SynopsisCognizant Technology forecasts third-quarter revenue below Wall Street estimates. Clients remain cautious on discretionary IT spending and large investments. The company expects annual revenue between $22.04 billion and $22.35 billion. This comes after reporting second-quarter revenue in line with estimates. Enterprises are prioritizing data center infrastructure over software as AI adoption accelerates.Cognizant Technology forecast quarterly revenue below Wall Street estimates on Wednesday, as clients remained cautious on discretionary IT spending.Shares of the company were down 3% in premarket trading.Cognizant expects third-quarter revenue between $5.60 billion and $5.68 billion, below analysts' average estimate of $5.70 billion, according to data compiled by LSEG.The company is navigating a complex macro environment, with clients cautious on large investments and continued softness in smaller discretionary projects.Enterprises are also prioritizing investment in data center infrastructure over software as AI adoption accelerates.Cognizant now expects annual revenue between $22.04 billion and $22.35 billion, compared with its prior expectations of $22.11 billion to $22.64 billion.For the second quarter, the company reported revenue of $5.48 billion, in line with estimates and up 4.5% from a year earlier.Cognizant has been expanding capabilities to help clients modernize legacy platforms and deploy GenAI at scale. ...moreElevate your knowledge and leadership skills at a cost cheaper than your daily tea.Subscribe Now
Cognizant forecasts weak quarterly revenue amid cautious client spending - The Economic Times
Cognizant Technology forecasts third-quarter revenue below Wall Street estimates. Clients remain cautious on discretionary IT spending and large investments. The company expects annual revenue between $22.04 billion and $22.35 billion. This comes after reporting second-quarter revenue in line with estimates. Enterprises are prioritizing data center infrastructure over software as AI adoption accelerates.








