Cognizant Technology Solutions Corp. - Ordinary Shares - Class A

Cognizant Technology Solutions Corp. - Ordinary Shares - Class A

CTSH

Get informed when a big investor buys or sells

+ Follow
Market Cap$24.93B
Close$

Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Cognizant Technology Solutions Corp. - Ordinary Shares - Class ACognizant Technology Solutions Corp. - Ordinary Shares - Class A11.92.31%15%1.20.2

Earnings Call Q2 2026

July 29, 2026 - AI Summary

Strong Q2 performance + profitability improving: Revenue grew 4.1% YoY in constant currency to $5.5B; growth was led by North America and large deals moving into execution. Adjusted operating margin expanded for the 6th straight quarter (QoQ margin not stated, but up ~40 bps YoY). Adjusted EPS = $1.37, up 5% YoY, helped by margin expansion and lower share count; revenue & adjusted operating income per associate increased 4.6% and 7.1%, respectively.
Bookings momentum intact; financial services accelerating (good signal): Trailing 12-month bookings increased 5% with book-to-bill ~1.3. They signed 7 large deals (> $100M TCV) including 3 new logos. A key “good/surprising” point: Financial services growth nearly 12% YoY in constant currency for the second consecutive quarter; management cited particularly strong bookings/tail velocity (Q4 ~9%, Q1 10%+, Q2 ~12%), suggesting AI-led demand is showing up in deal flow. Deal mix also improved: new business share of $25–$50M and $50–$100M deals rose meaningfully.
AI “builder” strategy emphasized, with tangible operating indicators (opportunity): Over 40% of software development is AI-assisted and the firm reports 8,000+ AI engagements. They claim a major market shift opportunity: system integration expanding from ~$1T to $5T–$6T enterprise operations market, with $4.5T of operational labor exposed to AI. They launched/expanded an “AI delivery operating system” and stressed context governance + business process application layer (where they believe value will shift as models proliferate and inference costs fall). Also pointed to platformization (e.g., TriZetto, healthcare platform revenue > $1.1B annually; grew faster than company in 1H 2026 and with higher margins).

Exclusive for Stockcircle Pro members

Sign upSign Up
$63.38

Target Price by Analysts

12.9% upsideCognizant Technology Solutions Target Price DetailsTarget Price
$98.27

Current Fair Value

75% upside

Undervalued by 75% based on the discounted cash flow analysis.

Share Statistics

Market cap$24.93 Billion
Enterprise Value$26.48 Billion
Dividend Yield$1.28 (2.31%)
Earnings per Share$4.56
Beta0.86
Outstanding Shares466,000,000

Return

Return on Equity15.35%ROE
Return on Assets10.66%
Return on Invested Capital20.08%

Valuation & Multiples

P/E Ratio11.88P/E Ratio
PEG-851.23PEG
Price to Sales1.22Price to Sales
Price to Book Ratio1.81Price to Book Ratio
Enterprise Value to Revenue1.22
Enterprise Value to EBIT7.6
Enterprise Value to Net Income11
Total Debt to Enterprise0.1
Debt to Equity0.18Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
July 29, 2026
EPS Estimate
$1.38
Average shareholder expectation
Revenue Estimate
$5.48 B
Average shareholder expectation

Next Earnings Call

Expected Date
November 4, 2026
EPS Estimate
$1.45
Average shareholder expectation
Revenue Estimate
$5.66 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio743.0000 74193.91%
Total Calls100 99.99%
Total Puts74,300 94.74%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %4.98% 92.24%
Total Invested$1.32B 95.39%
Investors Holding328 691.00%

ESG Score

No data

About Cognizant Technology Solutions Corp.

289,500 employees
CEO: Francisco D'Souza

Cognizant is one of the world's leading professional services companies, transforming clients' business, operating, and technology models for the digital era. Its unique industry-based, consultative approach helps clients envision, build...

Relevant Senate Committees

Joint Committee on Taxation

This committee provides the official revenue estimates and technical expertise for all tax legislation. Its analysis directly influences the development of tax policies that impact corporate structures, capital investment, and the overall tax burden on Cognizant, providing critical insight into future fiscal policy.

Finance

As the primary committee controlling taxation and trade policy, its decisions directly affect Cognizant's corporate tax burden, profitability, and global operating environment, including cross-border service delivery and client engagement.

Appropriations

This committee directly allocates discretionary federal spending across all government agencies. Its decisions on funding for defense programs, scientific research, and other government initiatives directly determine the budget available for IT and consulting services, thus directly impacting potential government contracts for Cognizant.

Judiciary

This committee oversees antitrust laws, intellectual property, and mergers & acquisitions. These areas are critically important for a large technology-driven services company like Cognizant, impacting its growth strategy, competitive landscape, and the protection of its proprietary technologies.

Banking, Housing, and Urban Affairs

This committee regulates the entire financial system, including banks, the SEC, and emerging areas like cryptocurrency. As Cognizant provides significant services to the financial sector (digital transformation, data processing), regulations from this committee directly impact its major client base and the demand for its specialized services.

Commerce, Science, and Transportation

This committee has vast jurisdiction over interstate commerce, data privacy, and the telecommunications sector. Regulations concerning 'Big Tech,' data privacy laws, and telecommunications infrastructure directly impact Cognizant's digital transformation, data processing, and IT services offerings.

Homeland Security and Governmental Affairs

This committee directly regulates federal contracting and procurement, which are significant revenue streams for a professional services company like Cognizant. Its oversight on the consulting sector and emerging AI risks also directly impacts Cognizant's core business.