Cognizant Technology Stock Forward View - Double Exponential Smoothing

CTSH Stock  USD 76.84  0.13  0.17%   
Cognizant Stock outlook is based on your current time horizon. We suggest always using this module together with an analysis of Cognizant Technology's historical fundamentals, such as revenue growth or operating cash flow patterns.
As of 6th of February 2026 the relative strength index (rsi) of Cognizant Technology's share price is below 20 suggesting that the stock is significantly oversold. The fundamental principle of the Relative Strength Index (RSI) is to quantify the velocity at which market participants are driving the price of a financial instrument upwards or downwards.

Momentum 0

 Sell Peaked

 
Oversold
 
Overbought
The successful prediction of Cognizant Technology's future price could yield a significant profit. We analyze noise-free headlines and recent hype associated with Cognizant Technology Solutions, which may create opportunities for some arbitrage if properly timed. Below are the key fundamental drivers impacting Cognizant Technology's stock price prediction:
Quarterly Earnings Growth
0.216
EPS Estimate Next Quarter
1.3412
EPS Estimate Current Year
5.6628
EPS Estimate Next Year
6.1601
Wall Street Target Price
91.7952
Using Cognizant Technology hype-based prediction, you can estimate the value of Cognizant Technology Solutions from the perspective of Cognizant Technology response to recently generated media hype and the effects of current headlines on its competitors. We also analyze overall investor sentiment towards Cognizant Technology using Cognizant Technology's stock options and short interest. It helps to benchmark the overall future attitude of investors towards Cognizant using crowd psychology based on the activity and movement of Cognizant Technology's stock price.

Cognizant Technology Short Interest

A significant increase or decrease in Cognizant Technology's short interest from the previous month could be a good indicator of investor sentiment towards Cognizant. Short interest can provide insight into the potential direction of Cognizant Technology stock and how bullish or bearish investors feel about the market overall.
200 Day MA
75.8022
Short Percent
0.0633
Short Ratio
4.96
Shares Short Prior Month
25.4 M
50 Day MA
82.3976

Cognizant Relative Strength Index

The Double Exponential Smoothing forecasted value of Cognizant Technology Solutions on the next trading day is expected to be 75.96 with a mean absolute deviation of 1.08 and the sum of the absolute errors of 64.80.

Cognizant Technology Hype to Price Pattern

Investor biases related to Cognizant Technology's public news can be used to forecast risks associated with an investment in Cognizant. The trend in average sentiment can be used to explain how an investor holding Cognizant can time the market purely based on public headlines and social activities around Cognizant Technology Solutions. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Some investors profit by finding stocks that are overvalued or undervalued based on market sentiment. The correlation of Cognizant Technology's market sentiment to its price can help taders to make decisions based on the overall investors consensus about Cognizant Technology.

Cognizant Technology Implied Volatility

    
  0.4  
Cognizant Technology's implied volatility exposes the market's sentiment of Cognizant Technology Solutions stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Cognizant Technology's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Cognizant Technology stock will not fluctuate a lot when Cognizant Technology's options are near their expiration.
The Double Exponential Smoothing forecasted value of Cognizant Technology Solutions on the next trading day is expected to be 75.96 with a mean absolute deviation of 1.08 and the sum of the absolute errors of 64.80.

Cognizant Technology after-hype prediction price

    
  USD 76.69  
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
Check out Historical Fundamental Analysis of Cognizant Technology to cross-verify your projections.

Prediction based on Rule 16 of the current Cognizant contract

Based on the Rule 16, the options market is currently suggesting that Cognizant Technology Solutions will have an average daily up or down price movement of about 0.025% per day over the life of the 2026-04-17 option contract. With Cognizant Technology trading at USD 76.84, that is roughly USD 0.0192 . If you think that the market is fully incorporating Cognizant Technology's daily price movement you should consider acquiring Cognizant Technology Solutions options at the current volatility level of 0.4%. But if you have an opposite viewpoint you should avoid it and even consider selling them.

Open Interest Against 2026-04-17 Cognizant Option Contracts

Although open interest is a measure utilized in the options markets, it could be used to forecast Cognizant Technology's spot prices because the number of available contracts in the market changes daily, and new contracts can be created or liquidated at will. Since open interest in Cognizant Technology's options reflects these daily shifts, investors could use the patterns of these changes to develop long and short-term trading strategies for Cognizant Technology stock based on available contracts left at the end of a trading day.
Please note that to derive more accurate forecasting about market movement from the current Cognizant Technology's open interest, investors have to compare it to Cognizant Technology's spot prices. As Ford's stock price increases, high open interest indicates that money is entering the market, and the market is strongly bullish. Conversely, if the price of Cognizant Technology is decreasing and there is high open interest, that is a sign that the bearish trend will continue, and investors may react by taking short positions in Cognizant. So, decreasing or low open interest during a bull market indicates that investors are becoming uncertain of the depth of the bullish trend, and a reversal in sentiment will likely follow.

