Cognizant price target raised to $80 from $70 at Deutsche Bank

Deutsche Bank raised the firm’s price target on Cognizant (CTSH) to $80 from $70 and keeps a Hold rating on the shares ahead of the Q3 report on October 30. While discretionary spend should remain weak, Cognizant’s revamped focus on large deals over the past 18 months should provide a base for growth while positioning the company to benefit from any rebound in demand, the analyst tells investors in a research note. However, the firm remains cautious on Cognizant and the IT services industry as a whole saying growth remains weak on the back of economic caution with no clear signs of improvement on the horizon.