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Cognizant ( (CTSH) ) has provided an announcement.
On May 18, 2026, Cognizant said its board approved a $2 billion increase to the company’s existing stock repurchase authorization, leaving about $3.45 billion available for buybacks as of May 17. The company also lifted its 2026 share repurchase target by $1 billion to $2 billion and plans to complete the additional $1 billion of buybacks in the second quarter, signaling confidence in its AI‑driven growth strategy and view that its stock is undervalued.
Management linked the decision to a fundamental shift underway in IT services and Cognizant’s ambition to emerge as a leader in AI‑led enterprise transformation, supported by a strong balance sheet and robust free cash flow. To fund both increased repurchases and the anticipated closing of its Astreya acquisition, Cognizant will draw $1 billion from its revolving credit facility while maintaining flexibility for further strategic M&A and continued capital returns to shareholders.
The most recent analyst rating on (CTSH) stock is a Hold with a $51.00 price target. To see the full list of analyst forecasts on Cognizant stock, see the CTSH Stock Forecast page.
Spark’s Take on CTSH Stock
According to Spark, TipRanks’ AI Analyst, CTSH is a Outperform.
CTSH scores well on financial quality (low leverage, solid margins) and a constructive earnings outlook (raised margin guidance and strong bookings), which support the overall rating. This is partially offset by weak technicals—price below major moving averages with negative MACD—and some near-term margin/cash-flow pressure from investment and restructuring actions.
To see Spark’s full report on CTSH stock, click here.
More about Cognizant
Cognizant Technology Solutions is an AI-focused technology services provider that builds full‑stack AI solutions to help global enterprises convert AI investment into operational and financial value. Leveraging deep industry, process and engineering expertise, the company targets large organizations seeking AI‑led enterprise transformation and digital modernization in rapidly evolving IT services markets.
Average Trading Volume: 6,717,493
Technical Sentiment Signal: Sell
Current Market Cap: $22.33B
See more insights into CTSH stock on TipRanks’ Stock Analysis page.