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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 8/10

vs
industry
vs
history
Cash to Debt No Debt
CTSH's Cash to Debt is ranked higher than
74% of the 1672 Companies
in the Global Information Technology Services industry.

( Industry Median: 22.71 vs. CTSH: No Debt )
CTSH' s 10-Year Cash to Debt Range
Min: 2.82   Max: No Debt
Current: No Debt

Equity to Asset 0.80
CTSH's Equity to Asset is ranked higher than
88% of the 1618 Companies
in the Global Information Technology Services industry.

( Industry Median: 0.60 vs. CTSH: 0.80 )
CTSH' s 10-Year Equity to Asset Range
Min: 0.6   Max: 0.85
Current: 0.8

0.6
0.85
Interest Coverage No Debt
CTSH's Interest Coverage is ranked higher than
81% of the 1026 Companies
in the Global Information Technology Services industry.

( Industry Median: 690.23 vs. CTSH: No Debt )
CTSH' s 10-Year Interest Coverage Range
Min: 9999.99   Max: 9999.99
Current: No Debt

F-Score: 6
Z-Score: 14.42
M-Score: -2.48
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 9/10

vs
industry
vs
history
Operating margin (%) 18.97
CTSH's Operating margin (%) is ranked higher than
91% of the 1586 Companies
in the Global Information Technology Services industry.

( Industry Median: 5.71 vs. CTSH: 18.97 )
CTSH' s 10-Year Operating margin (%) Range
Min: 15.36   Max: 20.05
Current: 18.97

15.36
20.05
Net-margin (%) 13.89
CTSH's Net-margin (%) is ranked higher than
88% of the 1585 Companies
in the Global Information Technology Services industry.

( Industry Median: 3.83 vs. CTSH: 13.89 )
CTSH' s 10-Year Net-margin (%) Range
Min: 10.24   Max: 18.77
Current: 13.89

10.24
18.77
ROE (%) 20.02
CTSH's ROE (%) is ranked higher than
93% of the 1548 Companies
in the Global Information Technology Services industry.

( Industry Median: 6.84 vs. CTSH: 20.02 )
CTSH' s 10-Year ROE (%) Range
Min: 18.4   Max: 26.75
Current: 20.02

18.4
26.75
ROA (%) 14.97
CTSH's ROA (%) is ranked higher than
95% of the 1603 Companies
in the Global Information Technology Services industry.

( Industry Median: 3.56 vs. CTSH: 14.97 )
CTSH' s 10-Year ROA (%) Range
Min: 11.61   Max: 19.11
Current: 14.97

11.61
19.11
ROC (Joel Greenblatt) (%) 98.29
CTSH's ROC (Joel Greenblatt) (%) is ranked higher than
83% of the 1584 Companies
in the Global Information Technology Services industry.

( Industry Median: 34.63 vs. CTSH: 98.29 )
CTSH' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 64.98   Max: 163.95
Current: 98.29

64.98
163.95
Revenue Growth (%) 25.00
CTSH's Revenue Growth (%) is ranked higher than
93% of the 1368 Companies
in the Global Information Technology Services industry.

( Industry Median: 6.20 vs. CTSH: 25.00 )
CTSH' s 10-Year Revenue Growth (%) Range
Min: 6.3   Max: 51.4
Current: 25

6.3
51.4
EBITDA Growth (%) 24.80
CTSH's EBITDA Growth (%) is ranked higher than
86% of the 1102 Companies
in the Global Information Technology Services industry.

( Industry Median: 7.70 vs. CTSH: 24.80 )
CTSH' s 10-Year EBITDA Growth (%) Range
Min: 14.5   Max: 50.4
Current: 24.8

14.5
50.4
EPS Growth (%) 19.30
CTSH's EPS Growth (%) is ranked higher than
81% of the 1059 Companies
in the Global Information Technology Services industry.

