Equities research analysts predict that Cognizant Technology Solutions Corp (NASDAQ:CTSH) will announce sales of $4.23 billion for the current fiscal quarter, Zacks Investment Research reports. Eight analysts have provided estimates for Cognizant Technology Solutions’ earnings. The lowest sales estimate is $4.22 billion and the highest is $4.24 billion. Cognizant Technology Solutions posted sales of $4.11 billion during the same quarter last year, which suggests a positive year-over-year growth rate of 2.9%. The company is scheduled to report its next quarterly earnings report on Thursday, May 7th.
On average, analysts expect that Cognizant Technology Solutions will report full-year sales of $17.31 billion for the current fiscal year, with estimates ranging from $17.24 billion to $17.50 billion. For the next financial year, analysts forecast that the business will post sales of $18.20 billion, with estimates ranging from $18.03 billion to $18.51 billion. Zacks’ sales calculations are a mean average based on a survey of analysts that that provide coverage for Cognizant Technology Solutions.
Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings results on Wednesday, February 5th. The information technology service provider reported $1.07 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.04 by $0.03. The company had revenue of $4.30 billion for the quarter, compared to analysts’ expectations of $4.23 billion. Cognizant Technology Solutions had a return on equity of 20.60% and a net margin of 10.98%. The business’s quarterly revenue was up 4.1% compared to the same quarter last year. During the same period in the previous year, the business posted $1.13 earnings per share.
Shares of NASDAQ:CTSH traded down $2.67 during midday trading on Monday, hitting $67.42. 4,555,643 shares of the stock were exchanged, compared to its average volume of 3,486,712. The business’s 50-day moving average price is $64.65 and its 200 day moving average price is $62.57. Cognizant Technology Solutions has a 12 month low of $56.73 and a 12 month high of $74.85. The stock has a market capitalization of $38.45 billion, a price-to-earnings ratio of 20.49, a P/E/G ratio of 1.56 and a beta of 1.06. The company has a debt-to-equity ratio of 0.13, a quick ratio of 2.55 and a current ratio of 2.55.
Cognizant Technology Solutions declared that its board has initiated a share repurchase program on Wednesday, February 5th that allows the company to buyback $2.00 billion in outstanding shares. This buyback authorization allows the information technology service provider to repurchase up to 5.8% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s board believes its shares are undervalued.
The firm also recently declared a quarterly dividend, which will be paid on Friday, February 28th. Shareholders of record on Tuesday, February 18th will be issued a dividend of $0.22 per share. This represents a $0.88 dividend on an annualized basis and a dividend yield of 1.31%. This is a boost from Cognizant Technology Solutions’s previous quarterly dividend of $0.20. The ex-dividend date of this dividend is Friday, February 14th. Cognizant Technology Solutions’s dividend payout ratio is presently 22.06%.
In other news, CFO Karen Mcloughlin sold 18,396 shares of the company’s stock in a transaction that occurred on Thursday, January 16th. The stock was sold at an average price of $62.02, for a total transaction of $1,140,919.92. Following the transaction, the chief financial officer now directly owns 68,026 shares of the company’s stock, valued at $4,218,972.52. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Francisco Dsouza sold 62,177 shares of the company’s stock in a transaction that occurred on Monday, January 13th. The stock was sold at an average price of $60.87, for a total value of $3,784,713.99. Following the transaction, the director now directly owns 289,564 shares in the company, valued at $17,625,760.68. The disclosure for this sale can be found here. Insiders have sold 313,189 shares of company stock worth $19,422,499 over the last ninety days. 0.56% of the stock is owned by insiders.
Large investors have recently modified their holdings of the company. California Public Employees Retirement System raised its position in shares of Cognizant Technology Solutions by 7.8% during the third quarter. California Public Employees Retirement System now owns 3,972,744 shares of the information technology service provider’s stock worth $239,417,000 after purchasing an additional 285,994 shares during the period. MV Capital Management Inc. acquired a new position in shares of Cognizant Technology Solutions during the third quarter worth approximately $90,000. Dupont Capital Management Corp acquired a new position in shares of Cognizant Technology Solutions during the third quarter worth approximately $476,000. Pensionfund Sabic acquired a new position in shares of Cognizant Technology Solutions during the fourth quarter worth approximately $1,861,000. Finally, National Pension Service raised its position in Cognizant Technology Solutions by 5.0% in the 3rd quarter. National Pension Service now owns 704,488 shares of the information technology service provider’s stock valued at $42,456,000 after buying an additional 33,523 shares during the last quarter. 90.23% of the stock is currently owned by institutional investors.
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 analytics and artificial intelligence, digital engineering, intelligent process automation, interactive, and hybrid cloud services and solutions; and application development, systems integration, application testing and maintenance, infrastructure, and business process services.
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