CTSH (Cognizant Technology Solutions) 3-Year EBITDA Growth Rate: 6.20% (As of Jun. 2026) — 69% Below Median

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CTSH Cognizant Technology Solutions Corp CTSH
76 GF Score
Price $56.89
GF Value $85.19
Valuation Significantly Undervalued
! 1 Warning Sign
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What is Cognizant Technology Solutions 3-Year EBITDA Growth Rate?

Cognizant Technology Solutions CTSH +1.99% 76 3-Year EBITDA Growth Rate is 6.20% as of Jun. 2026, which is 69% below its 10-year median of 19.70. GuruFocus rates CTSH with a GF Score™ of 76/100 and a GF Value™ of $85.19 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,076 Software companies, Cognizant Technology Solutions ranks worse than 61.32% on this metric.

Cognizant Technology Solutions's EBITDA per Share for the three months ended in Jun. 2026 was $2.21.

During the past 12 months, Cognizant Technology Solutions's average EBITDA Per Share Growth Rate was 11.50% per year. During the past 3 years, the average EBITDA Per Share Growth Rate was 6.20% per year. During the past 5 years, the average EBITDA Per Share Growth Rate was 8.50% per year. During the past 10 years, the average EBITDA Per Share Growth Rate was 6.20% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average EBITDA per share growth rate.

During the past 13 years, the highest 3-Year average EBITDA Per Share Growth Rate of Cognizant Technology Solutions was 46.90% per year. The lowest was -1.90% per year. And the median was 19.70% per year.


Cognizant Technology Solutions  (NAS:CTSH) 3-Year EBITDA Growth Rate Explanation

EBITDA per Share is the amount of Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) per outstanding share of the company's stock.

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is what the company earns before it expenses interest, taxes, depreciation and amortization.


Cognizant Technology Solutions 3-Year EBITDA Growth Rate Related Terms


CTSH vs FIS, BR, CDW: 3-Year EBITDA Growth Rate Comparison

For the Information Technology Services subindustry, Cognizant Technology Solutions's 3-Year EBITDA Growth Rate, along with its competitors' market caps and 3-Year EBITDA Growth Rate 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 3-Year EBITDA Growth Rate vs Software Industry

For the Software industry and Technology sector, Cognizant Technology Solutions's 3-Year EBITDA Growth Rate distribution charts can be found below:

* The bar in red indicates where Cognizant Technology Solutions's 3-Year EBITDA Growth Rate falls into.


CTSH
76GF Score
Cognizant Technology Solutions Corp CTSH
3-Year EBITDA Growth Rate is just one metric. See GF Score™, valuation, warning signs, and more.
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Cognizant Technology Solutions 3-Year EBITDA Growth Rate Calculation

This is the 3-year average growth rate of EBITDA per Share. The growth rate is calculated using exponential compounding based on the latest four year annual data.

Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average EBITDA per share growth rate.

What does a 3-Year EBITDA Growth Rate of 6.20% mean?
Cognizant Technology Solutions (CTSH) has a 3-Year EBITDA Growth Rate of 6.20% as of Jun. 2026. 3-Year EBITDA Growth Rate is the 3-year average growth rate of EBITDA per share. View historical data for Cognizant Technology Solutions and its competitors. This is 69% below median its historical median of 19.70. According to the industry distribution chart, Cognizant Technology Solutions ranks #1273 out of 2076 companies in the Software industry, placing it in the top 61.3%.
Is Cognizant Technology Solutions' 3-Year EBITDA Growth Rate too high?
Cognizant Technology Solutions' current 3-Year EBITDA Growth Rate of 6.20% is 69% below median its 10-year median of 19.70. The Software industry median 3-Year EBITDA Growth Rate is 12.30. Cognizant Technology Solutions' value of 6.20% is 49.6% below this industry median. Based on the distribution chart, Cognizant Technology Solutions ranks #1273 out of 2076 companies in the Software industry, which is below the industry midpoint. Overall, Cognizant Technology Solutions has a GF Score™ of 76/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cognizant Technology Solutions' 3-Year EBITDA Growth Rate compare to FIS and BR?
According to the Software industry distribution chart, Cognizant Technology Solutions ranks #1273 out of 2076 companies for 3-Year EBITDA Growth Rate. This places Cognizant Technology Solutions in the lower half of its industry. The industry median 3-Year EBITDA Growth Rate is 12.30. Cognizant Technology Solutions' value of 6.20% is 49.6% below this benchmark. While the company's 10-year median is 19.70 vs. the industry median of 12.30, Cognizant Technology Solutions has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year EBITDA Growth Rate for a Software company?
The median 3-Year EBITDA Growth Rate among Software companies is 12.30, based on 2,076 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year EBITDA Growth Rate significantly above this median, while those in the bottom quartile fall well below. However, 3-Year EBITDA Growth Rate should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cognizant Technology Solutions's current 3-Year EBITDA Growth Rate of 6.20% is 49.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year EBITDA Growth Rate mean?
A high 3-Year EBITDA Growth Rate can signal that a stock is expensive relative to its fundamentals. 3-Year EBITDA Growth Rate is the 3-year average growth rate of EBITDA per share. View historical data for Cognizant Technology Solutions and its competitors. For the Software industry, the median 3-Year EBITDA Growth Rate is 12.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cognizant Technology Solutions's current 3-Year EBITDA Growth Rate is 6.20%, which is 69% below median its own 10-year median of 19.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cognizant Technology Solutions stock overvalued right now?
Based on GuruFocus' analysis, Cognizant Technology Solutions (CTSH) is currently considered Significantly Undervalued. The stock's GF Value™ is $85.19, compared to a current price of $56.89 — trading 33.2% below its estimated fair value. The current 3-Year EBITDA Growth Rate is 6.20%, which is 69% below median its 10-year median of 19.70 and 49.6% below the Software industry median of 12.30. Cognizant Technology Solutions' overall GF Score™ is 76/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year EBITDA Growth Rate calculated?
3-Year EBITDA Growth Rate is calculated from a company's financial statements. For Cognizant Technology Solutions (CTSH), the current 3-Year EBITDA Growth Rate is 6.20% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Cognizant Technology Solutions (CTSH) Overvalued in 2026?

Based on GuruFocus' analysis, Cognizant Technology Solutions stock appears to be undervalued. The current stock price of $56.89 is trading 33.2% below its estimated GF Value™ of $85.19. GuruFocus considers Cognizant Technology Solutions to be Significantly Undervalued.

Key valuation signals for CTSH:

  • 3-Year EBITDA Growth Rate: 6.20% (69% below median its 10-year median of 19.70)
  • GF Value™: $85.19 vs. price of $56.89 (33.2% below fair value)
  • GF Score™: 76/100 with 1 warning sign
  • Industry Position: 49.6% below the Software median (#1273 of 2076)

No single metric tells the full story. See the CTSH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cognizant Technology Solutions Business Description

Address 300 Frank West Burr Boulevard, Suite 36, 6th Floor, Teaneck, NJ, USA, 07666
Cognizant Technology Solutions is a multinational IT services provider that offers a range of consulting and business process outsourcing services. Originally founded in India, the company is headquartered in the US and serves enterprise customers spanning the financial services, healthcare, and resources industries. With most of its workforce located in India, Cognizant leverages a global delivery model that helps clients outsource their IT needs to offshore labor.
76GF Score

Get the complete analysis for CTSH

3-Year EBITDA Growth Rate is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$56.89
Price
$85.19
GF Value