Taking a Fresh Look at Cognizant Technology Solutions Corporation (CTSH)

Cognizant Technology Solutions Corporation (CTSH) is an interesting player in the Technology space, with a focus on Business Software & Services. The stock has been active on the tape, currently trading at $73.20, up from yesterday’s close by 0.76%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

It’s important to get a feel for how any stock is actually valued on the market based on its core numbers. Cognizant Technology Solutions Corporation (CTSH) currently trades with a market capitalization of $43.11 Billion.

The balance sheet health of any company plays a key role in its ability to meet its obligations and maintain the faith of its investment base. For CTSH, the company currently has $1.16 Billion of cash on the books, which is offset by $244 Million current liabilities. You can get a sense of how sustainable that is by a levered free cash flow of $1.7 Billion over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of $0.96 on a per share basis this quarter. Perhaps, that suggests something about why 84.79% of the outstanding share supply is held by institutional investors.

Technical Analysis

It’s important to check the technicals to get a sense of how CTSH has been acting. Looking at the stock’s movement on the chart, Cognizant Technology Solutions Corporation recorded a 52-week high of $73.28. It is now trading 0.079999999999998% off that level. The stock is trading $71.03 its 50-day moving average by -2.17%. The stock carved out a 52-week low down at $49.35.

In recent action, Cognizant Technology Solutions Corporation (CTSH) has made a move of +2.49% over the past month, which has come on weak relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 17.45, and it’s gotten there by action that has been more volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 1.23% with $587.43 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of CTSH.

Previous articleHow Does D.R. Horton, Inc. (DHI) Stack Up Right Now?
Next articleAmerican International Group, Inc. (AIG): From Top to Bottom