Cognizant Technology Solutions Corp (CTSH)
Information Technology · IT Consulting & Other Services · US stock · S&P 500 component
$66.03
▲ +0.26 (0.40%)
Fair valueUndervalued
$143 +116.9% to fair value
$72fair band $100–$186$215
Day's range
$64.66 – $67.43
52-week range
$36.86 – $85.48
About Cognizant Technology Solutions Corp
Cognizant Technology Solutions is an information technology services company. It helps clients modernize systems, build software, run cloud and data projects, and operate business processes, with much of its delivery work carried out by teams in India and other locations. Customers are mostly in financial services, health care, retail and manufacturing. Revenue comes from fees for consulting, project work and multi-year outsourcing contracts, usually billed on time and materials or fixed terms.
Sales reached $21.4 billion in the last twelve months, having grown 2.8% a year over the past three years. Operating profit equals 15.8% of revenue. Return on invested capital is 17%. Net debt to EBITDA is -0.2 times, which means the company holds more cash than debt. It pays a dividend, and the yield is 2.0%. Overall, the X-Ray Score is 63 out of 100.
Written with AI from public information and the filing figures on this page, then checked automatically for unsupported numbers. It can contain mistakes: read the company's own filings below before relying on it.
Price chart
52-wk range $36.86 – $85.48Volume 5,323,500Daily, split-adjusted
Vitals
Market cap$31.5B
52-week range$36.86 – $85.48
Volume (last day)5,323,500
P/E (TTM)14.4
EBIT / EV yield11.1%
Free-cash-flow yield7.8%
Dividend yield2.0%
Revenue (TTM)$21.4B
Net income (TTM)$2.2B
Operating margin15.8%
Return on capital16.8%
Debt incl. leases$568M
Cash & securities$1.5B
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies like Apple). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$143model spread $138 – $147
Undervalued
+116.9% to fair value
Equal blend of three models: peer multiples, a fundamentals-adjusted multiple (growth, ROIC and margin) and a 10-year DCF scaled to the market's average. Earnings-power value (no growth) is a floor and not part of the blend. Model uncertainty is Medium, so the safety margin is 30%.
Price $66
Undervalued < $100Fair $100 – $186Overvalued > $186
10-year DCF (market-scaled)
$121
Peer multiples
$160
Earnings power floor (not blended)
$54
Fundamentals-adjusted multiple
$149
Growth the price implies
2.1%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.09%, equity risk premium 4.23% (Damodaran). How it works.
What this means
Average business at a low price
Our models put fair value above today's price, but models can be wrong, so check the business first. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Information Technology peers. Open a lens to see the numbers behind it.
Valuation
Strong
94/100
Cheap against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield11.1%
Free-cash-flow yield7.8%
Fair value vs price2.2×
Growth
Weak
26/100
Growing slower than most of its sector.
See the numbers →
Revenue growth (3y)2.8%
EPS growth (3y)1.1%
Growth consistency70%
Profitability
Fair
50/100
Returns on capital are typical for its sector.
See the numbers →
Return on invested capital16.8%
Operating margin15.8%
Financial health
Strong
86/100
Balance sheet looks strong: debt is well covered.
See the numbers →
Piotroski F-Score8 / 9
Net debt / EBITDA-0.2×
Interest coverNo interest cost
Dividends
Fair
50/100
Dividend is typical for its sector.
See the numbers →
Dividend yield2.0%
Dividends vs free cash flow25%
Dividend growth2.6%
Quarterly results: last 6 quarters
+6.8%
Dec '24
+7.5%
Mar '25
+8.1%
Jun '25
+7.4%
Sep '25
+4.9%
Dec '25
+5.8%
Mar '26
Revenue against the same quarter a year earlier. Latest quarter revenue $5.4B, diluted EPS $1.39.
Compare with peers
ACN Accenture plc63 IT Gartner Inc60 IBM International Business...46Other IT Consulting & Other Services companies by X-Ray Score.
