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Cognizant Technology Solutions Corporation ($CTSH) Stock Forecast: Down 6.8% Today

Morpher AI identified a bearish signal. The stock price may continue to fall based on the momentum of the negative news.

What is Cognizant Technology Solutions Corporation?

Cognizant Technology Solutions Corp (CTSH) is a leading provider of IT services, known for its focus on digital and AI capabilities. Today, the stock experienced a strong bearish movement in the market.

Why is Cognizant Technology Solutions Corporation going down?

CTSH stock is down 6.8% on Feb 12, 2026 20:41

  • The bearish movement in CTSH's stock could be attributed to the broader weakness in the global technology sector, as seen with declines in other company ADRs due to concerns over AI disrupting traditional outsourcing models.
  • Cognizant's recent financial report showcasing revenue growth driven by digital and AI capabilities might not have been enough to offset investor worries about the impact of AI on the company's future prospects.
  • The disclosure of Cognizant and other company being the top employers of H-1B visa holders in Texas amidst increased scrutiny and crackdowns on H-1B visa usage could have added to the negative sentiment surrounding CTSH, given its reliance on talent from this visa category.
  • The sector-wide downtrend in IT Software, as evidenced by another company hitting a new 52-week low and facing downward pressure, could have further influenced the bearish movement in CTSH's stock.

CTSH Price Chart

CTSH Technical Analysis

CTSH News

Infosys, Wipro ADRs slide amid AI fears; US tech wobbles

Infosys and Wipro's American Depository Receipts (ADRs) experienced a decline, with Infosys falling over 4% and Wipro about 3.35%, due to increasing concerns over AI's potential to disrupt traditional outsourcing models. This downturn reflects a broader weakness in the global technology sector as investors question the future demand for legacy software services. While some US tech giants like Apple, Amazon, and Cisco also saw drops, Siemens AG bucked the trend with a 7.1% surge after raising its fiscal 2026 earnings per share outlook, attributing the positive forecast to AI-driven gains in industrial manufacturing.

https://www.cnbctv18.com/market/infosys-wipro-adrs-slide-amid-ai-fears-us-tech-wobbles-ws-l-19849141.htm

0 News Article Image Infosys, Wipro ADRs slide amid AI fears; US tech wobbles

COGNIZANT TECHNOLOGY SOLUTIONS CORP SEC 10-K Report

Cognizant Technology Solutions Corp (CTSH) has released its 2025 10-K report, showcasing revenue growth of 7.0% to $21,108 million, driven by its Health Sciences and Financial Services segments. The report outlines the company's focus on digital and AI capabilities, strategic initiatives like the acquisition of Belcan, and challenges posed by macroeconomic factors and technological changes. Cognizant plans to continue significant investments in AI and maintain its capital allocation strategy, balancing acquisitions with shareholder returns.

https://www.tradingview.com/news/tradingview:307cc1b5a4bf9:0-cognizant-technology-solutions-corp-sec-10-k-report/

1 News Article Image COGNIZANT TECHNOLOGY SOLUTIONS CORP SEC 10-K Report

Cognizant, Infosys employed highest number of H-1Bs in Texas since 2020, claims report amid major crackdo

A report by Dallas Express indicates that Cognizant and Infosys were the top employers of H-1B visa holders in Texas between 2020 and 2025, hiring significantly more than other companies. This revelation comes amidst increased scrutiny and state-level crackdowns on H-1B visa usage in Texas, including a freeze on H-1B hiring by state agencies and investigations into some firms. The report highlights the large presence of these Indian IT conglomerates in the H-1B landscape in Texas, with Cognizant hiring 50,666 and Infosys 45,323 H-1Bs during the specified period.

https://timesofindia.indiatimes.com/world/us/cognizant-infosys-employed-highest-number-of-h-1bs-in-texas-since-2020-claims-report-amid-major-crackdown/articleshow/128259569.cms

2 News Article Image Cognizant, Infosys employed highest number of H-1Bs in Texas since 2020, claims report amid major crackdo

European Enterprises Adopt Robust Sustainability Practices

European firms are shifting their sustainability efforts from mere regulatory compliance to achieving measurable financial and operational outcomes, aligning strategies with renewable energy transition and investing in integrated ESG data architectures. A new ISG report highlights their adoption of digital solutions to manage energy exposure, decarbonize, and gain transparency across operations, supply chains, and product levels for better decision-making and competitive differentiation. This transformation is supported by strategy and enablement services, moving towards outcome-driven approaches in the maturing digital sustainability market.

https://www.businesswire.com/news/home/20260212224772/en/European-Enterprises-Adopt-Robust-Sustainability-Practices

