Cognizant Technology Solutions Co. (NASDAQ:CTSH) Plans Quarterly Dividend of $0.30

Cognizant Technology Solutions Co. (NASDAQ:CTSH) announced a quarterly dividend on Wednesday, October 30th, Zacks reports. Shareholders of record on Tuesday, November 19th will be paid a dividend of 0.30 per share by the information technology service provider on Wednesday, November 27th. This represents a $1.20 annualized dividend and a yield of 1.64%. The ex-dividend date of this dividend is Tuesday, November 19th.

Cognizant Technology Solutions has raised its dividend by an average of 9.7% per year over the last three years. Cognizant Technology Solutions has a payout ratio of 24.2% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Cognizant Technology Solutions to earn $4.95 per share next year, which means the company should continue to be able to cover its $1.20 annual dividend with an expected future payout ratio of 24.2%.

Cognizant Technology Solutions Stock Down 1.6 %

Shares of NASDAQ:CTSH traded down $1.22 during trading on Friday, hitting $73.37. The stock had a trading volume of 406,333 shares, compared to its average volume of 3,809,221. The firm’s fifty day moving average is $76.40 and its 200 day moving average is $71.94. The company has a market capitalization of $36.37 billion, a PE ratio of 16.50, a PEG ratio of 2.09 and a beta of 1.05. The company has a quick ratio of 2.46, a current ratio of 2.46 and a debt-to-equity ratio of 0.04. Cognizant Technology Solutions has a 12 month low of $62.14 and a 12 month high of $80.27.

Cognizant Technology Solutions (NASDAQ:CTSH) last released its quarterly earnings data on Wednesday, October 30th. The information technology service provider reported $1.25 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.14 by $0.11. The business had revenue of $5.04 billion for the quarter, compared to analysts’ expectations of $4.99 billion. Cognizant Technology Solutions had a return on equity of 17.37% and a net margin of 11.60%. The firm’s quarterly revenue was up 3.0% on a year-over-year basis. During the same period in the prior year, the firm posted $1.16 EPS. Analysts anticipate that Cognizant Technology Solutions will post 4.62 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Ravi Kumar Singisetti sold 6,728 shares of Cognizant Technology Solutions stock in a transaction on Tuesday, August 6th. The stock was sold at an average price of $73.66, for a total transaction of $495,584.48. Following the transaction, the chief executive officer now owns 46,427 shares in the company, valued at $3,419,812.82. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.26% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

A number of research firms have recently weighed in on CTSH. Jefferies Financial Group assumed coverage on Cognizant Technology Solutions in a research note on Wednesday, August 28th. They issued a “buy” rating and a $90.00 price objective for the company. StockNews.com downgraded shares of Cognizant Technology Solutions from a “buy” rating to a “hold” rating in a report on Thursday. TD Cowen lifted their price objective on shares of Cognizant Technology Solutions from $75.00 to $76.00 and gave the stock a “hold” rating in a research note on Thursday. Robert W. Baird upped their target price on Cognizant Technology Solutions from $78.00 to $80.00 and gave the company a “neutral” rating in a research note on Thursday. Finally, Needham & Company LLC reissued a “hold” rating on shares of Cognizant Technology Solutions in a research note on Thursday. One analyst has rated the stock with a sell rating, twenty have assigned a hold rating and three have given a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Hold” and an average price target of $77.60.

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.