BUZZ-Cognizant rises on fourth-quarter results beat

Updates

Shares of IT consulting firm Cognizant CTSH.O reverse course from premarket to rise about 3% to $85.93 in early trade

CTSH posted Q4 rev and adj profit/share above estimates from increase in spending by clients in financial sector

"In North America, we are seeing an improved pipeline of opportunities for transformation and modernization projects across both insurance and select ADRs of banking and financial services clients" – CFO Jatin Dalal

But, says 2025 revenue is expected to be $20.3 bln-$20.8 bln vs estimates of $20.89 bln – LSEG

Uncertainty about path of future interest rate cuts is forcing CTSH customers to temper IT and consultancy spendings

Says 2025 adj EPS is expected to be $4.90/share-$5.06/share; mid-point of $4.98/share narrowly misses estimates of $4.99/share – LSEG

Including session's moves, CTSH is up ~12.1 YTD after it was up ~10% in the past 12 months