3 News Article Image European Enterprises Adopt Robust Sustainability Practices

Wipro Ltd. Sees Sharp Value Turnover Amid Sector Downtrend; Institutional Interest Wanes

Wipro Ltd. experienced significant trading activity on February 12, 2026, with a high value turnover, but the stock faced downward pressure, hitting a new 52-week low. This decline is attributed to broader sector weakness in the IT - Software sector and waning institutional interest, as indicated by decreased delivery volumes. MarketsMOJO downgraded Wipro to a Hold rating, suggesting a cautious outlook despite its attractive dividend yield, advising investors to monitor for signs of sector recovery.

https://www.marketsmojo.com/news/stocks-in-action/wipro-ltd-sees-sharp-value-turnover-amid-sector-downtrend-institutional-interest-wanes-3835077

4 News Article Image Wipro Ltd. Sees Sharp Value Turnover Amid Sector Downtrend; Institutional Interest Wanes

Cognizant Technology Solutions Corporation Price History

11.01.2026 - CTSH Stock was down 5.0%

  • The bearish movement in CTSH stock today could be attributed to the mixed share price performance over the last month and year-to-date, despite positive returns over longer terms.
  • The potential impact of Cognizant expanding its AI partnership with Adobe on the company's strategic focus may have influenced short-term investor sentiment.
  • Stagnant entry-level IT salaries at major competitors like TCS and Infosys could be seen as a factor affecting CTSH's market performance.
  • The reduction in stake by Envestnet Asset Management Inc. in another IT company might have contributed to broader negative market sentiment affecting CTSH as well.

11.01.2026 - CTSH Stock was down 5.1%

  • The bearish movement in CTSH stock today could be attributed to concerns over high investment in scaling and acquisitions, leading to cash burn and a widening gap between long-term goals and profitability.
  • While IT stocks like Cyient, TCS, and Infosys are considered "contra bets" by analysts, the stagnation in entry-level IT salaries at companies like TCS and Infosys might be impacting investor confidence in the sector as a whole.
  • The expansion of the AI partnership between Adobe and Cognizant, focusing on enterprise content and customer experience workflows, could be putting pressure on other IT companies like CTSH to innovate and stay competitive in the market.
  • The reduction in stake by Envestnet Asset Management Inc. in Jack Henry & Associates, despite positive Q4 earnings and analyst upgrades, could be signaling a broader trend of institutional investors reassessing their positions in IT companies, potentially affecting sentiment towards stocks like CTSH.

29.09.2025 - CTSH Stock was up 7.9%

  • CTSH likely experienced a strong bullish movement today due to anticipation and positive expectations surrounding its upcoming Q3 earnings report.
  • The market may have reacted positively to the news of an expanding clientele and a robust pipeline, indicating potential growth opportunities for the company.
  • Investors seem optimistic about CTSH's performance, driven by the favorable mix of new opportunities in its pipeline, which could translate into improved financial results and shareholder value.

12.01.2026 - CTSH Stock was down 7.4%

  • The release of Cognizant's 2025 10-K report showcasing revenue growth and strategic initiatives did not seem to impress investors, leading to a bearish movement in the stock.
  • The scrutiny and crackdown on H-1B visa usage in Texas, where Cognizant is a top employer of H-1B visa holders, might have raised concerns among investors about potential impacts on the company's operations and workforce.
  • The broader sector weakness in the IT Software sector, as evidenced by another company's downturn and decreased institutional interest, could have contributed to the negative sentiment towards CTSH as part of the industry trend.
  • Despite Cognizant's focus on sustainability and digital solutions, the market reaction today suggests that investors may be more focused on immediate financial performance and sector dynamics, driving the bearish movement in the stock.

12.01.2026 - CTSH Stock was down 6.2%

  • The bearish movement in CTSH could be influenced by the broader sector weakness in the IT Software sector, as seen with another company hitting a new 52-week low due to waning institutional interest and a cautious outlook from a market analysis platform.
  • Despite positive recognition in the Gartner® Market Guide for Microsoft 365 Implementation and Support Services, the sector trend and market sentiment seem to have overshadowed any potential positive impact on CTSH.
  • The operational challenges faced by another company with margin pressures despite cloud and AI momentum may have added to the negative sentiment in the IT sector, impacting stocks like CTSH.
  • Another company's recent stock decline and caution from analysts regarding increased loss per share estimates and premium valuation compared to peers may have contributed to the overall bearish sentiment in the IT sector, affecting CTSH as well.