( Industry Median: 7.50 vs. CTSH: 19.30 )
CTSH' s 10-Year EPS Growth (%) Range
Min: 18.6   Max: 58.7
Current: 19.3

18.6
58.7
» CTSH's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q2 2013

CTSH Guru Trades in Q2 2013

David Dreman 32,359 sh (New)
Ray Dalio 285,218 sh (+703.27%)
Lee Ainslie 2,825,162 sh (+328.24%)
Paul Tudor Jones 20,200 sh (+201.49%)
Joel Greenblatt 46,129 sh (+181.45%)
David Rolfe 3,807,365 sh (+105.32%)
Steven Cohen 297,018 sh (+57.4%)
Steve Mandel 13,238,915 sh (+52.81%)
Ruane Cunniff 154,950 sh (unchged)
Jeremy Grantham 273,432 sh (-2.11%)
Jim Simons 1,003,176 sh (-19.95%)
Alan Fournier 1,365,000 sh (-27.66%)
Murray Stahl 11,400 sh (-43%)
» More
Q3 2013

CTSH Guru Trades in Q3 2013

RS Investment Management 82,600 sh (New)
Andreas Halvorsen 1,775,400 sh (New)
Alan Fournier 2,223,500 sh (+62.89%)
Jeremy Grantham 440,662 sh (+61.16%)
Jim Simons Sold Out
David Dreman Sold Out
Steven Cohen Sold Out
Lee Ainslie Sold Out
Murray Stahl Sold Out
Ray Dalio Sold Out
Ruane Cunniff 150,950 sh (-2.58%)
Steve Mandel 11,956,751 sh (-9.68%)
David Rolfe 3,139,092 sh (-17.55%)
Joel Greenblatt 20,964 sh (-54.55%)
Paul Tudor Jones 6,900 sh (-65.84%)
» More
Q4 2013

CTSH Guru Trades in Q4 2013

Jim Chanos 123,500 sh (New)
Ray Dalio 4,534 sh (New)
Jeremy Grantham 860,968 sh (+95.38%)
Andreas Halvorsen 2,402,431 sh (+35.32%)
RS Investment Management 85,400 sh (+3.39%)
David Rolfe 3,242,774 sh (+3.3%)
Ruane Cunniff 150,950 sh (unchged)
Steve Mandel 10,742,645 sh (-10.15%)
Alan Fournier 1,942,400 sh (-12.64%)
Joel Greenblatt 17,378 sh (-17.11%)
Paul Tudor Jones 4,600 sh (-33.33%)
» More
Q1 2014

CTSH Guru Trades in Q1 2014

Chuck Royce 9,500 sh (New)
Steven Cohen 148,340 sh (New)
Jeremy Grantham 2,969,710 sh (+72.46%)
Steve Mandel 28,722,348 sh (+33.68%)
Paul Tudor Jones 10,609 sh (+15.32%)
David Rolfe 6,666,189 sh (+2.79%)
Andreas Halvorsen Sold Out
Joel Greenblatt Sold Out
Ruane Cunniff Sold Out
RS Investment Management Sold Out
Ray Dalio Sold Out
Jim Chanos 240,070 sh (-2.81%)
Alan Fournier 3,184,800 sh (-18.02%)
» More
» Details

Insider Trades

Latest Guru Trades with CTSH

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Steve Mandel 2014-03-31 Add 33.68%1.59%$46.425 - $53.61 $ 51.122%28722348
Ruane Cunniff 2014-03-31 Sold Out 0.09%$46.425 - $53.61 $ 51.122%0
Joel Greenblatt 2014-03-31 Sold Out 0.04%$46.425 - $53.61 $ 51.122%0
Ray Dalio 2014-03-31 Sold Out $46.425 - $53.61 $ 51.122%0
Steve Mandel 2013-12-31 Reduce -10.15%0.45%$40.99 - $50.05 $ 51.1212%10742645
Ray Dalio 2013-12-31 New Buy$40.99 - $50.05 $ 51.1212%4534
Lee Ainslie 2013-09-30 Sold Out 2.4%$32.18 - $41.8 $ 51.1238%0
Steve Mandel 2013-09-30 Reduce -9.68%0.39%$32.18 - $41.8 $ 51.1238%11956751
Ray Dalio 2013-09-30 Sold Out 0.16%$32.18 - $41.8 $ 51.1238%0
David Dreman 2013-09-30 Sold Out 0.08%$32.18 - $41.8 $ 51.1238%0
Joel Greenblatt 2013-09-30 Reduce -54.55%0.07%$32.18 - $41.8 $ 51.1238%20964
Premium More recent guru trades are included for Premium Members only!!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Ratios

vs
industry
vs
history
P/E(ttm) 24.10
CTSH's P/E(ttm) is ranked higher than
79% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 50.50 vs. CTSH: 24.10 )
CTSH' s 10-Year P/E(ttm) Range
Min: 11.22   Max: 67.77
Current: 24.1

