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Cognizant Technology Solutions Shiller PE Ratio

: 21.00 (As of Today)
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As of today (2022-08-17), Cognizant Technology Solutions's current share price is $69.94. Cognizant Technology Solutions's E10 for the quarter that ended in Jun. 2022 was $3.33. Cognizant Technology Solutions's Shiller PE Ratio for today is 21.00.

The historical rank and industry rank for Cognizant Technology Solutions's Shiller PE Ratio or its related term are showing as below:

CTSH' s Shiller PE Ratio Range Over the Past 10 Years
Min: 17.09   Med: 37.54   Max: 65.24
Current: 20.98

During the past years, Cognizant Technology Solutions's highest Shiller PE Ratio was 65.24. The lowest was 17.09. And the median was 37.54.

CTSH's Shiller PE Ratio is ranked better than
71.02% of 866 companies
in the Software industry
Industry Median: 32.13 vs CTSH: 20.98

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Cognizant Technology Solutions's adjusted earnings per share data for the three months ended in Jun. 2022 was $1.110. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is $3.33 for the trailing ten years ended in Jun. 2022.

Shiller PE for Stocks: The True Measure of Stock Valuation


Cognizant Technology Solutions Shiller PE Ratio Historical Data

The historical data trend for Cognizant Technology Solutions's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Cognizant Technology Solutions Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Shiller PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 37.26 28.62 24.88 31.00 28.92

Cognizant Technology Solutions Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Shiller PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 24.13 25.10 28.92 27.84 20.25

Competitive Comparison

For the Information Technology Services subindustry, Cognizant Technology Solutions's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Cognizant Technology Solutions Shiller PE Ratio Distribution

For the Software industry and Technology sector, Cognizant Technology Solutions's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Cognizant Technology Solutions's Shiller PE Ratio falls into.



Cognizant Technology Solutions Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Cognizant Technology Solutions's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=69.94/3.33
=21.00

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Cognizant Technology Solutions's E10 for the quarter that ended in Jun. 2022 is calculated as:

For example, Cognizant Technology Solutions's adjusted earnings per share data for the three months ended in Jun. 2022 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jun. 2022 (Change)*Current CPI (Jun. 2022)
=1.11/123.3228*123.3228
=1.110

Current CPI (Jun. 2022) = 123.3228.

Cognizant Technology Solutions Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201209 0.455 97.633 0.575
201212 0.460 96.871 0.586
201303 0.470 98.209 0.590
201306 0.490 98.518 0.613
201309 0.530 98.790 0.662
201312 0.530 98.326 0.665
201403 0.570 99.695 0.705
201406 0.610 100.560 0.748
201409 0.580 100.428 0.712
201412 0.590 99.070 0.734
201503 0.620 99.621 0.768
201506 0.680 100.684 0.833
201509 0.650 100.392 0.798
201512 0.690 99.792 0.853
201603 0.720 100.470 0.884
201606 0.410 101.688 0.497
201609 0.730 101.861 0.884
201612 0.680 101.863 0.823
201703 0.920 102.862 1.103
201706 0.800 103.349 0.955
201709 0.840 104.136 0.995
201712 -0.030 104.011 -0.036
201803 0.880 105.290 1.031
201806 0.780 106.317 0.905
201809 0.820 106.507 0.949
201812 1.120 105.998 1.303
201903 0.770 107.251 0.885
201906 0.900 108.070 1.027
201909 0.900 108.329 1.025
201912 0.720 108.420 0.819
202003 0.670 108.902 0.759
202006 0.670 108.767 0.760
202009 0.640 109.815 0.719
202012 0.590 109.897 0.662
202103 0.950 111.754 1.048
202106 0.970 114.631 1.044
202109 1.030 115.734 1.098
202112 1.100 117.630 1.153
202203 1.070 121.301 1.088
202206 1.110 123.323 1.110

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Cognizant Technology Solutions  (NAS:CTSH) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Cognizant Technology Solutions Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Cognizant Technology Solutions's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Cognizant Technology Solutions Business Description

Cognizant Technology Solutions logo
Address
300 Frank W. Burr Boulevard, Suite 36, 6th Floor, Teaneck, NJ, USA, 07666
Cognizant is a global IT services provider, offering consulting and outsourcing services to some of the world's largest enterprises spanning the financial services, media and communications, healthcare, natural resources, and consumer products industries. Cognizant employs nearly 300,000 people globally, roughly 70% of whom are in India, although the company's headquarters are in Teaneck, New Jersey.
Executives
Rohleder Stephen J director C/O ACCENTURE 161 N. CLARK STREET CHICAGO IL 60601
Nambiar Rajesh officer: President, Digital Business 300 FRANK W. BURR BLVD STE. 36, 6TH FL. TEANECK NJ 07666
Wijnberg Sandra S director 100 E. PRATT STREET BA-1320 BALTIMORE MD 21202
Abdalla Zein director 700 ANDERSON HILL ROAD LEGAL DEPARTMENT, 1/2 PURCHASE NY 10577
Velli Joseph M director
Mackay Leo S. Jr. director C/O COGNIZANT TECHNOLOGY SOLUTIONS CORP. 300 FRANK W. BURR BLVD., STE. 36, 6 FL. TEANECK NJ 07666
Dineen John M. director MERRIMACK PHARMACEUTICALS, INC. ONE KENDALL SQUARE, SUITE B7201 CAMBRIDGE MA 02139
Kim John Sunshin officer: EVP & General Counsel 300 FRANK W. BURR BLVD., STE. 36, 6FL. TEANECK NJ 07666
Deskus Archana director 2929 ALLEN PARKWAY SUITE 2100 HOUSTON TX 77019
Bali Vinita director C/O BUNGE LIMITED 50 MAIN STREET, 6TH FLOOR WHITE PLAINS NY 10606
Patsalos-fox Michael director 300 FRANK W. BURR BLVD., STE. 36, 6 FL. TEANECK NJ 07666
Morgenstern Ursula officer: President, Global Markets 300 FRANK W. BURR BLVD., STE. 36, 6 FL. TEANECK NJ 07666
Breakiron-evans Maureen director C/O COGNIZANT TECHNOLOGY SOLUTIONS CORP. 300 FRANK W. BURR BLVD., STE. 36, 6 FL. TEANECK NJ 07666
Stafford Andrew J officer: EVP, Head of Global Delivery C/O COGNIZANT TECHNOLOGY SOLUTIONS CORP. 300 FRANK W. BURR BLVD., STE. 36, 6 FL. TEANECK NJ 07666
Hyttenrauch Gregory Lawrence officer: President, Digital Sys & Tech 300 FRANK W. BURR BLVD., STE. 36, 6 FL. TEANECK NJ 07666

Cognizant Technology Solutions Headlines

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