Latest news with #CognizantTechnologySolutionsCorp
Yahoo
23-05-2025
- Business
- Yahoo
Cognizant Technology Sets Sights on AI Agents Market, Open-Sources Neuro AI Multi-Agent Accelerator
Cognizant Technology Solutions Corp (NASDAQ:CTSH) is strategically positioning itself in the burgeoning AI Agents market. On May 21, the information technology and consulting company confirmed the open-sourcing of its AI multi-agent platform Neuro AI Multi-Agent Accelerator. By open-sourcing Neuro AI Multi-Agent Accelerator for research and academic use, Cognizant Technology Solutions positions itself in the rapidly growing AI agents sector. On the other hand, domain experts, researchers, and developers can now prototype and build agent networks across any use case. The open-sourced software should also help enhance AI adoption and real-time decision-making. The decision comes on the heels of Cognizant Technology Solutions helping a healthcare company create a Contract Negotiator agent network. The company also worked with Australia's telecommunication company Telstra to test and deploy multi-agent systems. The company has also underlined its push for value in the rapidly growing AI agent market by opening more than 65 conversations with clients around agentic AI. It has also inked strategic partnerships with major players like Salesforce Agentforce and Google's Agentspace, further strengthening its prospects in the burgeoning segment. Meanwhile, analysts at JPMorgan have upgraded Cognizant Technology Solutions from Neutral to Overweight. The analysts also hiked the price target to $98 from $88, affirming their confidence in the company's operational performance and strategic positioning. While we acknowledge the potential of Cognizant Technology Solutions Corp (NASDAQ:CTSH) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CTSH and that has 100x upside potential, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
San Francisco Chronicle
30-04-2025
- Business
- San Francisco Chronicle
Cognizant: Q1 Earnings Snapshot
TEANECK, N.J. (AP) — TEANECK, N.J. (AP) — Cognizant Technology Solutions Corp. (CTSH) on Wednesday reported first-quarter net income of $663 million. The Teaneck, New Jersey-based company said it had profit of $1.34 per share. Earnings, adjusted for non-recurring gains, were $1.23 per share. The results exceeded Wall Street expectations. The average estimate of seven analysts surveyed by Zacks Investment Research was for earnings of $1.19 per share. The information technology consulting and outsourcing firm posted revenue of $5.12 billion in the period, which also topped Street forecasts. Five analysts surveyed by Zacks expected $5.07 billion. For the current quarter ending in June, Cognizant said it expects revenue in the range of $5.14 billion to $5.21 billion. _____
Bloomberg
02-04-2025
- Business
- Bloomberg
US Prosecutor Asks to Toss Bribery Case After Trump's FCPA Order
A federal prosecutor asked a judge to throw out a bribery case against two former executives at a New Jersey company, in what may be the first test of President Donald Trump's executive order calling for a pause to enforcement of the Foreign Corrupt Practices Act. Alina Habba, the interim US Attorney for New Jersey, requested the dismissal Tuesday, days before the former Cognizant Technology Solutions Corp. executives were scheduled to go on trial. The men were were charged with approving a $2 million payoff to secure a construction permit for a new building in India.
Bloomberg
12-03-2025
- Business
- Bloomberg
Judge Denies Long Delay of Bribery Case Amid Trump's Order
A federal judge said he won't allow a prolonged delay of a bribery trial following President Donald Trump's order putting a pause to enforcement of the Foreign Corrupt Practices Act. Judge Michael Farbiarz in New Jersey on Tuesday denied a request for a 180-day delay to a case against two former Cognizant Technology Solutions Corp. executives in what may be the first test for Trump's executive order. He ruled that the trial start no later than April 7.
Yahoo
06-02-2025
- Business
- Yahoo
Cognizant Technology Solutions Corp (CTSH) Q4 2024 Earnings Call Highlights: Strong Revenue ...
