The Analyst Verdict: Cognizant Tech Solns In The Eyes Of 5 Experts

Cognizant Tech Solns CTSH underwent analysis by 5 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $83.0, a high estimate of $95.00, and a low estimate of $76.00. This upward trend is evident, with the current average reflecting a 7.51% increase from the previous average price target of $77.20.

Decoding Analyst Ratings: A Detailed Look

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.

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: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Cognizant Tech Solns compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Cognizant Tech Solns's stock. This comparison reveals trends in analysts' expectations over time.

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.

Discovering Cognizant Tech Solns: A Closer Look

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.

A Deep Dive into Cognizant Tech Solns's Financials

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Cognizant Tech Solns displayed positive results in 3 months. As of 30 September, 2024, the company achieved a solid revenue growth rate of approximately 3.0%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Cognizant Tech Solns's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 11.54% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Cognizant Tech Solns's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 4.11%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Cognizant Tech Solns's ROA excels beyond industry benchmarks, reaching 3.0%. This signifies efficient management of assets and strong financial health.

Debt Management: Cognizant Tech Solns's debt-to-equity ratio is below the industry average at 0.13, reflecting a lower dependency on debt financing and a more conservative financial approach.

The Core of Analyst Ratings: What Every Investor Should Know

Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.

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.

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