Fundamental analysis · SEC EDGAR · TTM through 31/03/2026
CTSH · Nasdaq · Technology
Fundamental quality
72
out of 100
Cognizant Technology Solutions Corp earns a fundamental-quality score of 72 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its financial strength (net debt -0.24× EBITDA). Its weakest area is its growth (revenue +4.9%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.
Cognizant is one of the world's big technology consultancies: hundreds of thousands of engineers, mostly in India, building and maintaining the IT systems of Western banks, insurers and pharma companies. The Fortune 500's outsourced technology workshop.
EPS growth: 11.8% · Revenue growth: 4.9%
Net margin: 10.4% · ROE: 14.8% · ROIC: 15.5%
Net debt/EBITDA: -0.24x · FCF: 11.5%
Source: SEC EDGAR · TTM through 31/03/2026
The score includes +2 for dividend strength: 8 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.
The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its growth drags it down the most.
Percentile against the other 100 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).
Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.
Key concepts
What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow
| Year | Revenue | Net income | Free cash flow | Net debt |
|---|---|---|---|---|
| 2020 | 16,652 | 1,392 | 2,901 | -1,979 |
| 2021 | 18,507 | 2,137 | 2,216 | -1,128 |
| 2022 | 19,428 | 2,290 | 2,236 | -1,545 |
| 2023 | 19,353 | 2,126 | 2,013 | -1,982 |
| 2024 | 19,736 | 2,240 | 1,827 | -1,323 |
| 2025 | 21,108 | 2,230 | 2,595 | -1,325 |
Between 2020 and 2025, revenue went from $16,652M to $21,108M (+27%) and net income went from $1,392M to $2,230M (+60%).
Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.
Latest results
Figures for the quarter ended March 31, 2026, versus the quarter ended March 31, 2025 (SEC filings):
Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.
$1.24
per share, yearly
27.4% of earnings
Payout
8 straight years raising it
Growth
The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →
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Is Cognizant Technology Solutions Corp cheap or expensive?
That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).
Compute the valuation →Is Cognizant Technology Solutions Corp a good company to invest in?
In terms of business quality, Cognizant Technology Solutions Corp scores 72 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.
Is Cognizant Technology Solutions Corp a profitable company?
Yes. Cognizant Technology Solutions Corp shows a net margin of 10.4% and an ROE of 14.8%, a sign of a profitable business.
Does Cognizant Technology Solutions Corp have a lot of debt?
No. Cognizant Technology Solutions Corp has a net cash position: more cash than debt.
Is Cognizant Technology Solutions Corp growing?
Its revenue has grown 4.9% annualized in recent years and its earnings per share 11.8%.
Does Cognizant Technology Solutions Corp generate cash?
Yes. It converts about 11.5% of its revenue into free cash flow, and has done so positively year after year.
The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.
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Who's behind the methodology and model · how the score is computed
Data: see Cognizant Technology Solutions Corp's filings on EDGAR
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