TEANECK, NJ - Cognizant Technology Solutions Corp (NASDAQ:CTSH) announced today the appointment of Karima Silvent as a new independent director to its Board, effective immediately. The Board has expanded to 13 directors with this addition.
Silvent, age 50, currently serves as Group Chief Human Resources Officer and a member of the Management Committee at AXA, a prominent French multinational insurance firm. She brings over 20 years of experience in human resources and talent management, as well as deep knowledge in public policy and government affairs.
Her extensive career includes various roles within AXA, such as Human Resources Director for AXA French businesses and Global HR Director responsible for workforce transformation. Before joining AXA, Silvent held positions in both the private health group Korian and the French global operator of public interest housing, Groupe Société Nationale Immobilière. She started her professional journey in the public sector, contributing to the French Ministry of Employment and Health.
Silvent is also a board member of AXA Investment Managers and chairs the board of the Establishment for Employment Integration, a French state-owned non-profit targeting youth employment.
In terms of compensation, Silvent will receive a cash retainer of $89,863, which is the pro-rated portion of the annual cash retainer, and restricted stock units valued at $197,698, based on the closing price of the company's stock on July 11, 2024. These units are set to vest on July 11, 2025.
Cognizant has confirmed that Silvent will enter into the company’s standard indemnification agreement for directors and officers. This appointment is part of the company's ongoing commitment to board diversity and expertise.
In other recent news, Cognizant Technology Solutions has made several strategic moves. The company reported Q1 2024 earnings with a slight revenue decline to $4.8 billion, but an improved adjusted operating margin of 15.1%. Furthermore, Cognizant has settled a lawsuit involving its CFO, Jatin Dalal, and his former employer, Wipro (NYSE:WIT) Limited, with a payment of $505,087 to cover the settlement amount and legal fees.
In addition, Cognizant has expanded its partnership with Cengage Group and announced an agreement to acquire Belcan, LLC, an engineering research and development services provider, for approximately $1.3 billion. This move is expected to contribute over $800 million in annualized revenue to the company.
On the analyst front, Goldman Sachs initiated coverage on Cognizant with a neutral rating. BofA Securities maintained an underperform rating, while BMO Capital Markets slightly raised its price target for the company, maintaining a market perform rating. These assessments reflect recent developments and the company's future expectations as stated by the analysts.
Finally, in collaboration with Google (NASDAQ:GOOGL) Cloud, Cognizant launched a new suite of healthcare solutions developed using Google Cloud's generative AI technology. These efforts underscore the company's continued commitment to innovation and growth.
InvestingPro Insights
With the recent appointment of Karima Silvent to the Board of Cognizant Technology Solutions Corp (NASDAQ:CTSH), investors may be interested in the latest financial metrics and market performance of the company. According to InvestingPro data, Cognizant boasts a solid market capitalization of $34.89 billion and a P/E ratio of 16.79, which adjusts to a more enticing 15.29 when looking at the last twelve months as of Q1 2024. These figures underscore the company's stable financial standing in the competitive IT Services industry.
InvestingPro Tips highlight that Cognizant has raised its dividend for four consecutive years, reflecting a commitment to shareholder returns, and currently offers a dividend yield of 1.77%. Additionally, the company is known for low price volatility, which may appeal to investors seeking stability in their portfolio. With a robust gross profit margin of 34.37% in the last twelve months as of Q1 2024, Cognizant's financial health appears strong. Moreover, the company's liquid assets exceed short-term obligations, suggesting a favorable liquidity position.
For those seeking to delve deeper into Cognizant's investment potential, there are numerous additional InvestingPro Tips available, which can be accessed with the use of coupon code PRONEWS24 for up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. This comprehensive analysis could be particularly valuable as Karima Silvent begins her tenure and the company continues to navigate the dynamic IT Services sector.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.