Fundamentals checklist
● 8 Good · ● 3 Average · ● 4 BadCash quality
Earnings backed by cashBad
Free-cash-flow yieldGood
Risk models
Altman Z''Good
Piotroski F-ScoreGood
Growth
EPS growth (3y)Average
Free-cash-flow growth (3y)Bad
Revenue growth (3y)Bad
Growth consistencyBad
Balance sheet
Current ratioGood
Net debt / EBITDAGood
Interest coverGood
Valuation
Fair value vs priceGood
EBIT / EV yieldGood
Profitability
Return on invested capitalAverage
Operating marginAverage
Each check is graded against the company's sector, not a fixed number. Checklist score 60/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $18.5B | $19.4B | $19.4B | $19.7B | $21.1B |
| Operating income | $2.8B | $3.0B | $2.7B | $2.9B | $3.4B |
| Net income | $2.1B | $2.3B | $2.1B | $2.2B | $2.2B |
| Operating cash flow | $2.5B | $2.6B | $2.3B | $2.1B | $2.9B |
| Operating margin | 15.3% | 15.3% | 13.9% | 14.7% | 16.1% |
| Free cash flow | $2.2B | $2.2B | $2.0B | $1.8B | $2.6B |
| Diluted EPS | $4.05 | $4.41 | $4.21 | $4.51 | $4.56 |
Fiscal years, from SEC filings.
Technical summary
Daily
Strongly bullish
12 bullish · 1 neutral · 3 bearish
Weekly
Strongly bullish
9 bullish · 1 neutral · 2 bearish
Monthly
Neutral
3 bullish · 1 neutral · 4 bearish
Moving averages (daily)
| SMA 10 | 60.69 | Bullish |
| EMA 10 | 61.85 | Bullish |
| SMA 20 | 59.45 | Bullish |
| EMA 20 | 60.68 | Bullish |
| SMA 50 | 60.33 | Bullish |
| EMA 50 | 58.84 | Bullish |
| SMA 100 | 53.97 | Bullish |
| EMA 100 | 57.47 | Bullish |
| SMA 200 | 59.22 | Bullish |
| EMA 200 | 59.34 | Bullish |
Oscillators (daily)
| RSI (14) | 67.61 | Neutral |
| MACD (12, 26) | 1.15 | Bullish |
| Momentum (12) | 14.95 | Bullish |
| Stochastic %K (14) | 89.00 | Bearish |
| Williams %R (14) | -11.00 | Bearish |
| CCI (20) | 215.7 | Bearish |
Pivot points (classic, last session)
S3 61.88 | S2 63.27 | S1 64.65 | Pivot 66.04 | R1 67.42 | R2 68.81 | R3 70.19 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
1.30 USD
Yield on today's price
1.97%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 18 Aug 2026 | 0.3300 |
| 18 May 2026 | 0.3300 |
| 18 Feb 2026 | 0.3300 |
| 18 Nov 2025 | 0.3100 |
| 18 Aug 2025 | 0.3100 |
| 19 May 2025 | 0.3100 |
| 18 Feb 2025 | 0.3100 |
| 19 Nov 2024 | 0.3000 |
| 20 Aug 2024 | 0.3000 |
| 17 May 2024 | 0.3000 |
| 16 Feb 2024 | 0.3000 |
| 20 Nov 2023 | 0.2900 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
CTSH SEC filings
6 Oct 2026
8-KSEC EDGAR
Entered a material agreement
29 Jul 2026
10-QSEC EDGAR
Quarterly report
29 Jul 2026
8-KSEC EDGAR
Results of operations; Regulation FD disclosure
10 Jul 2026
8-KSEC EDGAR
Regulation FD disclosure
3 Jun 2026
8-KSEC EDGAR
Shareholder vote results
21 May 2026
8-KSEC EDGAR
Current report
18 May 2026
8-KSEC EDGAR
Regulation FD disclosure
29 Apr 2026
10-QSEC EDGAR
Quarterly report
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.