Cognizant Technology Additional Predictive Modules

Most predictive techniques to examine Cognizant price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Cognizant using various technical indicators. When you analyze Cognizant charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.
Double exponential smoothing - also known as Holt exponential smoothing is a refinement of the popular simple exponential smoothing model with an additional trending component. Double exponential smoothing model for Cognizant Technology works best with periods where there are trends or seasonality.

Cognizant Technology Double Exponential Smoothing Price Forecast For the 7th of February

Given 90 days horizon, the Double Exponential Smoothing forecasted value of Cognizant Technology Solutions on the next trading day is expected to be 75.96 with a mean absolute deviation of 1.08, mean absolute percentage error of 2.52, and the sum of the absolute errors of 64.80.
Please note that although there have been many attempts to predict Cognizant Stock prices using its time series forecasting, we generally do not suggest using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that Cognizant Technology's next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

Cognizant Technology Stock Forecast Pattern

Backtest Cognizant Technology  Cognizant Technology Price Prediction  Research Analysis  

Cognizant Technology Forecasted Value

In the context of forecasting Cognizant Technology's Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. Cognizant Technology's downside and upside margins for the forecasting period are 73.96 and 77.96, respectively. We have considered Cognizant Technology's daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Market Value
76.84
75.96
Expected Value
77.96
Upside

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Double Exponential Smoothing forecasting method's relative quality and the estimations of the prediction error of Cognizant Technology stock data series using in forecasting. Note that when a statistical model is used to represent Cognizant Technology stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.
AICAkaike Information CriteriaHuge
BiasArithmetic mean of the errors 0.0485
MADMean absolute deviation1.0799
MAPEMean absolute percentage error0.0135
SAESum of the absolute errors64.7969
When Cognizant Technology Solutions prices exhibit either an increasing or decreasing trend over time, simple exponential smoothing forecasts tend to lag behind observations. Double exponential smoothing is designed to address this type of data series by taking into account any Cognizant Technology Solutions trend in the prices. So in double exponential smoothing past observations are given exponentially smaller weights as the observations get older. In other words, recent Cognizant Technology observations are given relatively more weight in forecasting than the older observations.

Predictive Modules for Cognizant Technology

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Cognizant Technology. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Cognizant Technology's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
74.7176.6978.67
Details
Intrinsic
Valuation
LowRealHigh
69.1684.7886.76
Details
Bollinger
Band Projection (param)
LowMiddleHigh
76.0782.4188.75
Details
27 Analysts
Consensus
LowTargetHigh
83.5391.80101.89
Details

Cognizant Technology After-Hype Price Density Analysis

As far as predicting the price of Cognizant Technology at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Cognizant Technology or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Cognizant Technology, with the unreliable approximations that try to describe financial returns.
   Next price density   
       Expected price to next headline  

Cognizant Technology Estimiated After-Hype Price Volatility

In the context of predicting Cognizant Technology's stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Cognizant Technology's historical news coverage. Cognizant Technology's after-hype downside and upside margins for the prediction period are 74.71 and 78.67, respectively. We have considered Cognizant Technology's daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models compare with traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
76.84
76.69
After-hype Price
78.67
Upside
Cognizant Technology is very steady at this time. Analysis and calculation of next after-hype price of Cognizant Technology is based on 3 months time horizon.

Cognizant Technology Stock Price Outlook Analysis

Have you ever been surprised when a price of a Company such as Cognizant Technology is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Cognizant Technology backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Cognizant Technology, there might be something going there, and it might present an excellent short sale opportunity.
Expected ReturnPeriod VolatilityHype ElasticityRelated ElasticityNews DensityRelated DensityExpected Hype
  0.12 
2.00
  0.16 
  0.15 
10 Events / Month
6 Events / Month
In about 10 days
Latest traded priceExpected after-news pricePotential return on next major newsAverage after-hype volatility
76.84
76.69
0.20 
148.15  
Notes

Cognizant Technology Hype Timeline

Cognizant Technology is currently traded for 76.84. The entity has historical hype elasticity of -0.16, and average elasticity to hype of competition of -0.15. Cognizant is projected to decline in value after the next headline, with the price expected to drop to 76.69. The average volatility of media hype impact on the company price is about 148.15%. The price decrease on the next news is expected to be -0.2%, whereas the daily expected return is currently at 0.12%. The volatility of related hype on Cognizant Technology is about 159.62%, with the expected price after the next announcement by competition of 76.69. About 100.0% of the company shares are held by institutions such as insurance companies. The book value of Cognizant Technology was currently reported as 31.35. The company has Price/Earnings To Growth (PEG) ratio of 1.35. Cognizant Technology last dividend was issued on the 18th of February 2026. The entity had 2:1 split on the 10th of March 2014. Given the investment horizon of 90 days the next projected press release will be in about 10 days.
Check out Historical Fundamental Analysis of Cognizant Technology to cross-verify your projections.

