NEW YORK (TheStreet) -- Shares of Cognizant Technology Solutions (CTSH) were gaining 9% to $64.46 Monday after the business software company beat analysts' estimates for earnings and revenue in the first quarter.
Cognizant Technology reported earnings of 71 cents a share for the first quarter, beating analysts' estimates of 70 cents a share for the quarter. Revenue grew 20.2% year over year to $2.91 billion for the quarter, compared to analysts' estimates of $2.89 billion.
Looking to the second quarter the company said it expects to report earnings of at least 72 cents a share and revenue of at least $3.01 billion. Analysts expect Cognizant Technology to report earnings of 73 cents a share and revenue of $3.01 billion.
Cognizant Technology expects earnings of at least $2.93 a share and revenue of at least $12.24 billion for full year 2015. Analysts expect the company to report earnings of $2.95 a share and revenue of $12.31 billion for the year.
TheStreet Ratings team rates COGNIZANT TECH SOLUTIONS as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate COGNIZANT TECH SOLUTIONS (CTSH) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, increase in net income and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow."