Berenberg Downgrades Cognizant on AI Transition Risks

By EC Assets · Published 17 June 2026

Berenberg has downgraded Cognizant Technology Solutions, risks associated with the AI transition. The firm lowered its rating on Cognizant (NASDAQ: CTSH) to Hold from Buy. This adjustment also included a reduction in the price target for the technology services company. Berenberg cut Cognizant's price target to $59.00 from $81.00. Another report indicated a price target reduction to $50 from $81. The downgrade highlights concerns about the IT services sector more broadly. The firm stated that while AI concerns have led to a de-rating across IT services, there is limited scope for a near-term rebound. The IT services sector has underperformed. Berenberg also downgraded other companies, including Zealand Pharma (ZLDPF) and DiaSorin (DSRLF), from Buy to Hold on the same day. This article is intended for informational purposes only. It does not constitute investment advice.