Cognizant Technology Solutions has demonstrated solid business quality through strong revenue growth, strategic acquisitions, and high client satisfaction. However, it faces challenges in certain segments and adopts a conservative growth outlook for 2025. The company's focus on AI and innovation, coupled with a strong pipeline of large deals, positions it well for future growth, although caution remains due to economic uncertainties.
Analysis Date: February 5, 2025 Last Updated: May 29, 2025
+22%
+2.0% per year
Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.
CountryUS
ExchangeNASDAQ
IndustryInformation Technology Services
SectorTechnology
Market Cap$37.64B
CEOMr. Ravi Kumar Singisetti
Cognizant Technology Solutions is a company that helps other businesses improve their operations using technology. They offer services like consulting and outsourcing, which means they provide expert advice and help businesses get work done more efficiently. Cognizant works in various areas, including finance, healthcare, and media, helping companies with things like digital payments, health services, and improving customer experiences. Founded in 1994, they are based in Teaneck, New Jersey, and serve clients all around the world.
Streams of revenue
Financial Services:42%
Products and Resources:35%
Communication, Media and Technology:23%
Geographic Distribution
North America:68%
Europe:26%
Other Regions:6%
Core Products
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ConsultingBusiness strategy
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IoT SolutionsConnected devices
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AI & AnalyticsData insights
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Cloud ServicesCloud solutions
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Digital EngineeringSoftware solutions
Business Type
Business to Business
Competitive Advantages
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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Graham Value Metrics
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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Income Statement Flow
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Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.
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CTSH (Cognizant Technology Solutions Corporation) is a Technology company listed on NASDAQ Global Select. The stock has generated 2.0% annual returns with an overall investment score of None/100.
Cognizant Technology Solutions has demonstrated solid business quality through strong revenue growth, strategic acquisitions, and high client satisfaction. However, it faces challenges in certain segments and adopts a conservative growth outlook for 2025. The company's focus on AI and innovation, coupled with a strong pipeline of large deals, positions it well for future growth, although caution remains due to economic uncertainties.
CTSH Key Financial Metrics
CTSH financial analysis includes comprehensive valuation ratios, profitability metrics, and financial health indicators. The company has a valuation score of 10.0/100 and profitability score of 3.75/100 with financial health rated 10.0/100.
About Cognizant Technology Solutions Corporation
Cognizant Technology Solutions is a company that helps other businesses improve their operations using technology. They offer services like consulting and outsourcing, which means they provide expert advice and help businesses get work done more efficiently. Cognizant works in various areas, including finance, healthcare, and media, helping companies with things like digital payments, health services, and improving customer experiences. Founded in 1994, they are based in Teaneck, New Jersey, and serve clients all around the world.
CTSH Investment Recommendation
Based on our comprehensive analysis of CTSH, investors should consider the company's positive performance track record, earnings consistency (9/10 quarters beat expectations), and current valuation metrics when making investment decisions.
Technology Sector Analysis
CTSH operates in the Information Technology Services industry within the Technology sector. This analysis compares Cognizant Technology Solutions Corporation performance against industry and sector benchmarks to provide context for investment decisions.
Frequently Asked Questions about CTSH Stock
Is CTSH a good investment?
CTSH (Cognizant Technology Solutions Corporation) has generated 2.0% annual returns with an overall score of None/100. Cognizant Technology Solutions has demonstrated solid business quality through strong revenue growth, strategic acquisitions, and high client satisfaction. However, it faces challenges in certain segments and adopts a conservative growth … Investors should consider their risk tolerance and investment goals when evaluating CTSH.
What is CTSH P/E ratio and valuation?
CTSH valuation metrics including P/E ratio, price-to-book ratio, and price-to-sales ratio are analyzed on this page with comparisons to Information Technology Services industry and Technology sector benchmarks. The company currently has a valuation score of 10.0/100.
Should I buy CTSH stock now?
The decision to buy CTSH stock should be based on comprehensive analysis of financial metrics, market conditions, and individual investment goals. Our analysis provides profitability score of 3.75/100, financial health score of 10.0/100, and detailed performance metrics to help inform your investment decision.
What are CTSH financial health indicators?
CTSH financial health analysis includes liquidity ratios, debt levels, cash flow metrics, and profitability indicators. The company has a financial health score of 10.0/100 based on comprehensive analysis of balance sheet strength and operational efficiency.
How does CTSH compare to competitors?
CTSH performance is benchmarked against Information Technology Services industry peers and Technology sector averages. Our analysis includes comparative valuation ratios, profitability metrics, and growth indicators to provide context for Cognizant Technology Solutions Corporation's market position.
What are CTSH historical returns?
CTSH has generated 2.0% annual returns over the 10Y. Historical performance analysis includes price appreciation, dividend yields, and total shareholder returns compared to market benchmarks.
CTSH Key Investment Metrics Summary
Annual Return: 2.0%
Valuation Score: 10.0/100
Profitability Score: 3.75/100
Financial Health Score: 10.0/100
Growth Score: -1.0291266417962286/100
Earnings Beat Rate: 9/10 quarters
Sector: Technology
Industry: Information Technology Services
Exchange: NASDAQ Global Select
Market Cap: 37637999840
CTSH Investment Thesis
Cognizant Technology Solutions Corporation (CTSH) represents a conservative investment opportunity in the Technology sector. With an overall score of None/100, the company demonstrates areas for financial improvement.
Investment Strengths
Attractive P/E Ratio
Low Price to Sales Ratio
Strong Return on Equity
Healthy Net Profit Margin
Low Debt Levels
Strong Liquidity Ratios
Strong Revenue Growth and Margin Improvement
Diverse Portfolio and Strategic Acquisitions
High Client Satisfaction and Employee Engagement
Strong Pipeline of Large Deals
Investment in AI and Innovation
Positive Market Sentiment and Budget Visibility
Investment Risks
Higher EV/EBITDA Ratio
Moderate Operating Profit Margin
Cash Ratio
Pressure on Products and Resources Segment
Conservative Revenue Guidance
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