# Cognizant Technology Solutions Corp Class A (CTSH)

Cognizant is an American multinational technology company that provides business consulting, information technology and outsourcing services. It is headquartered in Teaneck, New Jersey, United States.

## Stock Price Trends

Stock price trends estimated using linear regression.

#### Key facts

- The primary trend is decreasing.
- The decline rate of the primary trend is 66.15% per annum.
- CTSH price at the close of April 19, 2024 was $67.44 and was inside the primary price channel.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 83.84% per annum.
- CTSH price at the close of April 19, 2024 was inside the secondary price channel.

### Linear Regression Model

Model equation:

Y_{i} = α + β × X_{i} + ε_{i}

Top border of price channel:

Exp(Y_{i}) = Exp(a + b × X_{i} + 2 × s)

Bottom border of price channel:

Exp(Y_{i}) = Exp(a + b × X_{i} – 2 × s)

where:

i - observation number

Y_{i} - natural logarithm of CTSH price

X_{i} - time index, 1 day interval

σ - standard deviation of ε_{i}

a - estimator of α

b - estimator of β

s - estimator of σ

Exp() - calculates the exponent of e

### Primary Trend

Start date: February 22, 2024

End date: April 19, 2024

a = 9.6322

b = -0.0030

s = 0.0108

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × -0.0030) – 1

= -66.15%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0108) – 1

= 4.42%

#### February 22, 2024 calculations

Top border of price channel:

Exp(Y_{1,218})

= Exp(a + b × X_{1,218} + 2 × s)

= Exp(a + b × 1,767 + 2 × s)

= Exp(9.6322 + -0.0030 × 1,767 + 2 × 0.0108)

= Exp(4.4102)

= $82.28

Bottom border of price channel:

Exp(Y_{1,218})

= Exp(a + b × X_{1,218} – 2 × s)

= Exp(a + b × 1,767 – 2 × s)

= Exp(9.6322 + -0.0030 × 1,767 – 2 × 0.0108)

= Exp(4.3669)

= $78.80

#### April 19, 2024 calculations

Top border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} + 2 × s)

= Exp(a + b × 1,824 + 2 × s)

= Exp(9.6322 + -0.0030 × 1,824 + 2 × 0.0108)

= Exp(4.2410)

= $69.48

Bottom border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} – 2 × s)

= Exp(a + b × 1,824 – 2 × s)

= Exp(9.6322 + -0.0030 × 1,824 – 2 × 0.0108)

= Exp(4.1978)

= $66.54

#### Description

- The primary trend is decreasing.
- The decline rate of the primary trend is 66.15% per annum.
- CTSH price at the close of April 19, 2024 was $67.44 and was inside the primary price channel.

### Secondary Trend

Start date: April 5, 2024

End date: April 19, 2024

a = 13.3140

b = -0.0050

s = 0.0078

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × -0.0050) – 1

= -83.84%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0078) – 1

= 3.15%

#### April 5, 2024 calculations

Top border of price channel:

Exp(Y_{1,248})

= Exp(a + b × X_{1,248} + 2 × s)

= Exp(a + b × 1,810 + 2 × s)

= Exp(13.3140 + -0.0050 × 1,810 + 2 × 0.0078)

= Exp(4.2919)

= $73.11

Bottom border of price channel:

Exp(Y_{1,248})

= Exp(a + b × X_{1,248} – 2 × s)

= Exp(a + b × 1,810 – 2 × s)

= Exp(13.3140 + -0.0050 × 1,810 – 2 × 0.0078)

= Exp(4.2609)

= $70.87

#### April 19, 2024 calculations

Top border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} + 2 × s)

= Exp(a + b × 1,824 + 2 × s)

= Exp(13.3140 + -0.0050 × 1,824 + 2 × 0.0078)

= Exp(4.2220)

= $68.17

Bottom border of price channel:

Exp(Y_{1,258})

= Exp(a + b × X_{1,258} – 2 × s)

= Exp(a + b × 1,824 – 2 × s)

= Exp(13.3140 + -0.0050 × 1,824 – 2 × 0.0078)

= Exp(4.1910)

= $66.09

#### Description

- The secondary trend is decreasing.
- The decline rate of the secondary trend is 83.84% per annum.
- CTSH price at the close of April 19, 2024 was inside the secondary price channel.