Cognizant Technology Solutions (Nasdaq: CTSH) reported earnings on May 7. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Cognizant Technology Solutions met expectations on revenues and earnings per share.

Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share increased significantly.

Margins dropped across the board.

Revenue details
Cognizant Technology Solutions notched revenue of $1.71 billion. The 21 analysts polled by S&P Capital IQ looked for a top line of $1.71 billion on the same basis. GAAP reported sales were 25% higher than the prior-year quarter's $1.37 billion.

My

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.79. The 23 earnings estimates compiled by S&P Capital IQ averaged $0.79 per share. GAAP EPS of $0.79 for Q1 were 18% higher than the prior-year quarter's $0.67 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 42.5%, 50 basis points worse than the prior-year quarter. Operating margin was 18.6%, 80 basis points worse than the prior-year quarter. Net margin was 14.2%, 100 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $1.83 billion. On the bottom line, the average EPS estimate is $0.83.

Next year's average estimate for revenue is $7.55 billion. The average EPS estimate is $3.45.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,057 members out of 1,107 rating the stock outperform, and 50 members rating it underperform. Among 282 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 269 give Cognizant Technology Solutions a green thumbs-up, and 13 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 $82.88.

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.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.