Cognizant Technology Solutions Corp (CTSH) surged 5.07% during intraday trading on Wednesday, reversing pre-market losses, as investors digested the company's second-quarter earnings report and an improved full-year profit outlook.

The company reported Q2 revenue of $5.48 billion, up 4.5% year-over-year and in line with analyst estimates, driven by double-digit growth in its Financial Services segment. While adjusted earnings per share of $1.37 narrowly missed the consensus estimate of $1.38, Cognizant lifted its full-year 2026 adjusted EPS guidance to a range of $5.70 to $5.82, above the FactSet estimate of $5.70. The firm also repurchased $1.15 billion in shares during the quarter, signaling confidence in its financial position.

Initial pre-market trading saw shares fall as much as 7.6% after the company issued third-quarter revenue guidance of $5.60 billion to $5.68 billion, below the $5.70 billion analyst estimate. However, the stock quickly pared losses and turned sharply higher after the opening bell, as the raised annual profit forecast and strong financial services performance outweighed near-term concerns.