Cognizant (CTSH) Up 7.2% Since Last Earnings Report: Can It Continue?

It has been about a month since the last earnings report for Cognizant (CTSH). Shares have added about 7.2% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Cognizant due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.

How Have Estimates Been Moving Since Then?

It turns out, estimates revision have trended upward during the past month.

VGM Scores

At this time, Cognizant has an average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of B on the value side, putting it in the second quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Cognizant has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.

Performance of an Industry Player

Cognizant is part of the Zacks Computers - IT Services industry. Over the past month, Roper Technologies (ROP), a stock from the same industry, has gained 1.2%. The company reported its results for the quarter ended March 2025 more than a month ago.

Roper Technologies reported revenues of $1.88 billion in the last reported quarter, representing a year-over-year change of +12%. EPS of $4.78 for the same period compares with $4.41 a year ago.

For the current quarter, Roper Technologies is expected to post earnings of $4.82 per share, indicating a change of +7.6% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.1% over the last 30 days.

Roper Technologies has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of C.

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This article originally published on Zacks Investment Research (zacks.com).

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