Cognizant Technology Solutions (NASDAQ:CTSH) Hits New 52-Week High – Time to Buy?

Shares of Cognizant Technology Solutions Co. (NASDAQ:CTSH) hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $91.25 and last traded at $88.70, with a volume of 1754 shares trading hands. The stock had previously closed at $90.70.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on CTSH shares. Barclays boosted their price objective on shares of Cognizant Technology Solutions from $95.00 to $103.00 and gave the stock an “overweight” rating in a research note on Monday, February 10th. Deutsche Bank Aktiengesellschaft boosted their price target on Cognizant Technology Solutions from $70.00 to $80.00 and gave the stock a “hold” rating in a research report on Tuesday, October 22nd. BMO Capital Markets raised their price objective on Cognizant Technology Solutions from $88.00 to $94.00 and gave the company a “market perform” rating in a research report on Thursday, February 6th. TD Cowen boosted their target price on shares of Cognizant Technology Solutions from $75.00 to $76.00 and gave the stock a “hold” rating in a report on Thursday, October 31st. Finally, Mizuho raised their price target on shares of Cognizant Technology Solutions from $83.00 to $84.00 and gave the company a “neutral” rating in a report on Friday, November 1st. Sixteen analysts have rated the stock with a hold rating and five have issued a buy rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $83.67.

Cognizant Technology Solutions Price Performance

The stock has a 50 day moving average of $80.55 and a 200-day moving average of $78.24. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.23 and a current ratio of 2.09. The company has a market cap of $44.01 billion, a PE ratio of 19.68, a price-to-earnings-growth ratio of 2.32 and a beta of 1.07.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its earnings results on Wednesday, February 5th. The information technology service provider reported $1.21 EPS for the quarter, topping analysts’ consensus estimates of $1.12 by $0.09. Cognizant Technology Solutions had a return on equity of 16.78% and a net margin of 11.35%. Equities analysts predict that Cognizant Technology Solutions Co. will post 4.99 earnings per share for the current year.

Cognizant Technology Solutions Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, February 26th. Stockholders of record on Tuesday, February 18th will be paid a $0.31 dividend. The ex-dividend date is Tuesday, February 18th. This represents a $1.24 dividend on an annualized basis and a dividend yield of 1.40%. This is a positive change from Cognizant Technology Solutions’s previous quarterly dividend of $0.30. Cognizant Technology Solutions’s dividend payout ratio is presently 26.61%.

Insider Activity at Cognizant Technology Solutions

In other news, CAO John Sunshin Kim sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, December 3rd. The shares were sold at an average price of $80.11, for a total transaction of $400,550.00. Following the sale, the chief accounting officer now owns 39,022 shares of the company’s stock, valued at $3,126,052.42. This trade represents a 11.36 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.26% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Neo Ivy Capital Management increased its stake in shares of Cognizant Technology Solutions by 18.4% in the 4th quarter. Neo Ivy Capital Management now owns 14,838 shares of the information technology service provider’s stock valued at $1,141,000 after purchasing an additional 2,304 shares in the last quarter. GTS Securities LLC grew its holdings in Cognizant Technology Solutions by 394.9% in the fourth quarter. GTS Securities LLC now owns 16,387 shares of the information technology service provider’s stock valued at $1,260,000 after purchasing an additional 21,944 shares during the period. Vise Technologies Inc. purchased a new stake in shares of Cognizant Technology Solutions in the fourth quarter valued at approximately $365,000. Connecticut Wealth Management LLC raised its stake in shares of Cognizant Technology Solutions by 0.8% during the 4th quarter. Connecticut Wealth Management LLC now owns 17,650 shares of the information technology service provider’s stock worth $1,357,000 after buying an additional 138 shares during the period. Finally, City National Bank of Florida MSD purchased a new position in shares of Cognizant Technology Solutions during the 4th quarter valued at approximately $221,000. Institutional investors and hedge funds own 92.44% of the company’s stock.

Cognizant Technology Solutions Company Profile

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services in North America, Europe, and internationally. It operates through four segments: Financial Services, Health Sciences, Products and Resources, and Communications, Media and Technology.