Cognizant projects Q3 revenue of $5.60 billion to $5.68 billion, below Wall Street estimates

Cognizant guided Q3 revenue below consensus and trimmed full-year revenue ranges, citing cautious discretionary IT spending and continued weakness in smaller projects. Management noted enterprise budgets shifting toward data center infrastructure over software as AI adoption accelerates, signaling softer near-term demand for IT services and related enterprise software. The outlook reinforces a cyclical slowdown narrative across the sector, weighing on peer read-throughs and risk appetite in adjacent names.