CTSH

Cognizant Technology Solutions
D

CTSH

Arincen83/100B

If you had invested in Cognizant Technology Solutions ago, it would be worth $1,427 today, against $4,128 in SPY and $6,186 in QQQ.

ArincenArincen ScoreBeta

83/100

Six parts of the company, five checks each, from its own reported figures. A part scores the checks it passes out of 10; the score is their average out of 100.

Profitability6

Plus shows the checks behind each part of the score, what passed, what failed and the figure it read, for every stock.

Cash8

Plus shows the checks behind each part of the score, what passed, what failed and the figure it read, for every stock.

Valuation10

Plus shows the checks behind each part of the score, what passed, what failed and the figure it read, for every stock.

Growth8

Plus shows the checks behind each part of the score, what passed, what failed and the figure it read, for every stock.

Financial strength8

Plus shows the checks behind each part of the score, what passed, what failed and the figure it read, for every stock.

Shareholders10

Plus shows the checks behind each part of the score, what passed, what failed and the figure it read, for every stock.

Figures to FY2025; the price as of today.

Cognizant Technology Solutions key facts

Style
Value stock · 8.2/10Growth 3.7 · Value 8.2 · Dividend 5.1
Day range
63.700 – 65.970
52-week range
37.080 – 87.030
Market capitalization
28.94B USD
P/E
11.79
PEG ratio
1.42
EPS
5.49
Div Yield
2.04%
EPS growth forecast (FY2026)
+9.3%
Volume
0
Beta
0.83
ESG score
65.4/100Environment 64 · Social 67 · Governance 66
Sector
Technology
Industry
Information Technology Services
CEO
Ravi Kumar Singisetti
Employees
357K
IPO date
19 Jun 1998

Cognizant Technology Solutions earnings

Next earnings · Q4 FY2026
EPS estimate
1.50 USD
Revenue estimate
5.55B USD
Last quarter · Q3 FY2026
EPS1.49Beat +2.1%Revenue5.66BBeat +0.3%

Revenue

ReportedEstimate

EPS

ReportedEstimate
PeriodReport dateEPS estimateReported EPSSurpriseEPS growthRevenue estimateReported revenueSurpriseRevenue growth
Q3 FY20271.61——+8.12%5.86B——+3.51%
Q2 FY20271.57——+14.66%5.69B——+3.82%
Q1 FY20271.47——+5.18%5.59B——+3.27%
Q4 FY20261.50——+11.11%5.55B——+4.07%
Q3 FY20261.461.49+2.05%+7.19%5.64B5.66B+0.35%+4.60%
Q2 FY20261.381.37-0.72%+4.58%5.48B5.48B+0.00%+4.50%
Q1 FY20261.341.40+4.48%+13.82%5.41B5.41B-0.03%+5.83%
Q4 FY20251.321.35+2.27%+11.57%5.31B5.33B+0.41%+4.94%
Q3 FY20251.301.39+6.92%+11.20%5.32B5.42B+1.82%+7.36%
Q2 FY20251.261.31+3.97%+11.97%5.19B5.25B+1.11%+8.14%

Cognizant Technology Solutions analyst forecast

12-month price target
66.17 USD
+2.22%

Analysts' 1-year price targets range from 51.00 to 82.00, with an average of 66.17.

Past year
1-year forecast
Strong sellStrong buy
Hold
14 ratings
Buy
7
Hold
7
Sell
0

12-month price target

Highest target82.00
Average target66.17
Lowest target51.00
Current price64.74

Cognizant Technology Solutions valuation

Price to earnings ratio (TTM)
11.79
Forward P/E (FY2026)
11.21
Price to sales (TTM)
1.32
Price to book
1.97
EV / EBITDA (TTM)
7.19

Capital structure

Market capitalization
28.94B USD
+
Total debt
2.13B USD
−
Cash and short-term investments
1.55B USD
=
Enterprise value
29.52B USD

Valuation over time

P/EForward P/EForward P/E · EstimateEstimate
Fiscal yearP/EForward P/EP/SP/BEV/EBITDA
FY2028 (est.)9.57————
FY2027 (est.)10.339.57———
FY2026 (est.)11.2110.33———
Now (TTM)11.7910.441.321.977.19
FY202518.2014.381.892.669.49
FY202417.0114.811.932.6510.59
FY202317.9416.201.972.8810.89
FY202212.9412.981.522.418.04
FY202121.8520.062.533.9013.67

Cognizant Technology Solutions against its own history

Each figure in the latest fiscal year against the same figure from FY2021 to FY2025: the range, its median (the line) and the latest (the dot, green on the good side of the median). The P/E is today's against its daily readings of five years.

Its peers: Fiserv, Broadridge Financial Solutions, CDW, Leidos Holdings, Fidelity National Information Services, and CACI International, the US Information Technology Services companies closest to it in size, each in its own latest fiscal year: their median (the line) and its rank among them, first being the best.

  • P/E (today)Below its median11.8
    8.425.8
  • Gross marginLowest in 5 years33.7%
    33.7%37.3%
    Against its peers: 3 of 7Peers' median 32.5%
  • Operating marginHighest in 5 years16.7%
    13.9%16.7%
    Against its peers: 3 of 7Peers' median 14.4%
  • Net marginLowest in 5 years10.6%
    10.6%11.8%
    Against its peers: 3 of 7Peers' median 7.0%
  • Return on equityLowest in 5 years14.9%
    14.9%18.6%
    Against its peers: 4 of 7Peers' median 21.6%
  • Free cash flow marginHighest in 5 years12.3%
    9.3%12.3%
    Against its peers: 4 of 7Peers' median 13.3%
  • Revenue growthAbove its median7.0%
    -0.4%11.1%
    Against its peers: 3 of 7Peers' median 6.1%
  • EPS growthBelow its median0.9%
    -4.5%57.6%
    Against its peers: 6 of 7Peers' median 13.0%
  • Debt to EBITDALowest in 5 years0.38×
    0.38×0.48×
    Against its peers: 1 of 7Peers' median 3.25×
  • Current ratioHighest in 5 years2.34
    2.082.34
    Against its peers: 1 of 7Peers' median 1.21

Peers: US companies of the same industry (of its sector when the industry has too few) from a tenth to ten times its market value, the six closest in size. Updated weekly.

