The stock dropped significantly after an AI company's announcement suggested its models could automate work Cognizant performs, showing its vulnerability to AI progress.

Signed on as one of Anthropic's largest enterprise customers, a move that validates Anthropic's strategy and shows Cognizant is adopting cutting-edge AI.

Identified as a potential loser as AI is at risk of automating many of its traditional IT services and consulting functions.

Its business model is under threat from proposed changes to the H-1B visa program, which could fundamentally impact its profitability and staffing strategies.