Gartner Research

Cognizant Focuses on Digital, Increases Margin Target and Gives Up Three Board Seats

Published: 28 February 2017

ID: G00326320

Analyst(s): Sandra Notardonato


Coincident with 4Q16 results, Cognizant announced a cooperation agreement with Elliott Management, which includes a board refresh, a new capital allocation strategy and operating margin expansion. While the new strategy makes sense at a high level, we see some challenges to execution.

Table Of Contents


  • Invest Implications
  • Outlook for 2017
  • Recap of 4Q16 and Full-Year 2016 Financial and Operating Performance
  • What to Watch

©2021 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Become a client

Learn how to access this content as a Gartner client.