Cognizant Technology Solutions Corp

CTSH

Equity

ISIN US1924461023 / Valor 922121

NASDAQ (2024-11-21)

USD 78.86+1.66%

Cognizant Technology Solutions Corp
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About company

Cognizant Technology Solutions Corp is a global technology company with a significant presence in Mexico, where it operates two delivery centers and one office serving over 80 clients in various industries. The company offers a wide range of services including digital engineering, application support, infrastructure, analytics, testing, enterprise applications, and business process outsourcing (BPO) services. With over 1,000 associates in Mexico, Cognizant is a key player in the technology and outsourcing sector, providing comprehensive solutions to its clients.

Summarized from source with an LLMView SourceSector: Technology

Revenue Performance

In the second quarter of 2024, Cognizant Technology Solutions Corp reported revenue of $4.9 billion, which was above the high end of their guidance range. This represented a sequential increase of 1.9%, or 2.1% in constant currency.

Operating Margin

Cognizant Technology Solutions Corp achieved an operating margin of 14.6% in Q2 2024, up from 11.8% in the second quarter of 2023. The adjusted operating margin was 15.2%, which expanded by 100 basis points year-over-year.

Bookings

Bookings for Cognizant Technology Solutions Corp in the second quarter of 2024 increased by 5% year-over-year. On a trailing-twelve-month basis, bookings were $26.2 billion, representing a book-to-bill ratio of approximately 1.4x.

Return of Capital

During the second quarter of 2024, Cognizant Technology Solutions Corp repurchased 0.9 million shares for $63 million under its share repurchase program. As of June 30, 2024, there was $1.6 billion remaining under the share repurchase authorization. Additionally, the company declared a quarterly cash dividend of $0.30 per share, payable on August 28, 2024.

Guidance

For the third quarter of 2024, Cognizant Technology Solutions Corp expects revenue to be between $4.89 billion and $4.96 billion, representing a decline of 0.2% to an increase of 1.3%, or flat to an increase of 1.5% in constant currency. For the full year 2024, revenue is expected to be between $19.3 billion and $19.5 billion, with an adjusted operating margin in the range of 15.3% to 15.5%.

Summarized from source with an LLMView Source

Key figures

12.3%1Y

-3.82%3Y

24.4%5Y

Performance

19.8%1Y

26.9%3Y

31.5%5Y

Volatility