As of Friday close, Cognizant Technology Solutions Corporation’s (NASDAQ:CTSH) stock was up $0.4, moving up 0.58 percent to $69.61. The average number of shares traded per day over the past five days has been 3,603,800 shares. 2 times new highs have been achieved over the past 5 days, with a -$0.56 fall in that time frame. In the last twenty days, the average volume was 2,909,225, while in the previous 50 days, it was 3,640,696.
Since last month, CTSH stock retreated -1.21%. Shares of the company fell to $68.97 on 09/21/23, the lowest level in the past month. A 52-week high of $72.71 was reached on 08/07/23 after having rallying from a 52-week low of $51.33. Since the beginning of this year, CTSH’s stock price has risen by 21.72% or $12.42, and marked a new high 11 times. However, the stock has declined by -4.26% since its 52-week high.
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CTSH stock investors should be aware that Cognizant Technology Solutions Corporation (CTSH) stock had its last reported insider trading activity 103 days ago on Jun 12. Patsalos-Fox Michael, the Director of the company, disposed of 6,926 shares for $62.79 on Jun 12. It resulted in a $434,875 divestment by the insider. Mackay Leo S. Jr. sold 4,473 shares at an average price of $61.99 on Jun 09. The insider now owns 26,671 shares following the transaction. On Jun 02, EVP & Pres, Global Growth Mkts Walker Robert C. sold 7,000 shares at $63.72 apiece. The transaction was valued at $446,058.
Valuation Metrics
Right now, Cognizant Technology Solutions Corporation (CTSH) has a P/E ratio of about 16.23. The stock’s beta is 1.09. Besides these, the trailing price-to-sales (P/S) ratio of 1.83, the price-to-book (PB) ratio of 2.73, and the price-to-cash flow ratio of 16.43 may also be considered.
The latest dividend of $0.29 per share was paid out, remained unchanged from last year’s $0.29. On Thursday February 2 2023, a $0.02 dividend increase was announced.
Financial Health
In the three months ended June 29, Cognizant Technology Solutions Corporation’s quick ratio stood at 2.30, while its current ratio was 2.30, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.05, and the total debt-to-equity ratio was 0.05. On the profitability front, the trailing twelve-month gross margin is 35.00% percent. In the year ended June 29, EBITDA margin amounted to 18.28%, whereas operating margins totaled 14.20%. Based on annual data, CTSH earned $6.98 billion in gross profit and brought in $19.43 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 17.30%. Return on equity (ROE) for the past 12 months was 17.60%.
In Cognizant Technology Solutions Corporation’s quarter-end financial report for June 29, it reported total debt of $622.0 million. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. CTSH’s revenue fell -0.41% to $4.81 billion during the quarter, while net income inched up to $4.89 billion. While analysts expected Cognizant Technology Solutions Corporation to report $0.99 quarterly earnings, the actual figure was $1.1 per share, beating the consensus estimate by 11.10%. During the quarter, the company generated $718.0 million in EBITDA. The liabilities of Cognizant Technology Solutions Corporation were 5.06 billion at the end of its most recent quarter ended June 29, and its total debt was $1.48 billion. The value of shareholders’ equity is $505.04 million.
Technical Picture
This quick technical analysis looks at Cognizant Technology Solutions Corporation’s (CTSH) price momentum. With a historical volatility rate of 12.27%, the RSI 9-day stood at 40.72% on 22 September.
With respect to its five-day moving average, the current Cognizant Technology Solutions Corporation price is down by -0.80% percent or -$0.56. At present, CTSH shares trade -0.60% below its 20-day simple moving average and +16.33% percent above its 100-day simple moving average. However, the stock is currently trading approximately +2.84% above its SMA50 and +15.15% above its SMA200.
Stochastic coefficient K was 14.24% and Stochastic coefficient D was 17.12%, while ATR was 1.04. Given the Stochastic reading of 21.77% for the 14-day period, the RSI (14) reading has been calculated as 46.17%. As of today, the MACD Oscillator reading stands at -0.62, while the 14-day reading stands at -1.04.