Revenue: $5.1 billion, up 6.7% year over year in constant currency for Q4 2024. Full-Year Revenue: $19.7 billion, increased 1.9% year over year in constant currency. Adjusted Operating Margin: 15.7% for Q4 2024; full-year margin of 15.3%. Health Sciences Revenue Growth: Over 10% year over year. Financial Services Revenue Growth: Approximately 3% year over year. Free Cash Flow: $837 million for Q4 2024; $1.8 billion for the full year. Cash and Short-term Investments: $2.2 billion at year-end. Net Cash: $1.3 billion at year-end. Bookings Growth: 11% year over year for Q4 2024. Full-Year EPS Guidance for 2025: $4.90 to $5.06, representing 3% to 7% growth. Expected Revenue Growth for 2025: 2.6% to 5.1% or 3.5% to 6% in constant currency. Expected Adjusted Operating Margins for 2025: 15.5% to 15.7%. Capital Returned to Shareholders in 2024: $1.2 billion through share repurchases and dividends. Warning! GuruFocus has detected 7 Warning Signs with CTSH. Release Date: February 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Cognizant Technology Solutions Corp (NASDAQ:CTSH) reported strong year-over-year revenue growth of 6.7% in constant currency for Q4 2024, driven by large deal signings and improved organic growth. The company successfully completed its NextGen program, which contributed to an improved adjusted operating margin of 15.7% for the quarter. Cognizant Technology Solutions Corp (NASDAQ:CTSH) expanded its AI capabilities significantly, introducing new platforms like Flowsource, Neuro Edge, and Neuro Cybersecurity, enhancing its service offerings. The company achieved a historic high in client satisfaction scores (NPS) in 2024, indicating strong customer relationships and service quality. Strategic acquisitions, such as Thirdera and Belcan, have strengthened Cognizant Technology Solutions Corp (NASDAQ:CTSH)'s market position and contributed to its growth in new end markets. Despite the positive revenue growth, the adjusted operating margin for the year declined by 40 basis points year-over-year, primarily due to the impact of acquisitions and increased compensation costs. The Products and Resources segment faced pressure due to a cautious discretionary environment across end markets like automotive, aerospace, and manufacturing. Communication, Media, and Technology segments experienced consistent pressure as clients focused on cost optimization, impacting discretionary spending. The company anticipates a modest sequential margin decline in Q1 2025 due to typical seasonality, which may affect short-term profitability. Cognizant Technology Solutions Corp (NASDAQ:CTSH) faces challenges in maintaining momentum in smaller deals, which are crucial for immediate revenue realization. Q: Can you discuss the momentum in large deal bookings and your outlook for 2025? A: Ravi Singisetti, CEO, highlighted that Cognizant signed 29 large deals in 2024, up from 17 in 2023. The company has a strong book-to-bill ratio of 1.4 and is seeing a return of smaller deals, which are monetized within the same year. This momentum is expected to continue into 2025, with a broad spread across industries and geographies, making it resilient and sustainable. Q: How does the growth outlook for 2025 compare to 2024, particularly across different industries? A: Ravi Singisetti, CEO, stated that growth is expected to be broad-based across industries. Healthcare showed over 10% year-over-year growth, and Financial Services is seeing a return of discretionary spending. The company is also seeing growth in communications, technology, and manufacturing, bolstered by the Belcan acquisition. The Americas remain a principal market, but international markets are starting to contribute more significantly. Q: What are Cognizant's plans for AI investments and how do they impact the IT services industry? A: Ravi Singisetti, CEO, explained that Cognizant is investing in AI to enhance productivity and innovation. The company has 1,200 AI projects underway, focusing on cloud migration, data modernization, and agentification. Cognizant's AI platforms are helping clients accelerate their digital transformation, and the company sees AI as a force multiplier that will unlock new service pools and expand addressable spend. Q: Can you elaborate on the margin performance and expectations for 2025? A: Jatin Dalal, CFO, noted that the fourth-quarter adjusted operating margin was 15.7%, driven by the NextGen program and operational improvements. The company expects margins to expand by 20 to 40 basis points in 2025, supported by AI-led productivity, continued operational rigor, and successful execution of large deals. Q: How is Cognizant approaching hiring and talent management in 2025? A: Jatin Dalal, CFO, mentioned that Cognizant will continue to hire as needed to support growth, with an expected increase in headcount from the first quarter of 2025. The company is well-positioned in terms of talent availability across geographies and plans to leverage its capabilities to meet demand. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
