Cognizant
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…
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. It provides services, such as 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. It 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; and businesses providing logistic, energy, and utility services. It has a strategic partnership with Uniphore Technologies Inc. for the development of AI solutions that combine small language models and AI agents. It holds a strategic partnership with Travelport to build intelligent travel retail for the AI era. The company was incorporated in 1988 and is headquartered in Teaneck, New Jersey.After signing in, return here and select “Add to watchlist”. Saving companies requires a verified email address.
Priced within the modelled range
Why: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Start with the price and fair value range, then review the data dates and assumptions below. Estimates are not predictions or investment advice.
Market price within modeled range
Showing the DCF (trailing free cash flow) you selected on the company card, using 5.03% growth, 3.25% terminal growth and 11.5% discount. The range varies these assumptions slightly; it is illustrative, not investment advice.
Assumptions: growth 5.03%, discount rate 11.50%, terminal growth 3.25% (sector defaults). See a worked example.
Blended growth assumption: 5.0% (sector default 8.5%, own revenue history 3.3%, analyst revenue consensus 4.1%).
5-year outlook: relative outlook of about 10.1% a year (High confidence), anchored to a 7% market return and adjusted for how this company ranks against others. A ranking aid, not a prediction. See the full forecast.
Analyst consensus expects revenue growth of 4.1% a year; the growth assumption used is 5.0%.
Adjust assumptions
Show the recommended model instead
Why this model: Free cash flow is positive and in line with earnings, and the dividend is small, so a cash-flow DCF fits best.
Compare models- Recommended: Free-cash-flow DCF — USD 69.47 (+7.2%)
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EPS-based Gordon proxy
— USD 71.56 (+10.4%)
Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
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DCF (trailing free cash flow)
— USD 69.47 (+7.2%)
Not used: Not chosen: Free-cash-flow DCF ranks ahead of it for this company.
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FCFF (steady state)
— USD 64.43 (-0.6%)
Not used: Assumes only the long-run terminal growth rate from today, so it ignores the near-term growth expected.
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EV/EBITDA (12x)
— USD 108.20 (+67.0%)
Not used: Used only when free cash flow is far below earnings even after averaging three years; a fixed 12x multiple also ignores sector differences.
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Fade DCF (10-year growth fade)
— USD 69.27 (+6.9%)
Not used: An alternative growth path (fading over 10 years) shown for comparison; the automatic choice does not use it.
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EV/Sales (Rule of 40)
— USD 230.14 (+255.1%)
Not used: Used only when cash-flow models land far below the price; here they do not.
| Bear USD 47.61 | -36.1% |
| Base USD 69.47 | 6.7% |
| Bull USD 107.92 | 39.9% |
Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.
Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.
Price history and fair value
No chartable saved daily price history is available for this range. The chart uses stored EODHD prices only and will appear after history is saved.
Latest news
Headlines provided by EODHD. Articles may mention multiple companies and are not investment recommendations.
More detail: quality, peers, price history, dividends and financials
Quality score: 82 / 100
Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.
| Profitability | 5 of 5 years profitable | 20 / 20 |
| Cash generation | free cash flow positive in 5 of 5 years | 20 / 20 |
| Growth | revenue +3.0% a year | 12 / 20 |
| Balance sheet | net debt 0.1x EBITDA | 20 / 20 |
| Margins | EBITDA margin 19% | 10 / 20 |
Peers in Information Technology
Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.
| Company | Price | Margin of safety | P/E | P/B | Yield | Quality |
|---|---|---|---|---|---|---|
| CTSH (this company) | USD 64.81 | 6.7% | 11.3 | 2.0 | 2.1% | 82 |
| SMCI Supermicro | USD 28.56 | 48.1% | 8.9 | 1.4 | – | 68 |
| ADBE Adobe Inc. | USD 240.53 | 43.9% | 13.0 | 8.1 | – | 100 |
| SNDK Sandisk | USD 873.36 | 39.5% | 6.9 | 7.4 | – | 76 |
| IT Gartner | USD 190.76 | 38.1% | 12.8 | – | – | 92 |
| INTU Intuit | USD 346.10 | 33.6% | 20.6 | 5.0 | 1.4% | 100 |
| HPQ HP Inc. | USD 29.33 | 31.9% | 11.1 | – | 4.0% | 64 |
| GIB-A.TO CGI Inc. | CAD 113.61 | 28.1% | 13.7 | 2.3 | 0.6% | 90 |
| FSLR First Solar | USD 196.17 | 25.8% | 11.4 | 1.9 | – | 84 |
| Peer median | 12.1 | 3.6 | ||||
Dividends
Paid in the last 12 months: USD 1.30 per share · yield 2.01% at the current price.
| Year | Dividends per share |
|---|---|
| 2026 (so far) | 0.990 |
| 2025 | 1.240 |
| 2024 | 1.200 |
| 2023 | 1.160 |
| 2022 | 1.080 |
| 2021 | 0.960 |
Trailing 12-month financials
TTM through 30 Sep 2026 · quarterly EODHD data · data downloaded 06 Nov 2026 12:41
| Revenue | USD 21,891,000,000 |
|---|---|
| EBITDA | USD 4,106,000,000 |
| EBIT | USD 3,533,000,000 |
| Net income | USD 2,573,000,000 |
| Free cash flow | USD 2,363,000,000 |
| Capital expenditures | USD 331,000,000 |
| Debt | USD 2,132,000,000 |
| Cash | USD 1,552,000,000 |
| Working capital | USD 4,452,000,000 |
| Shares outstanding | 450,000,000 |
| Reported dividends per share | USD 1.3689 |