12.01.2026 - CTSH Stock was down 6.8%

  • The bearish movement in CTSH's stock could be attributed to the broader weakness in the global technology sector, as seen with declines in other company ADRs due to concerns over AI disrupting traditional outsourcing models.
  • Cognizant's recent financial report showcasing revenue growth driven by digital and AI capabilities might not have been enough to offset investor worries about the impact of AI on the company's future prospects.
  • The disclosure of Cognizant and other company being the top employers of H-1B visa holders in Texas amidst increased scrutiny and crackdowns on H-1B visa usage could have added to the negative sentiment surrounding CTSH, given its reliance on talent from this visa category.
  • The sector-wide downtrend in IT Software, as evidenced by another company hitting a new 52-week low and facing downward pressure, could have further influenced the bearish movement in CTSH's stock.

19.08.2025 - CTSH Stock was down 3.4%

  • Implied volatility for CTSH stock options surged, reflecting heightened uncertainty and potential downside risk perceived by investors.
  • The increase in options activity may indicate preparation by market participants for significant price fluctuations or negative developments concerning Cognizant Technology Solutions.
  • The decline in CTSH stock price could be linked to investors implementing hedging strategies or making bearish investments in anticipation of adverse events affecting the company's performance.

19.08.2025 - CTSH Stock was down 3.3%

  • The surge in implied volatility for CTSH stock options indicates increased uncertainty and potential downside risk perceived by investors.
  • This heightened volatility in the options market could suggest that there are concerns or speculations about the company's future performance or external factors impacting its stock price.
  • The bearish movement in CTSH stock today may be a reflection of investors adjusting their positions or hedging against potential negative outcomes related to the company's operations or market conditions.

21.10.2025 - CTSH Stock was up 5.6%

  • CTSH stock experienced a strong bullish movement today, potentially driven by the announcement of the planned 3Cloud acquisition. This acquisition is expected to enhance CTSH's AI and Azure capabilities, which could attract new clients and drive future growth.
  • The market seems optimistic about the strategic move by CTSH to deepen its expertise and expand its client base in the sector, leading to increased investor confidence and a positive stock performance.
  • The acquisition news highlights CTSH's commitment to staying competitive in the rapidly evolving technology landscape, positioning the company for potential long-term success and growth in the market.

04.01.2026 - CTSH Stock was up 5.0%

  • CTSH experienced a strong bullish movement today.
  • The bullish sentiment in CTSH could be attributed to positive market reactions towards AI-driven solutions in the tech sector.
  • The market might be viewing CTSH favorably due to its potential involvement in AI infrastructure development.
  • The decline in other IT stocks like Infosys, Wipro, and TCS following global tech sell-offs and concerns over the impact of new AI tools could have redirected investor attention towards CTSH, leading to its bullish movement today.

03.01.2026 - CTSH Stock was down 5.6%

  • The bearish movement in CTSH's stock may be linked to broader market sentiment and profit-taking by investors following a period of growth.
  • The decrease in CTSH's short interest as a percent of float indicates a shift in sentiment towards the stock, with investors displaying lesser bearishness compared to peers.
  • The acclaim for Cognizant and Ace Hardware's 25-year partnership underscores CTSH's role in advancing e-commerce and supply chain innovation, demonstrating its dedication to digital transformation despite recent market trends.
  • The absence of specific negative developments associated with CTSH in recent updates suggests that the bearish movement might be more influenced by overall market conditions rather than internal factors specific to the company.

03.01.2026 - CTSH Stock was down 10.0%

  • The bearish movement in CTSH stock could be attributed to the increasing adoption of AI in the healthcare sector. This shift towards AI-enabled solutions may have raised concerns about the demand for traditional IT services provided by companies like Cognizant.
  • The strong performance of Infosys Ltd, a competitor of CTSH, with a 3.31% surge on the same day, could have further impacted CTSH's stock negatively, as investors may have shifted focus towards Infosys due to its impressive intraday performance.
  • The findings from the Broadridge and FSI study indicating that financial advisors lack training in cryptocurrency despite growing client interest in digital assets could have also influenced the bearish sentiment towards CTSH, as it operates in the technology and consulting sector where expertise in emerging technologies is crucial for competitiveness.
  • Overall, the market movement in CTSH today may have been a result of concerns about the company's position in the rapidly evolving technology landscape, increased competition from peers like Infosys, and the need for companies in the sector to adapt to the changing demands of clients and markets.
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Disclaimer
Morpher is not liable for the content of the AI investment insights. Like most GPT-powered tools, these summaries may contain AI hallucinations and inaccurate information. Morpher is not presenting you with any investment advice. All investments involve risk, and the past performance of a security, industry, sector, market, or financial product does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs. These summaries do not constitute investment advice.