Cognizant Technology Solutions Corporation

$ 43.70 -10.49 %

Cognizant Technology Solutions Corporation functions as a global professional services firm, delivering a comprehensive suite of consulting, technology, and outsourcing solutions across North America, Europe, and other international markets. Its operations are structured into four primary divisions: Financial Services, Healthcare, Products and Resources, and Communications, Media and Technology. Within the Financial Services sector, Cognizant provides advanced services such as enhancing customer experiences, implementing robotic process automation (RPA), and leveraging analytics and artificial intelligence (AI) to address needs in areas like digital lending, fraud prevention, and modern payment systems. For its Healthcare clients, the company focuses on navigating industry shifts toward consumer-centric models, outcome-based agreements, and digital health initiatives, striving to deliver an integrated, seamless, and patient-focused omnichannel experience. Furthermore, Cognizant assists in optimizing operations across various functions, including clinical development, pharmacovigilance, manufacturing, claims management, enrollment procedures, membership administration, and billing processes. Its clientele in this domain spans healthcare providers, payers, and life sciences organizations, encompassing pharmaceutical, biotechnology, and medical device firms. In the Products and Resources segment, the company develops solutions tailored for manufacturers, retailers, and entities within the travel and hospitality sectors, alongside those engaged in logistics, energy, and utility services. Within the Communications, Media and Technology division, Cognizant supports businesses in creating digital content, crafting personalized user experiences, and expediting digital engineering efforts. This includes serving information, media, entertainment, communications, and technology enterprises. Established in 1994, the company maintains its primary corporate office in Teaneck, New Jersey.

CEO: Ravi Kumar Singisetti - https://www.cognizant.com

Price objectif

$77.92 78.31 %

Recommandation

Hold

DCF

$ 118.40

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CTSH vs S&P500

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Quick ratio

2.23

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

9.48

may indicate that the company is undervalued or has poor growth prospects.

EPS

4.61

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

14.79 %

reflects reasonable profitability, showing good use of equity.

ROIC

12.51 %

generates a return higher than the cost of its capital, thereby creating value for its investors.

WACC

7.71

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

0.07

indicates that the company uses more equity than debt, suggesting prudent management.

Free cash flow per share

5.18

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

27.55 %

indicates that the company is retaining a large portion of its profits to reinvest in growth

Earnings per share

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Financials

Piotroski score
8 indicates good financial health
Altman score
5.19 indicates good financial health and low risk of bankruptcy
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Cash / Debt

Cash Ratio
0.43 indicates liquidity risk, as the company may not have enough cash to meet its immediate obligations
Debt Ratio
0.05 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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