SweetValueLab
Write for us

Cognizant Technology Solutions Corporation — Intrinsic Value & Fair Price

CTSH
NASDAQTechnologyInformation Technology ServicesCIK 0001058290cognizant.comAbout CTSH
Last close · Oct 16, 202666.03+0.26 (+0.40%)
Market cap$29.7B
Model value · DCF · Perpetuity growth · 5y
98.98
Cognizant closed at $66.03 — undervalued by 33% vs model.
70.35the model's range180.37

DCF · Perpetuity growth · 5y leads for a mature, steady company — positive operating income and three years of positive free cash flow. From a five-year discounted cash flow.

Other models
22.36 – 108.07
Wall St. target
64.50 2% above
Below model, 1y
20 of 20 days

Price and model value

Embed this card

CTSH's close against its model value, as a 420×168 card for your own page. It updates nightly with this site and links back here.

Free to embed; keep the attribution link.
Loading chart…
What the marks mean
Daily close

Dividends

Quarterly · as of Oct 16, 2026
Yield, trailing 12 months
1.97%
Past 2 years
low 1.32%high 3.30%
Dividends per share, a year at a time
$0.94Aug ’21$1.05Aug ’22$1.14Aug ’23$1.19Aug ’24$1.23Aug ’25$1.30TTM
Dividends / free cash flow, FY2025
23.5%
Raised
6 years in a row
Growth, 5 yrs
6.7% a year
Last change
+6.5% · Feb 2026
Every payment, with ex-dates · latest $0.33, paid Aug 25, 2026

Research on CTSH

No posts on CTSH yet.
Studied CTSH from its filings? Guest posts are reviewed before they go live.Write about CTSH →

How it is valued

Valued asMature & stable
Low/slowing growth (~4% recent)Moderate margins (11% net margin)Pays dividendsHighly cyclical earningsStrong FCF yield (8.7%)
What growth the price implies: the reverse DCF

Key figures

FY2025 · chosen for mature companies
P/E
14.5×
EV / EBITDA
6.8×
FCF yield
8.2%
Dividend yield, TTM
1.97%
Beta
0.85
Cost of capital (WACC)
8.73%
Full financials

Analyst actions

third-party, quoted
08-06Mizuho Securities · target64.00
07-30Robert W. Baird · target68.00
07-30Susquehanna · target82.00
06-08Wedbush · “Outperform” from “Neutral”upgrade
Ratings, targets and estimates

Comparable companies

by business, not by industry label

The weekly

One email a week across every stock we cover: 13F filings, insider trades, earnings and new research. It covers the whole market, not just CTSH. No account.

About Cognizant

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
Headquarters
Teaneck, NJ
Employees
356,700
IPO
1998-06-19
Full company profile

Model estimates for research reference only, not investment advice. Every model rests on assumptions that may not match what happens; the formulas are in how we value a stock.