Cognizant Technology Solutions Corp Class A logo

Cognizant Technology Solutions Corp Class A(CTSH)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL RECENCY
1-STAR RATING
Consider higher Upturn Star rating
BUY for 36 days
PROFIT SINCE LAST BUY
+11.72%
LAST CLOSE
$59.87
09/18/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Advisory Performance History (Simulated)Advisory Performance History info

Upturn Advisory & Investor View for CTSH

09/18/2026: CTSH (1-star) has a low Upturn Star Rating. Not recommended to BUY.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Price Behavior

Steep Decline
PRICE PATH

Steep Decline

The stock price has dropped sharply with strong downward pressure.

Moderately Choppy
PRICE STABILITY

Moderately Choppy

The stock has experienced noticeable price swings while retaining some directional structure.

Analysis of Past Performance

Type Stock
Historic Profit 11.95%
Avg. Invested days 49
Today’s Advisory Consider higher Upturn Star rating
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 3.0
Stock Returns Performance Upturn Returns Performance icon 2.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/18/2026

Upturn Scorecard

Upturn Star Rating

CTSH receives a 4-star rating, supported by solid company fundamentals, solid quantitative characteristics, and solid analyst coverage. The rating is constrained by weak price momentum, and limited analyst upside.

Company Fundamentals

CTSH has solid overall fundamentals (4 stars), with solid financial health, solid growth momentum, and solid ownership. In FY2025 versus FY2024, solid cash generation (FCF margin 12.3%) and solid profitability (net margin 10.6%) are partially offset by slightly negative earnings growth (-0.4%), moderate revenue growth (+7.0%), very low insider ownership of 0.13%.

Financial Health Rating

CTSH's financial health is supported by strong cash strength, including free-cash-flow generation of $2.6B (12.3% of revenue). Profitability is moderate (3 stars), which helps explain the 4-star overall score.

Growth Momentum Score

Free-cash-flow growth is CTSH's strongest growth driver at +42.0% FY2025 versus FY2024 (strong, 5 stars). By comparison, while revenue growth (+7.0%, moderate) and earnings growth (-0.4%, slightly negative) hold the profile back, so recent growth is not broad-based across the business.

Ownership

Institutional ownership is 116.3% and approximately 99.7% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership is only 0.13%, which materially reduces the ownership score.

Top 5 Institutional Investors

BlackRock Inc 9.84%
Vanguard Capital Management, LLC 6.90%
Amvescap Plc. 6.24%
Vanguard Portfolio Management, LLC 5.81%
State Street Corp 5.37%

Unit Economics (Per $1K Revenue)

CTSH generates approximately $337 of gross profit, $167 of operating income, and $123 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

Effective Tax Rate: 39.94%

Quantitative Style Profile

CTSH has a high-quality, large-cap, liquid profile. Weak momentum is the primary drawback.

Style Classification

Quality Focused

Value-OrientedQuality TiltLarge / Mega Cap StabilityShort Squeeze RiskHighly Liquid / Institution-Friendly

Key Highlights

Company Size Large-Cap Stock
Market Capitalization 26.97B USD
Price to earnings Ratio 12.85
1Y Target Price 64.18
Price to earnings Ratio 12.85
1Y Target Price 64.18
Volume (30-day avg) 6.9M shares
Beta 0.83
52 Weeks Range 36.86 - 85.48
Updated Date 09/18/2026
52 Weeks Range 36.86 - 85.48
Updated Date 09/18/2026
Dividends yield (FY) 2.10%
Basic EPS (TTM) 4.66

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

Revenue by Geography

Geography revenue - Year on Year

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Valuation

Trailing PE 12.85
Forward PE 9.92
Enterprise Value 28.92B
Price to Sales(TTM) 1.25
Enterprise Value 28.92B
Price to Sales(TTM) 1.25
Enterprise Value to Revenue 1.34
Enterprise Value to EBITDA 7.05
Shares Outstanding 450.44M
Shares Floating 449.14M
Shares Outstanding 450.44M
Shares Floating 449.14M
Percent Insiders 0.13
Percent Institutions 116.35

Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Cognizant Technology Solutions Corp Class A

Exchange NASDAQ
Headquarters Teaneck, NJ, United States
IPO Launch date 1998-06-19
CEO & Director Mr. Ravi Kumar Singisetti
Sector Technology
Industry Information Technology Services
Full time employees 356700
Full time employees 356700

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services in North America, Europe, and internationally. It operates through four segments: Financial Services; Health Sciences; Products and Resources; and Communications, Media and Technology. The company provides services including artificial intelligence (AI) and other technology services and solutions, consulting, application development, systems integration, quality engineering and assurance, engineering research and development, application maintenance, infrastructure, security, and business process services and automation. It also offers AI-led automation, which includes advisory, and process and IT automation solutions designed to simplify and accelerate automation adoption; business process outsourcing services, which help deliver business outcomes including revenue growth, increased customer and employee satisfaction, and cost savings; and Cognizant Moment, a digital experience service that uses AI to reimagine customer experiences and engineer strategies aimed at driving growth. In addition, the company develops, licenses, implements, and supports proprietary and third-party software products and platforms; and develops industry-specific products and services. It offers solution to healthcare providers and payers, life sciences companies, banking, capital markets, payments and insurance companies, manufacturers, automakers, retailers, consumer goods, travel and hospitality, communications, media and entertainment, education, information services, and technology companies, as well as businesses providing logistics, energy, and utility services. The company has a strategic partnership with Uniphore Technologies Inc. for the development of AI solutions that combine small language models and AI agents. Cognizant Technology Solutions Corporation was incorporated in 1988 and is headquartered in Teaneck, New Jersey.