CTSH
COGNIZANT TECHNOLOGY SOLUTIONS CORP
Next earnings Jul 28, 2026 (after close) · consensus $1.41 EPS, $5.60B rev
Last earnings -0.8% on 2026-04-29
$41.99
▲ +8.39%$41.99▼ -44.85%
over 1Y
L $38.74H $85.66
Earnings Dividend Split Congress buy Congress sellGrouped by date · hover a pin to expand
Today+8.4%
1W+7.3%
1M-23.8%
3M-32.4%
YTD-47.7%
1Y-44.8%
Buy
Conviction
Horizon
Medium (3–12mo)
12-mo target
$•••
Street · 37 analysts
Buy
Cheap at 9.6x earnings with re-accelerating 7% growth, expanding margins, a fortress balance sheet and rising buybacks.
P/E 9.6 · FY2025
The read
Quality fundamentals and an attractive price line up (~45% below fair value) — the rarer case where both the business and the entry look good.
Cognizant is one of the world's largest IT and professional-services firms, and FY2025 marks a clear inflection. Revenue grew 7.0% to $21.1B (6.4% in constant currency) — the fastest growth in years versus the roughly flat $19.4-19.7B band of FY2022-FY2024 — driven by ramping large deals in Financial Services and Health Sciences plus 260bps from the Belcan acquisition. Operating income jumped 17.2% to $3.39B and operating margin expanded 140bps to 16.1%, helped by net savings from the NextGen program and operational efficiencies. Adjusted diluted EPS rose 11.2% even as GAAP EPS was nearly flat.
The quality of the balance sheet and cash generation stands out. Liabilities/equity is just 0.38x, long-term debt fell 37.9% to $543M against $1.90B cash, and operating cash flow surged 35.7% to $2.88B against only $288M of capex — this is a capital-light, cash-rich franchise. Management is returning that cash: buybacks more than doubled to $1.38B (+127.8%) and shares outstanding fell 3.3%, with dividends of $610M on top. ROE is a solid 14.9%.
AI-generated analysis, produced by our proprietary engine from SEC filing data.
Investment recommendation produced by TENK/calls (tenkcalls.com), Luxembourg. Completed Jun 21, 2026, 4:41 PM ET. Ratings & methodology: definitions · All recommendations to date: track record · Conflicts: disclosures. Not investment advice.
Financials · annual, by fiscal year
| Line item | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | $18.5B | $19.4B | $19.4B | $19.7B | $21.1B |
| Gross profit | — | — | — | — | — |
| Operating income | $2.83B | $2.97B | $2.69B | $2.89B | $3.39B |
| Net income | $2.14B | $2.29B | $2.13B | $2.24B | $2.23B |
| Diluted EPS | $4.05 | $4.41 | $4.21 | $4.51 | $4.56 |
| Net margin | 11.5% | 11.8% | 11.0% | 11.3% | 10.6% |
Annual figures from SEC 10-K XBRL filings. Open the filing links below for full statement detail.
Key statistics
Valuation
Enterprise value$18.5B
EV / EBITDA4.7
EV / Sales0.9
EV / FCF7.1
P / FCF7.7
PEG (trailing)—
Earnings yield11.2%
FCF yield13.1%
Quality & risk
ROIC (est.)17.2%
Free cash flow$2.60B
Total debt$576M
Net cash$1.32B
Altman Z-Score4.93 safe
Piotroski F-Score7/8
Capital returns
Buyback yield6.9%
Dividend yield (est.)3.1%
Shareholder yield10.0%
Shares Δ YoY-3.3%
Computed from SEC XBRL annual figures + the current quote. EV and ROIC use long-term + current debt where filed; estimates, not investment advice.
Disclosure timeline
SEC · 8-Ks + reportsSome governance/structural items recently, but no outright red flags.
Recent filings
all on EDGAR ↗144Filing2026-07-01open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-152026-06-17open ↗4Period ending 2026-06-102026-06-12open ↗4Period ending 2026-06-022026-06-04open ↗4Period ending 2026-06-022026-06-04open ↗
Frequently asked
- Is COGNIZANT TECHNOLOGY SOLUTIONS CORP (CTSH) a buy?
- CTSH currently carries a Buy rating with 4/5 conviction, derived from its latest SEC filings. Cheap at 9.6x earnings with re-accelerating 7% growth, expanding margins, a fortress balance sheet and rising buybacks.
- What is CTSH's fair value?
- A Modified-Graham model based on CTSH's SEC fundamentals estimates a fair value of about $61.01. It is an estimate from reported earnings, not a price target.
- Is CTSH overvalued or undervalued?
- Against a Modified-Graham fair-value estimate, CTSH currently appears undervalued relative to its SEC-grounded earnings power.
- What is COGNIZANT TECHNOLOGY SOLUTIONS CORP's quality score?
- CTSH scores 69.22115341315745/100 (grade B-) on a SEC-grounded quality model spanning value, growth, profitability, financial health and momentum.
Sources: SEC EDGAR (CIK 0001058290, latest 10-Q filed 2026-04-29) · EODHD · Proprietary analysis · as of 6/21/2026, 8:41:38 PM.
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