Unveiling 7 Analyst Insights On Cognizant Tech Solns

Analysts' ratings for Cognizant Tech Solns CTSH over the last quarter vary from bullish to bearish, as provided by 7 analysts.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $79.43, along with a high estimate of $85.00 and a low estimate of $70.00. A 1.7% drop is evident in the current average compared to the previous average price target of $80.80.

Understanding Analyst Ratings: A Comprehensive Breakdown

A comprehensive examination of how financial experts perceive Cognizant Tech Solns is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Cognizant Tech Solns. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Cognizant Tech Solns compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Cognizant Tech Solns's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Cognizant Tech Solns's market standing. Stay informed and make data-driven decisions with 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: Delving into Financials

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Cognizant Tech Solns's revenue growth over a period of 3 months has faced challenges. As of 31 December, 2023, the company experienced a revenue decline of approximately -1.67%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Cognizant Tech Solns's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 11.73%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 4.27%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): Cognizant Tech Solns's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 3.05%, the company showcases efficient use of assets and strong financial health.

Debt Management: Cognizant Tech Solns's debt-to-equity ratio is below the industry average. With a ratio of 0.1, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Analyst Ratings: Simplified

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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