Cognizant Technology Related Hype Analysis

Having access to credible news sources related to Cognizant Technology's direct competition is more important than ever and may enhance your ability to predict Cognizant Technology's future price movements. Getting to know how Cognizant Technology's peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Cognizant Technology may potentially react to the hype associated with one of its peers.
Hype
Elasticity
News
Density
Semi
Deviation
Information
Ratio
Potential
Upside
Value
At Risk
Maximum
Drawdown
FIFiserv 0.26 7 per month 0.00 (0.17) 2.30 (3.13) 47.14 
WITWipro Limited ADR(0.02)10 per month 1.93 (0.01) 3.98 (2.30) 14.08 
ERICTelefonaktiebolaget LM Ericsson(0.04)8 per month 1.35  0.05  2.40 (1.89) 10.94 
LDOSLeidos Holdings(1.54)10 per month 0.00 (0.04) 2.11 (2.25) 9.17 
FISFidelity National Information(0.45)9 per month 0.00 (0.19) 1.92 (3.05) 11.88 
ASXASE Industrial Holding 0.17 10 per month 2.06  0.15  3.57 (3.59) 8.76 
BRBroadridge Financial Solutions(7.62)8 per month 0.00 (0.16) 1.80 (1.93) 8.27 
GIBCGI Inc(0.81)11 per month 0.00 (0.06) 2.21 (2.15) 13.00 
CDWCDW Corp(2.44)8 per month 0.00 (0.09) 2.61 (3.34) 10.15 
HPEHewlett Packard Enterprise(0.04)11 per month 0.00 (0.05) 2.85 (4.17) 9.60 

Other Forecasting Options for Cognizant Technology

For every potential investor in Cognizant, whether a beginner or expert, Cognizant Technology's price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. Cognizant Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in Cognizant. Basic forecasting techniques help filter out the noise by identifying Cognizant Technology's price trends.

Cognizant Technology Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Cognizant Technology stock to make a market-neutral strategy. Peer analysis of Cognizant Technology could also be used in its relative valuation, which is a method of valuing Cognizant Technology by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

Cognizant Technology Market Strength Events

Market strength indicators help investors to evaluate how Cognizant Technology stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Cognizant Technology shares will generate the highest return on investment. By undertsting and applying Cognizant Technology stock market strength indicators, traders can identify Cognizant Technology Solutions entry and exit signals to maximize returns.

Cognizant Technology Risk Indicators

The analysis of Cognizant Technology's basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in Cognizant Technology's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting cognizant stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

Story Coverage note for Cognizant Technology

The number of cover stories for Cognizant Technology depends on current market conditions and Cognizant Technology's risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Cognizant Technology is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Cognizant Technology's long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.
When determining whether Cognizant Technology offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Cognizant Technology's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Cognizant Technology Solutions Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Cognizant Technology Solutions Stock:
Is there potential for IT Consulting & Other Services market expansion? Will Cognizant introduce new products? Factors like these will boost the valuation of Cognizant Technology. Projected growth potential of Cognizant fundamentally drives upward valuation adjustments. Understanding fair value requires weighing current performance against future potential. All the valuation information about Cognizant Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.216
Earnings Share
4.57
Revenue Per Share
43.254
Quarterly Revenue Growth
0.049
Return On Assets
0.1023
Investors evaluate Cognizant Technology using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Cognizant Technology's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Analysts utilize numerous techniques to assess fundamental value, seeking to purchase shares when trading prices fall beneath estimated intrinsic worth. External factors like market trends, sector rotation, and investor psychology can cause Cognizant Technology's market price to deviate significantly from intrinsic value.
It's important to distinguish between Cognizant Technology's intrinsic value and market price, which are calculated using different methodologies. Investment decisions regarding Cognizant Technology should consider multiple factors including financial performance, growth metrics, competitive position, and professional analysis. Conversely, Cognizant Technology's market price signifies the transaction level at which participants voluntarily complete trades.