Cognizant Technology Solutions Corp. - Ordinary Shares - Class A
CTSH
Market Cap$39.13B
Close$
Earnings Call Q4 2024
February 5, 2025 - AI Summary
Solid Revenue Growth: Cognizant reported Q4 2024 revenue of $5.1 billion, representing a 6.7% year-over-year increase in constant currency. For the full year, revenue totaled $19.7 billion, a modest 1.9% year-over-year growth. Particularly strong performance was noted in Health Sciences and Financial Services, with Health Sciences growing over 10% year-over-year.
Bookings and Large Deals Momentum: The company signed 10 large deals in Q4 (total of 29 for 2024), a significant increase from 17 in the previous year. The book-to-bill ratio stands at 1.4, indicating strong demand and improved performance in the large deal segment, with anticipation of continuing this momentum into 2025.
2025 Guidance and Outlook: For Q1 2025, Cognizant forecasts revenue growth between 5.6% to 7.1% year-over-year, and for the full year, an anticipated increase of 2.6% to 5.1%. The lower end of the guidance reflects conservatism as visibility improves over the year, although management is optimistic about stronger discretionary spending and project pipeline.
Exclusive for Stockcircle Pro members
Sign up
$88.32
11.6% upside
Current Fair Value
11.6% upsideUndervalued by 11.6% based on the discounted cash flow analysis.
Share Statistics
| Market cap | $39.13 Billion |
|---|---|
| Enterprise Value | $38.83 Billion |
| Dividend Yield | $1.21 (1.52932254802831%) |
| Earnings per Share | $4.52 |
| Beta | 1.12 |
| Outstanding Shares | 495,000,000 |
Return
| Return on Equity | - |
|---|---|
| Return on Assets | - |
| Return on Invested Capital | - |
Valuation & Multiples
| P/E Ratio | 17.48 |
|---|---|
| PEG | -813.01 |
| Price to Sales | 2.03 |
| Price to Book Ratio | 2.73 |
| Enterprise Value to Revenue | 1.97 |
| Enterprise Value to EBIT | 18.24 |
| Enterprise Value to Net Income | 11 |
| Total Debt to Enterprise | 0.05 |
| Debt to Equity | 0.13 |
Revenue Sources
No data
Insider Trades
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...