Cognizant Technology Solutions Corporation

CTSH: NasdaqGS
70Total

Lowest reading is at 24 out of 100. All scores are out of 100.

About The Company

CEO

Mr. Ravi Kumar Singisetti

Market Cap

25.82 Billion USD

Sector

Technology

Website

https://www.cognizant.com

Last Update

28/09/2026, 02:28:44

Description

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services in North America, Europe, and internationally.

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Strongest readings

  • ✔Return on capital employed of 20.64% is above the market average of 10.00%
  • ✔Debt is low at 0.04 times equity
  • ✔Financial health is strong (health score 86 out of 100)
  • ✔Dividend cover is strong (dividend score 73 out of 100)
  • ✔Altman-Z score of 5.58 sits above the distress range

Weakest readings

  • ✘Revenue is growing at 4.98% per year while free cashflow is falling
  • ✘Earnings and cashflow growth is weak (growth score 24 out of 100)
  • ✘The current price sits above estimated fair value (margin of safety -44.00%)
  • ✘Earnings have fallen this year (-6.05%)

Key Figures

StatusMetricValueReadingMarket avg
✔
Price / earnings (TTM)
12.30x
19.60x
✘
Margin of safety (DCF)
-44.00%
17.95%
✘
Revenue growth (5y average)
4.98%
10.97%
✔
Dividend yield (TTM)
2.39%
1.85%
✔
Share count, per year
-2.00%
0.00%
✔Return on capital employed20.64%
10.00%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

Valuation

94 / 100

Priced at or below the market on most measures.

StatusMetricValueReadingMarket avg
✔
Price / earnings
12.30x
19.60x
✔Free cashflow yield10.06%
4.70%
✘Price / earnings growth11.12x
1.50x
Price / book1.79x
—
✘
Margin of safety
-44.00%
17.95%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

  • ✘Estimated intrinsic value of 32.11 USD is below the current price of 57.33 USD

Desired Margin Of Safety

0%

▼

Tip: Set your desired Margin Of Safety

Free Cash Flow Type

Annual Cashflow Growth

0%

Discount Rate

0%

Estimated Fair Value: 100.3 USD ✔

Current Price: 57.3 USD

How Does This Work?

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This calculator helps investors estimate the Intrinsic Value of a company based on the current value of future cash flows. To use the tool, simply input a desired Margin Of Safety, which is an additional discount applied to the present value of the expected future cash flows. The tool calculates the present value using a discount rate that reflects the risk and time value of money, and provides an estimated fair value for the company based on the selected margin of safety. The calculator defaults to using 5 Year Free Cash Flow Growth % and a discount rate based on the US 10-year treasury bond coupon rate. Use our performance analyser to get a feel for the impact this has on longterm investment returns and find a margin of safety you are comfortable with.

Growth

24 / 100

Growing more slowly than the market on most measures.

StatusMetricValueReadingMarket avg
✘
Revenue growth
4.98%
10.97%
✘Earnings growth7.36%
14.48%
✘Cashflow growth-9.24%
12.35%

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

  • ✔Revenue growth has improved this year (6.85% against a five year average of 4.98%)
  • ✘Earnings growth has slowed this year (-6.05% against a five year average of 7.36%)
  • ✔Free cashflow growth has improved this year
  • ✘Revenue is growing at 4.98% per year while free cashflow is falling at 9.24% per year

Health

86 / 100

Balance sheet covers its obligations.

Measured on Leverage and capital, Funding and liquidity, Earnings quality.

StatusMetricValueReadingThreshold
✔Altman-Z score5.58
3.00
✔Piotroski score7.00
5.00
✔Debt / equity0.04x
0.80x
✔Current ratio2.14x
1.00x
✔Interest coverage95.03x
2.50x
✔Free cashflow / debt4.51x
0.15x
✔Debt / capital0.04x
1.00x

The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    Dividend

    73 / 100

    Covered by both earnings and cashflow.

    StatusMetricValueReadingMarket avg
    ✔
    Dividend yield
    2.39%
    1.85%
    ✔Dividend growth1.67%
    0.00%
    ✔Payout ratio (earnings)27.84%
    40.00%
    ✔Payout ratio (cashflow)23.79%
    65.00%
    ✔Worst year, last 5 years3.33%
    -2.00%

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    • ✘Dividend growth has been slowing recently

    Management

    74 / 100

    Returns on capital are at or above the market.

    StatusMetricValueReadingMarket avg
    ✘Return on equity14.85%
    15.00%
    ✔Return on capital employed20.64%
    10.00%
    Return on assets10.78%
    —
    Free cashflow return on capital15.24%
    —
    ✔Return on capital, 5y change1.69%
    0.00%
    ✔
    Share count, per year
    -2.00%
    0.00%
    ✔Share count, recent-7.70%
    0.00%
    ✘Realized buyback return-56.55%
    0.00%
    ✔Goodwill erosion / equity0.00%
    2.00%
    Price volatility, 5 year25.92%
    —

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    • ✔Shares were repurchased while the value score was 94 out of 100

    Analysts

    not enough data
    StatusMetricValueReadingNeutral
    Analyst opinion scoreN/A50

    The bar shows how good a reading is, so a longer bar is always better. The tick marks the benchmark.

    Financial History

    Annual figures across the full reporting history we hold.

    Market Peers

    CTSH

    SEC Filings

    Find yearly (10-K), quaterly (10-Q) and disclosure (8-K) report here, on the Securities and Exchange Commission's EDGAR database. If reading through reports isn't your cup of tea, don't worry. We've made it easy for you by summarizing all the important bits.

    See 35+ Years Annual Reports

    Other Information

    Company Name

    Cognizant Technology Solutions Corporation

    Currency

    USD

    Beta

    0.83

    Vol Avg

    8081274

    Ceo

    Mr. Ravi Kumar Singisetti

    Cik

    0001058290

    Cusip

    Exchange

    NasdaqGS

    Full Time Employees

    356700

    Industry

    Information Technology Services

    Sector

    Technology

    Ipo Date

    Address

    300 Frank West Burr Boulevard

    City

    Teaneck

    State

    NJ

    Country

    United States

    Zip

    07666

    Phone

    201 801 0233

    Analysis Last Updated

    28/09/2026, 02:28:44

    Financial data compiled from SEC EDGAR filings and Yahoo Finance.

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