Cognizant Technology Solutions (Nasdaq: CTSH ) is expected to report Q1 earnings on May 8. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Cognizant Technology Solutions's revenues will grow 17.4% and EPS will increase 17.7%.
The average estimate for revenue is $2.01 billion. On the bottom line, the average EPS estimate is $0.93.
Last quarter, Cognizant Technology Solutions tallied revenue of $1.95 billion. GAAP reported sales were 17% higher than the prior-year quarter's $1.66 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, EPS came in at $0.92. GAAP EPS of $0.92 for Q4 were 18% higher than the prior-year quarter's $0.78 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 40.9%, 80 basis points worse than the prior-year quarter. Operating margin was 18.3%, 20 basis points worse than the prior-year quarter. Net margin was 14.3%, 10 basis points worse than the prior-year quarter.
The full year's average estimate for revenue is $8.63 billion. The average EPS estimate is $4.04.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,063 members out of 1,113 rating the stock outperform, and 50 members rating it underperform. Among 271 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 260 give Cognizant Technology Solutions a green thumbs-up, and 11 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cognizant Technology Solutions is outperform, with an average price target of $76.33.
Is Cognizant Technology Solutions playing the right part in the new technology revolution? Computers, mobile devices, and related services are creating huge amounts of valuable data, but only for companies that can crunch the numbers and make sense of it. Meet the leader in this field in "The Only Stock You Need To Profit From the NEW Technology Revolution." Click here for instant access to this free report.
- Add Cognizant Technology Solutions to My Watchlist.