Cognizant Reports Second Quarter 2026 Results
Cognizant (Nasdaq: CTSH) reported Q2 2026 revenue of $5.5B, up 4.5% year over year, and GAAP EPS of $1.36. Adjusted EPS was $1.37. Trailing-12-month bookings rose to $29.1B. The company revised 2026 constant-currency revenue growth guidance to 4.0% to 5.5% and raised adjusted diluted EPS to $5.70 to $5.82, while keeping adjusted operating margin at 16.0% to 16.2%.
How this was made
The 30-second read
Why it matters
The key trading inputs are the revised 2026 constant-currency revenue growth range, unchanged adjusted operating margin guidance, and the increased 2026 adjusted diluted EPS range, all supported by Q2 margin expansion and capital return activity.
Market read
Fresh guidance changes (revenue and EPS) plus Q2 operating margin expansion and buyback activity create a clear catalyst for CTSH positioning.
What to watch
Voluntary attrition ticked up for Tech Services (13.0% vs 12.3% prior quarter), which may pressure future delivery costs and margins despite current expansion.
Background
Cognizant positions itself as an AI builder and technology services provider, emphasizing workforce scaling and reskilling to support enterprise-scale AI execution.
Ticker impact
Cognizant reported Q2 2026 results and revised 2026 constant-currency revenue guidance to 4.0% to 5.5%, plus raised 2026 adjusted EPS to $5.70 to $5.82.
Moderately positive bias for the next session and into earnings-follow-through, assuming Street estimates are not already above the raised EPS range.
The article discloses multiple fresh, decision-relevant datapoints: Q2 GAAP and adjusted EPS, margin expansion, revised revenue guidance, and increased full-year adjusted diluted EPS, alongside capital return and acquisition financing details.
Market effects
Reinforces demand read-through for AI-enabled IT services, particularly in Financial Services where Cognizant cited double-digit YoY growth.
Limited direct regional spillover beyond US-listed IT services sentiment.
Global constant-currency revenue growth framing may influence broader multinational IT services expectations.
Counterpoint
Bookings softness in Q2 (down 6% YoY) could offset optimism from EPS and margin, implying revenue durability risk.
Key entities
- public_companyCognizant
Reported Q2 2026 financial results, revised 2026 revenue guidance, and increased 2026 adjusted diluted EPS guidance.
- acquired_companyAstreya
Cognizant completed acquisition for $634 million (including contingent consideration) and financed with $1.0 billion revolver borrowing.
