Obermatt

Cognizant Technology

NSQ:CTSH · US1924461023
IT ServicesX-Large

360

78
EV / EBIT89
Price / Owner Earnings82
Owner Earnings Yield88
Dividend Yield95
Price/Sales64
EV / Gross Profit78
Price/Book68
Return on Capital61
Cash Return on Capital50
Return on Equity36
EBIT Margin78
Gross Profitability65
Cash Conversion32
Accruals25
Owner Earnings Margin73
Sales growth30
Profit Growth85
Long-Term EPS Growth49
Owner Earnings Growth26
Reinvestment70
Price momentum30
Debt load82
Refinancing88
Debt Payback100
Liquidity88
Analyst ratings33
Opinion Changes62
Price Target Upside78
Market mood33
Value Creation12/20creating some value
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Cognizant Technology clears its cost of capital, but the record is mixed across the five tests. Real value creation, just not yet consistent.

Profile

CountryUSA
IndustryIT Services
SizeX-Large
TypePublic Company
ExchangeNASDAQGS
Founded1988
Employees297,070
ISINUS1924461023
Last UpdateApr 2, 2026
Themes
DevSecOpsData IntegrationMachine LearningProcess AutomationCloud InfrastructureSoftware DevelopmentCloud ManagementArtificial IntelligenceConsultingInformation Technology

Description

Cognizant Technology Solutions Corporation (Cognizant), a professional services company, engineers modern businesses and delivers strategic outcomes for its clients. The company helps clients modernize technology, reimagine processes, and transform…

Analysis

Bargain bin

Cognizant Technology Solutions Corporation is priced cheaply, and that invites the natural question of why, since the underlying business scores below average.

On valuation, the picture is attractive. The owner-earnings multiple stands at 9.9×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around -3% a year, against analyst forecasts of 7%. The price, in other words, assumes less than the experts do.

Growth is tepid; the safety picture is sturdy. The company scores 12/20 on our value-creation score: creating some value.

No flags apply to this company at this time: accounts, balance sheet, and cash quality all pass. A clean bill of health is meaningful, not just the absence of a warning. This analysis describes numbers; it is not investment advice.

360° rank · history

1007550250
98
2023202420252026

All-time high

100

Dec 2025

All-time low

83

Apr 2023

Average rank

96

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
64
60
61
67
Price/Earnings
60
67
77
70
Price/Book
68
62
52
56
Dividend Yield
95
96
97
96
Value (overall)
90
96
95
94

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →