Cognizant Technology Solutions Corporation (CTSH) Reports Strong Results For The Forth-Quarter

Analysts Joseph D. Foresi and Jeffrey Rossetti at Janney Capital Markets have released a report reviewing the fourth-quarter results at Cognizant Technology Solutions Corporation (NASDAQ: CTSH). The company has reported strong results for the fourth-quarter.

The company reported revenue of $902.7 million for the fourth-quarter, a 5.8% increase over the previous quarter, and $20.5 million ahead of analysts’ estimate. The EPS of $0.47, beat analysts estimate by $0.02 and consensus by $0.01. The EPS was $0.49, excluding a $4.5 million currency loss. Gross margin improved by 197 basis points over the previous quarter.

The company also issued guidance for the first-quarter. The company expects revenue of $935 million and EPS of $0.48 in the first-quarter. The management expects revenue of $3.935 billion in 2010, a 20% increase over 2009 revenue. The company has given EPS guidance of $2.03 for 2010, which is excluding any non-operating gain or loss from foreign exchange.

Analysts have a Buy rating for Cognizant Technology Solutions Corporation, with a fair value estimate of $54.