11.22
67.77
P/B 4.50
CTSH's P/B is ranked higher than
58% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 3.00 vs. CTSH: 4.50 )
CTSH' s 10-Year P/B Range
Min: 2.47   Max: 14.03
Current: 4.5

2.47
14.03
P/S 3.38
CTSH's P/S is ranked higher than
59% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 2.42 vs. CTSH: 3.38 )
CTSH' s 10-Year P/S Range
Min: 1.75   Max: 11.58
Current: 3.38

1.75
11.58
PFCF 24.40
CTSH's PFCF is ranked higher than
80% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 146.80 vs. CTSH: 24.40 )
CTSH' s 10-Year PFCF Range
Min: 15.77   Max: 143.78
Current: 24.4

15.77
143.78
EV-to-EBIT 14.71
CTSH's EV-to-EBIT is ranked higher than
80% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 33.52 vs. CTSH: 14.71 )
CTSH' s 10-Year EV-to-EBIT Range
Min: 8.5   Max: 56
Current: 14.71

8.5
56
PEG 0.90
CTSH's PEG is ranked higher than
93% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 9999.00 vs. CTSH: 0.90 )
CTSH' s 10-Year PEG Range
Min: 0.25   Max: 1.84
Current: 0.9

0.25
1.84
Shiller P/E 35.20
CTSH's Shiller P/E is ranked higher than
89% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 9999.00 vs. CTSH: 35.20 )
CTSH' s 10-Year Shiller P/E Range
Min: 21.05   Max: 149.1
Current: 35.2

21.05
149.1
Current Ratio 4.19
CTSH's Current Ratio is ranked higher than
87% of the 1648 Companies
in the Global Information Technology Services industry.

( Industry Median: 1.92 vs. CTSH: 4.19 )
CTSH' s 10-Year Current Ratio Range
Min: 3.26   Max: 5.68
Current: 4.19

3.26
5.68
Quick Ratio 4.19
CTSH's Quick Ratio is ranked higher than
88% of the 1648 Companies
in the Global Information Technology Services industry.

( Industry Median: 1.80 vs. CTSH: 4.19 )
CTSH' s 10-Year Quick Ratio Range
Min: 3.26   Max: 5.68
Current: 4.19

3.26
5.68

Valuation & Return

vs
industry
vs
history
Price/Net Cash 14.00
CTSH's Price/Net Cash is ranked higher than
87% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 9999.00 vs. CTSH: 14.00 )
CTSH' s 10-Year Price/Net Cash Range
Min: 10.77   Max: 65.1
Current: 14

10.77
65.1
Price/Net Current Asset Value 8.40
CTSH's Price/Net Current Asset Value is ranked higher than
88% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 9999.00 vs. CTSH: 8.40 )
CTSH' s 10-Year Price/Net Current Asset Value Range
Min: 6.3   Max: 37.97
Current: 8.4

6.3
37.97
Price/Tangible Book 5.10
CTSH's Price/Tangible Book is ranked higher than
70% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 7.79 vs. CTSH: 5.10 )
CTSH' s 10-Year Price/Tangible Book Range
Min: 2.98   Max: 25.31
Current: 5.1

2.98
25.31
Price/DCF (Projected) 2.00
CTSH's Price/DCF (Projected) is ranked higher than
84% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 9999.00 vs. CTSH: 2.00 )
CTSH' s 10-Year Price/DCF (Projected) Range
Min: 1.52   Max: 7.31
Current: 2

1.52
7.31
Price/Median PS Value 0.80
CTSH's Price/Median PS Value is ranked higher than
90% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 1.20 vs. CTSH: 0.80 )
CTSH' s 10-Year Price/Median PS Value Range
Min: 0.43   Max: 2.8
Current: 0.8

0.43
2.8
Price/Peter Lynch Fair Value 1.00
CTSH's Price/Peter Lynch Fair Value is ranked higher than
96% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 9999.00 vs. CTSH: 1.00 )
CTSH' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.5   Max: 2.49
Current: 1

0.5
2.49
Price/Graham Number 2.30
CTSH's Price/Graham Number is ranked higher than
80% of the 1820 Companies
in the Global Information Technology Services industry.

