Cognizant Technology Solutions Corporation (NASDAQ:CTSH) Shareholders to Get $0.33 Quarterly Dividend

Cognizant Technology Solutions Corporation (NASDAQ:CTSH – Get Free Report) declared a quarterly dividend on Thursday, October 29th. Stockholders of record on Friday, November 13th will be paid a dividend of $0.33 per share by the information technology service provider on Wednesday, November 25th. This represents a $1.32 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date of this dividend is Friday, November 13th.

Cognizant Technology Solutions has increased its dividend by an average of 0.1% annually over the last three years and has increased its dividend annually for the last 6 consecutive years. Cognizant Technology Solutions has a payout ratio of 24.3% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Cognizant Technology Solutions to earn $6.32 per share next year, which means the company should continue to be able to cover its $1.32 annual dividend with an expected future payout ratio of 20.9%.

Cognizant Technology Solutions Trading Down 5.8%

Shares of CTSH stock opened at $62.52 on Friday. Cognizant Technology Solutions has a 12-month low of $37.08 and a 12-month high of $87.03. The company has a current ratio of 2.18, a quick ratio of 2.18 and a debt-to-equity ratio of 0.11. The stock’s 50-day moving average price is $62.12 and its 200-day moving average price is $59.39. The stock has a market capitalization of $28.16 billion, a price-to-earnings ratio of 13.45, a price-to-earnings-growth ratio of 1.24 and a beta of 0.86.

Cognizant Technology Solutions (NASDAQ:CTSH – Get Free Report) last posted its earnings results on Thursday, October 29th. The information technology service provider reported $1.49 EPS for the quarter, topping analysts’ consensus estimates of $1.46 by $0.03. Cognizant Technology Solutions had a return on equity of 17.70% and a net margin of 10.26%. The company had revenue of $5.66 billion for the quarter, compared to the consensus estimate of $5.64 billion. During the same period in the previous year, the business earned $1.39 earnings per share. The firm’s revenue for the quarter was up 4.6% on a year-over-year basis. Equities research analysts predict that Cognizant Technology Solutions will post 5.74 EPS for the current fiscal year.

Key Headlines Impacting Cognizant Technology Solutions

Here are the key news stories impacting Cognizant Technology Solutions this week:

  • Positive Sentiment: Cognizant reported third-quarter revenue of $5.664 billion, up 4.6% year over year, while adjusted EPS of $1.49 exceeded the $1.46 consensus estimate. Financial Services revenue grew 12%, adjusted operating margin expanded to 16.3%, and free cash flow reached approximately $1.6 billion. Cognizant Reports Third Quarter 2026 Results
  • Positive Sentiment: The company launched an OpenAI Frontier Capability Group with more than 25,000 professionals. Cognizant plans to deploy OpenAI products, including ChatGPT and Codex, in its own sales and customer-success operations before expanding delivery for clients, potentially strengthening its position in enterprise AI services. Cognizant OpenAI Frontier Capability Group announcement
  • Neutral Sentiment: Cognizant declared a quarterly dividend of $0.33 per share, or $1.32 annually, representing a yield of about 2.1%. The dividend supports shareholder returns but is unlikely to materially change the near-term earnings outlook.
  • Negative Sentiment: Third-quarter bookings fell 7% year over year, raising concerns about future demand and revenue growth. Although trailing-12-month bookings increased 4% to $28.7 billion, investors appear concerned that near-term sales momentum is deteriorating. Cognizant bookings and growth analysis
  • Negative Sentiment: Reported revenue growth was partly aided by acquisitions and resold third-party products, which supplied roughly four percentage points of growth. That implies slower underlying expansion, while GAAP operating margin declined 60 basis points to 15.4%.
  • Negative Sentiment: Cognizant narrowed its 2026 constant-currency revenue-growth outlook to 4.0%–4.4% and forecast adjusted EPS of $5.72–$5.79. The restrained guidance, combined with weaker bookings, overshadowed the quarterly earnings beat.

Cognizant Technology Solutions Company Profile

(Get Free Report)

Cognizant Technology Solutions Corporation is a global information technology services and consulting company that helps organizations modernize their technology infrastructure, operations and customer experiences. The company serves businesses across industries including financial services, healthcare, life sciences, manufacturing, retail and communications.

Cognizant’s services include consulting, application development and modernization, cloud computing, data and artificial intelligence, digital engineering, cybersecurity and business process services.

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Dividend History for Cognizant Technology Solutions (NASDAQ:CTSH)

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