Cognizant Technology Solutions Corporation

Cognizant Technology Solutions Corporation

72.07
USD
+3.04
(+4.41%)
4.64EPS
8.26P/E
17.35BMarket Cap
Oct 29Next Earn

Total Valuation

USD

As of June 30, 2026, Cognizant Technology Solutions Corporation Class A carries a market capitalization of 17.35B, placing it among publicly traded companies globally. Its enterprise value stands at 18.40B, reflecting the total theoretical takeover cost after accounting for cash holdings and debt obligations.

Market Cap17.35B
Enterprise Value18.40B

Important Dates

Cognizant Technology Solutions Corporation Class A's next confirmed earnings release is scheduled for October 29, 2026.

Earnings Date10/29/2026

Share Statistics

As of June 30, 2026, Cognizant Technology Solutions Corporation Class A has 452.00M shares outstanding.

Shares Outstanding452.00M

Valuation Ratios

As of June 30, 2026, Cognizant Technology Solutions Corporation Class A trades at a trailing price-to-earnings ratio of 8.26. The price-to-sales ratio is 0.85, and the price-to-book ratio stands at 1.20.

PE Ratio8.26
PS Ratio0.85
PB Ratio1.20
P/TBV Ratio3.69
P/FCF Ratio7.06
P/OCF Ratio6.28

Enterprise Valuation

As of June 30, 2026, Cognizant Technology Solutions Corporation Class A trades at an EV/EBITDA multiple of 4.60 - the valuation measure that neutralizes differences in capital structure, tax rates, and depreciation policy, making it the standard yardstick for comparing companies across an industry. The EV/Sales ratio of 0.85 reflects the premium investors pay for the company's revenue stream, a useful check when earnings are depressed or negative. Its EV/EBIT multiple of 5.35 values the business against core operating earnings after depreciation, a stricter test than EV/EBITDA for capital-intensive businesses. Cognizant Technology Solutions Corporation Class A trades at an EV/FCF ratio of 7.02, comparing the total takeover cost of the business to the cash it actually generates for all capital providers. These enterprise value multiples are built on an enterprise value of 18.40B versus a market cap of 17.35B, with the gap driven by net debt and cash on the balance sheet.

EV / Sales0.85
EV / EBITDA4.60
EV / EBIT5.35
EV / FCF7.02

Financial Position

As of June 30, 2026, Cognizant Technology Solutions Corporation Class A maintains a current ratio of 2.18, meaning it holds 2.2x the short-term assets needed to cover near-term liabilities. The debt-to-equity ratio is 14.48, indicating elevated leverage, while an interest coverage ratio of 110.97 demonstrates strong ability to service its debt obligations.

Current Ratio2.18
Quick Ratio1.68
Debt / Equity14.48
Debt / EBITDA0.52
Interest Coverage110.97

Financial Efficiency

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Over the twelve months ended June 30, 2026, Cognizant Technology Solutions Corporation Class A posted a return on equity (ROE) of 14.92, showing how much profit the company earns on every dollar of shareholder capital. Return on invested capital (ROIC) comes in at 13.17 - the clearest signal of whether the business earns more on its capital than that capital costs, and the core measure of a durable competitive advantage. Return on assets (ROA) stands at 10.83, measuring how efficiently the asset base is converted into earnings. Return on capital employed (ROCE) is 13.58, useful for judging operating efficiency across full business cycles. The company generates approximately 62,207.53 in revenue per employee across its workforce of 347,900.00, a quick read on workforce productivity versus industry peers.

Return on Equity (ROE)14.92
Return on Assets (ROA)10.83
Return on Invested Capital (ROIC)13.17
Return on Capital Employed (ROCE)13.58
Revenue Per Employee62,207.53
Employee Count347,900.00

Taxes

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Over the twelve months ended June 30, 2026, Cognizant Technology Solutions Corporation Class A recorded 1.29B in income tax expense. That works out to an effective tax rate of 36.70, which can sit above or below the statutory corporate tax rate depending on foreign earnings mix, tax credits, and one-off items. Taxes are levied on pretax income of 3.51B, leaving 2.22B in net income after tax - the gap is what shifts in the tax rate do to reported earnings and EPS.

Income Tax1.29B
Effective Tax Rate36.70

Stock Price Statistics

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As of the close on October 22, 2026, Cognizant Technology Solutions Corporation Class A's stock has gained approximately 4.07% over the past 52 weeks. The 50-day moving average sits at 61.12, while the 200-day moving average is 59.85.

52-Week Price Change4.07%
50-Day Moving Average61.12
200-Day Moving Average59.85

Income Statement

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Over the twelve months ended June 30, 2026, Cognizant Technology Solutions Corporation Class A generated 21.64B in revenue and converted that into 2.22B in net income, yielding earnings per share of 4.64. EBITDA reached 4.00B, while operating income came in at 3.52B.

Revenue21.64B
Gross Profit7.24B
Operating Income3.52B
Pretax Income3.51B
Net Income2.22B
EBITDA4.00B
EBIT3.44B
Earnings Per Share (EPS)4.64

Balance Sheet

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As of June 30, 2026, Cognizant Technology Solutions Corporation Class A holds 1.05B in cash and equivalents against 2.09B in total debt, resulting in a net debt position of 522.00M. Total book value stands at 14.46B, with working capital of 4.10B providing operational flexibility.

Cash & Cash Equivalents1.05B
Total Debt2.09B
Net Debt522.00M
Equity (Book Value)14.46B
Book Value Per Share32.00
Working Capital4.10B

Cash Flow

USD

Cognizant Technology Solutions Corporation Class A produced 2.92B in operating cash flow over the twelve months ended June 30, 2026. After subtracting -319.00M in capital expenditures, free cash flow totaled 2.60B - equivalent to 5.44 per share.

Operating Cash Flow2.92B
Capital Expenditures-319.00M
Free Cash Flow2.60B
FCF Per Share5.44

Margins

Over the twelve months ended June 30, 2026, Cognizant Technology Solutions Corporation Class A posted a gross margin of 33.44, reflecting its pricing power and cost economics. The operating margin of 16.26 and net profit margin of 10.26 provide insight into operational efficiency.

Gross Margin33.44
Operating Margin16.26
Pretax Margin16.20
Profit Margin10.26
EBITDA Margin18.46

Dividends & Yields

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Over the twelve months ended June 30, 2026, Cognizant Technology Solutions Corporation Class A paid dividends of 1.29 per share. The dividend payout ratio of 27.84 indicates the proportion of earnings distributed to shareholders, a key gauge of how sustainable the dividend is and how much room remains for future dividend growth. Free cash flow yield stands at 14.16, showing how much cash the business generates relative to its market value - dividends covered by free cash flow are generally more durable than those funded by debt. Total shareholder yield reaches 11.62, combining dividends paid with share buybacks and debt reduction for a fuller picture of capital returned to Cognizant Technology Solutions Corporation Class A shareholders.

Dividend Per Share1.29
Payout Ratio27.84
Shareholder Yield11.62
FCF Yield14.16

Stock Splits

Cognizant Technology Solutions Corporation Class A's most recent stock split took place on March 10, 2014 with a 1:2 split ratio.

Last Split Date3/10/2014
Split Ratio1:2

Scores

As of June 30, 2026, Cognizant Technology Solutions Corporation Class A has an Altman Z-Score of 6.94, well above the 3.0 threshold that indicates strong financial health and minimal bankruptcy risk.

Altman Z-Score6.94