( Industry Median: 11.00 vs. CTSH: 2.30 )
CTSH' s 10-Year Price/Graham Number Range
Min: 1.27   Max: 10.35
Current: 2.3

1.27
10.35
Earnings Yield (Greenblatt) 6.60
CTSH's Earnings Yield (Greenblatt) is ranked higher than
70% of the 1384 Companies
in the Global Information Technology Services industry.

( Industry Median: 5.60 vs. CTSH: 6.60 )
CTSH' s 10-Year Earnings Yield (Greenblatt) Range
Min: 1.8   Max: 11.8
Current: 6.6

1.8
11.8
Forward Rate of Return (Yacktman) 28.09
CTSH's Forward Rate of Return (Yacktman) is ranked higher than
92% of the 1188 Companies
in the Global Information Technology Services industry.

( Industry Median: 5.80 vs. CTSH: 28.09 )
CTSH' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 28.2   Max: 49.2
Current: 28.09

28.2
49.2

Business Description

Industry: Application Software » Information Technology Services
Compare:ACN, INFY, IT, CIOXY, AMADY » details
Traded in other countries:COZ.Germany
Cognizant Technology Solutions Corporation began its services in 1994. On 24 June 1998, it completed an initial public offering of Class A common stock. The Company is a provider of information technology, consulting and business process outsourcing services, dedicated to helping the companies build stronger businesses. Its core competencies include: Business, Process, Operations and IT Consulting, Application Development and Systems Integration, Enterprise Information Management, Application Testing, Application Maintenance, IT Infrastructure Services, and Business and Knowledge Process Outsourcing. The Company tailors its services to specific industries and utilize an integrated global delivery model. This seamless global sourcing model combines client service teams based on-site at the client locations with delivery teams located at dedicated near-shore and offshore global delivery centres that are located primarily in India, China, the United States, Canada, Argentina, Brazil, Hungary, France and the Philippines. The Company has a four-tiered global architecture for service delivery and operations. It has added more regional delivery in Europe and in-country delivery centres in the United States and Europe and has increased its presence throughout the world. It uses proprietary Cognizant 2.0 knowledge-sharing and project-management platform to unite all of its operations around the globe, access capabilities across the company, and streamline workflow. The Company has begun to provide services that enable clients to harness emerging SMAC technologies. The Company has organized around four industry-oriented business segments: Financial Services, Manufacturing & Logistics, Healthcare; and others. The Company offers financial services to retail and commercial banks, diversified financial enterprises, broker-dealers, asset management firms, depositories, clearing organizations, exchanges, global property and casualty insurers, life insurers, reinsurance firms and insurance brokers. It offers healthcare services such as Regulatory Compliance, Integrated Health Management such as establishing health information exchanges, Claims Investigative Services to prevent fraud and abuse, and claims processing, enrolment, membership and billing. It offers Consulting, EIM, Customer Solutions, BPO/KPO, IT IS, Application Maintenance, Application Development and Systems Integration, Testing and SMAC services to life sciences industry. The Company provide services in areas such as Digital Content Supply Chain and Media Asset Management. It markets and sells its services directly through professional staff, senior management and direct sales personnel operating out of Teaneck, New Jersey headquarters and business development offices strategically located in various metropolitan areas around the world. As of December 31, 2012, the Company is providing services to approximately 821 clients. Its direct competitors include, among others, Accenture, C
» More Articles for CTSH

Headlines

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Guru David Rolfe's Top Five Second Quarter Positions Aug 21 2013 
Wedgewood Partners David Rolfe Comments on Cognizant Jul 19 2013 
Wedgewood Partners Second Quarter 2013 Client Letter Jul 19 2013 
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User Comments

Cgrain@google
ReplyCgrain@google - 7 months ago
CTSH has been a steller preformer for several years, and I see a bright future for the company, moving forward.

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