of the information technology service provider’s stock worth $44,000 after buying an additional 309 shares in the last quarter. Acadian Asset Management LLC acquired a new stake in shares of Cognizant Technology Solutions in the 1st quarter worth approximately $142,000. Cresset Asset Management LLC boosted its holdings in shares of Cognizant Technology Solutions by 11.4% in the second quarter. Cresset Asset Management LLC now owns 9,160 shares of the information technology service provider’s stock valued at $715,000 after acquiring an additional 935 shares in the last quarter. Finally, Jump Financial LLC increased its stake in shares of Cognizant Technology Solutions by 231.4% during the second quarter. Jump Financial LLC now owns 29,667 shares of the information technology service provider’s stock valued at $2,315,000 after acquiring an additional 20,716 shares during the period. 92.44% of the stock is currently owned by institutional investors.

Trending Headlines about Cognizant Technology Solutions

Here are the key news stories impacting Cognizant Technology Solutions this week:

• Positive Sentiment: Cognizant announced it will scale its Frontier workforce to 5,000 Frontier Certified Engineers and 10,000 Frontier Business Operators, reinforcing its enterprise AI strategy and signaling a push to convert AI spending into client revenue. Cognizant to scale to 5,000 Frontier Certified Engineers and 10,000 Frontier Business Operators
• Positive Sentiment: The company also said it is strengthening its AI strategy through a Google-related AI deal, which investors may see as validation of Cognizant’s enterprise AI positioning. As Cognizant Links Up with Google on AI Deal, Here’s How to Play CTSH Stock Now
• Positive Sentiment: Cognizant was named to TIME’s America’s Best Companies 2026 list, which supports its brand image around employee satisfaction, financial performance, and sustainability transparency. Cognizant named in TIME America’s Best Companies 2026 List
• Neutral Sentiment: Wells Fargo and Robert W. Baird both cut their price targets on CTSH, though both maintained constructive overall ratings, reflecting a more cautious near-term view on the stock.
• Neutral Sentiment: A Zacks note said Cognizant’s enterprise AI efforts are progressing, but weak demand, competition, and margin pressure remain concerns for the outlook. CTSH Strengthens Enterprise AI Strategy With Frontier Workforce
• Neutral Sentiment: Cognizant also disclosed a stockholder derivative action settlement notice, which appears to be a legal/administrative update rather than a major new operational development. Summary Notice of Pendency and Proposed Settlement of Stockholder Derivative Action
• Negative Sentiment: Market sentiment has also turned less favorable toward tech stocks broadly as investors rotate out of recent winners, which can weigh on shares like CTSH. Selling Winners, Buying Losers’: Tech Stocks Drop as Energy Jumps to Start H2

About Cognizant Technology Solutions

Cognizant Technology Solutions (NASDAQ: CTSH) is a global professional services company that provides information technology, consulting and business process services to large enterprises. Its core offerings include digital engineering, application development and maintenance, cloud migration and managed services, data analytics and artificial intelligence, cybersecurity, and industry-specific solutions. Cognizant works with clients to design and implement technology-enabled transformations that address customer experience, operational efficiency and new product and service delivery.

Founded in the 1990s and headquartered in Teaneck, New Jersey, Cognizant has grown into a multinational organization with delivery centers and operations across the Americas, Europe, and Asia.