CTSH:NGS-Cognizant Technology Solutions Corporation (USD)

EQUITY | Information Technology Services | Nasdaq Global Select

Last Closing

USD 75.2

Change

-0.15 (-0.20)%

Market Cap

USD 32.26B

Volume

3.08M

Analyst Target

USD 69.02
Analyst Rating

Verdict

ducovest Verdict

Verdict

About

Cognizant Technology Solutions Corp provides information technology (IT), consulting and business process services.

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2024-09-19 )

Largest Industry Peers for Information Technology Services

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GDS GDS Holdings Ltd

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CNXC Concentrix Corporation

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APLD Applied Blockchain Inc

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TWKS Thoughtworks Holding Inc

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FORTY Formula Systems 1985 Ltd ADR

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GDYN Grid Dynamics Holdings Inc

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ETFs Containing CTSH

TECH:AU ETFS Morningstar Global T.. 4.14 % 0.00 %

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USD 0.32B
MDPL 3.40 % 0.00 %

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FHQ:CA First Trust AlphaDEX US T.. 1.86 % 0.77 %

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CAD 0.02B
USMF 1.35 % 0.00 %

N/A

N/A
DEUS Xtrackers Russell US Mult.. 0.57 % 0.18 %

N/A

USD 0.17B
ONEV SPDR® Russell 1000 Low V.. 0.00 % 0.20 %

N/A

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FHQ-F:CA First Trust AlphaDEX U.S... 0.00 % 0.00 %

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CAD 0.03B
VLIQ:XETRA 0.00 % 0.00 %

N/A

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VDLQ:LSE 0.00 % 0.00 %

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Market Performance

  Market Performance vs. Industry/Classification (Information Technology Services) Market Performance vs. Exchange (Nasdaq Global Select)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -0.44% 42% F 46% F
Dividend Return 0.79% 17% F 22% F
Total Return 0.36% 42% F 45% F
Trailing 12 Months  
Capital Gain 8.65% 50% F 56% F
Dividend Return 1.29% 15% F 20% F
Total Return 9.94% 50% F 54% F
Trailing 5 Years  
Capital Gain 21.68% 63% D 62% D
Dividend Return 7.90% 27% F 28% F
Total Return 29.58% 54% F 60% D-
Average Annual (5 Year Horizon)  
Capital Gain 5.84% 52% F 59% D-
Dividend Return 7.34% 52% F 59% D-
Total Return 1.50% 58% F 37% F
Risk Return Profile  
Volatility (Standard Deviation) 22.85% 91% A- 72% C
Risk Adjusted Return 32.11% 64% D 65% D
Market Capitalization 32.26B 100% F 97% N/A

Key Financial Ratios

  Ratio vs. Industry/Classification (Information Technology Services) Ratio vs. Market (Nasdaq Global Select)
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 17.59 83% 51%
Price/Book Ratio 2.72 39% 38%
Price / Cash Flow Ratio 16.42 41% 18%
Price/Free Cash Flow Ratio 10.52 55% 31%
Management Effectiveness  
Return on Equity 16.38% 83% 87%
Return on Invested Capital 16.97% 80% 86%
Return on Assets 10.20% 87% 95%
Debt to Equity Ratio 4.58% 90% 79%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters than its peers, placing it in the top quartile.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

What to not like:
Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector

Low Dividend Growth

This stock has shown below median dividend growth in the previous 5 years compared to its sector.