Eos Energy stock falls after Fuzzy Panda issues short report
Investing.com - Mizuho has raised its price target on Cognizant Technology Solutions (NASDAQ:CTSH) to $85.00 from $84.00 while maintaining a Neutral rating on the stock. This target aligns closely with InvestingPro’s Fair Value assessment, which suggests the stock is currently undervalued trading at $71.69. With a P/E ratio of 14.03, Cognizant appears attractively priced relative to its sector peers.
The revision follows Cognizant’s strong third-quarter 2025 results, which showed organic constant currency revenue growth accelerating approximately 80 basis points to around 4.0% year-over-year. The company also reported improved profitability with adjusted operating margin increasing 70 basis points year-over-year. InvestingPro data reveals Cognizant has achieved 6.34% revenue growth over the last twelve months and maintains a "GREAT" overall financial health score of 3.01.
Cognizant has raised its 2025 constant currency growth guidance to between 6.0% and 6.3%, up from its previous forecast of 4.0% to 6.0%. Mizuho highlighted AI innovation as a key positive driver for the quarter, noting that artificial intelligence is serving as a net tailwind for Cognizant’s business rather than a headwind. According to InvestingPro Tips, Cognizant "generally trades with low price volatility" with a beta of 0.95, making it potentially attractive for investors seeking stability while benefiting from AI growth.
The investment firm also pointed to a potential Indian listing as an "intriguing potential catalyst," though details and timing remain limited. Mizuho acknowledged some weak spots in the quarterly report, including soft bookings growth and continued gross margin pressure, but characterized these issues as "relatively transitory."
Mizuho has increased its 2025/2026 revenue and EPS estimates for Cognizant, citing expectations for higher growth and profitability that led to the price target adjustment.
In other recent news, Cognizant Technology Solutions Corp reported impressive third-quarter 2025 earnings, surpassing analyst expectations. The company achieved an earnings per share (EPS) of $1.39, exceeding the forecasted $1.30. Additionally, Cognizant recorded revenue of $5.42 billion, which was higher than the anticipated $5.32 billion. These results indicate strong financial performance and have been well-received by investors. Analysts from various firms noted the positive earnings, though specific upgrades or downgrades were not mentioned in the recent reports. These developments reflect Cognizant’s strategic execution and financial health. Investors are likely to monitor how these results impact future company strategies and market positioning.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.