Cognizant Technology Solutions growth and profitability

Revenue (TTM)
21.89B USD
Net income (TTM)
2.57B USD
Gross margin
32.00%
Operating margin
15.60%
Net margin
11.75%

Revenue / Net income

Revenue Net income Net margin
PeriodRevenueGrowthNet incomeGrowthGross marginOperating marginNet marginEBITDAGrowth
FY202521.11B+6.95%2.23B-0.45%33.72%16.72%10.56%4.17B+18.08%
FY202419.74B+1.98%2.24B+5.36%34.34%14.65%11.35%3.53B+4.46%
FY202319.35B-0.39%2.13B-7.16%34.56%13.89%10.99%3.38B-6.13%
FY202219.43B+4.98%2.29B+7.16%35.93%15.28%11.79%3.60B+5.69%
FY202118.51B+11.14%2.14B+53.52%37.30%15.27%11.55%3.41B+27.29%

Cognizant Technology Solutions revenue breakdown

By product

FY2025
Healthcare: 30.1%Financial Services: 29.2%Products and Resources: 25.0%Communication, Media and Technology: 15.6%30.1%Healthcare29.2%Financial Services25.0%Products and Resources15.6%Communication, Media and Technology
SegmentRevenueShare of revenueChange on the year
Healthcare6.35B30.1%+7.0%
Financial Services6.17B29.2%+7.3%
Products and Resources5.29B25.0%+10.5%
Communication, Media and Technology3.30B15.6%+1.0%

By region

FY2025
North America: 74.8%Europe: 19.0%Other Regions: 6.2%74.8%North America19.0%Europe6.2%Other Regions
RegionRevenueShare of revenueChange on the year
North America15.78B74.8%+7.4%
Europe4.01B19.0%+6.7%
Other Regions1.32B6.2%+2.9%

How Cognizant Technology Solutions makes its money

Healthcare6.35B 30.1%
Financial Services6.17B 29.2%
Products and Resources5.29B 25.0%
Communication, Media and Technology3.30B 15.6%
Revenue21.11B 100.0%
Cost of revenue13.99B 66.3%
Gross profit7.12B 33.7%
Selling and administration3.24B 15.3%
Other operating expenses348.00M 1.6%
Operating income3.53B 16.7%
Tax1.48B 7.0%
Net income2.23B 10.6%

FY2025, in USD. Each band is as wide as its money; the percentage is its share of revenue.

Cognizant Technology Solutions dividends

Annual dividend
1.32 USD
Dividend yield (indicated)
2.04%
Payout ratio
29.69%
Years of dividend growth
7
Frequency
Quarterly
Next payment
0.33 USD
Next ex-dividend date
13 Nov 2026
Next payment date
25 Nov 2026

Dividends per share

Year202520242023202220212020201920182017
Dividends per share1.241.201.161.080.960.880.800.800.45

Cognizant Technology Solutions financial health

Cash and short-term investments
1.55B USD
Total debt
2.13B USD
Net cash
-580.00M USD
Free cash flow (TTM)
2.36B USD
Current ratio
2.22
Debt to equity
0.14
Piotroski score
6 / 9
Altman Z-score
5.51

Cash, debt and free cash flow

Cash and short-term investments Total debt Free cash flow
Fiscal yearCash and short-term investmentsTotal debtFree cash flow
FY20251.91B1.58B2.60B
FY20242.24B1.50B1.83B
FY20232.64B1.32B2.01B
FY20222.50B1.53B2.24B
FY20212.72B1.64B2.22B

Cognizant Technology Solutions ownership

Institutions
109.27%
Institutional holders
961 (-70)
Free float
99.71%

Who owns the shares

Institutions 100.0% Others 0.0%
As of 30 Jun 2026

Shares free to trade

Free float 445.73M shares ·99.7% Closely held 1.31M shares ·0.3%

Closely held shares belong to insiders, founders and owners of more than 5%, and seldom change hands. The free float is the rest: the shares anyone can buy and sell.

Insider trading

QuarterPurchasesSalesShares acquiredShares disposed of
Q3 20260752.84K95.08K
Q2 20261396.71K43.84K
Q1 202606566.18K262.22K
Q4 202501645.84K118.08K

Shares outstanding

Basic shares Diluted shares Change in diluted shares
Fiscal yearBasic sharesDiluted sharesChange in diluted shares
FY2025481.00M482.00M-3.02%
FY2024496.00M497.00M-1.58%
FY2023505.00M505.00M-2.70%
FY2022518.00M519.00M-1.70%
FY2021527.00M528.00M-2.40%

Source: Financial Modeling Prep

Related Instruments

Title: Cognizant Technology Solutions Corp

Sector: Technology
Industry: Information Technology Services
Cognizant is an American multinational company that specializes in providing IT consulting and business process outsourcing services for sectors such as healthcare, manufacturing, media, banking and entertainment. The company was founded by Wijeyaraj Kumar Mahadeva and Francisco D'Souza in 1994. Its corporate headquarters are in Teaneck, New Jersey. Cognizant forms part of the NASDAQ-100, trading under the symbol CTSH. Its business units are divided into the following sections: Financial Services; Healthcare; Products and Resources; and Communications, Media and Technology.

Common questions about Cognizant Technology Solutions stock

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