Cognizant Technology Solutions vs Accenture: Which Is the Stronger Buy Today?

-6.51%
Downside
241
Market
226
Trefis
ACN: Accenture logo
ACN
Accenture

Accenture fell -9.6% during the past Day. You may be tempted to buy more, or may want to reduce your exposure. But there is an entirely different perspective you might be missing. Is there a better alternative? Turns out, its peer Cognizant Technology Solutions gives you more. Cognizant Technology Solutions (CTSH) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Accenture (ACN) stock, suggesting you may be better off investing in CTSH

  • CTSH’s quarterly revenue growth was 7.4%, vs. ACN’s 6.0%.
  • In addition, its Last 12 Months revenue growth came in at 7.4%, ahead of ACN’s 6.6%.
  • CTSH leads on profitability over both periods – LTM margin of 15.7% and 3-year average of 15.2%.

These differences become even clearer when you look at the financials side by side. The table highlights how ACN’s fundamentals stack up against those of CTSH on growth, margins, momentum, and valuation multiples.

Valuation & Performance Overview

  ACN CTSH Preferred
     
Valuation      
P/EBIT Ratio 14.7 11.1 CTSH
     
Revenue Growth      
Last Quarter 6.0% 7.4% CTSH
Last 12 Months 6.6% 7.4% CTSH
Last 3 Year Average 4.3% 2.6% ACN
     
Operating Margins      
Last 12 Months 14.4% 15.7% CTSH
Last 3 Year Average 14.3% 15.2% CTSH
     
Momentum      
Last 3 Year Return -12.0% 14.7% CTSH

Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: ACN Revenue Comparison | CTSH Revenue Comparison
See more margin details: ACN Operating Income Comparison | CTSH Operating Income Comparison

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  4. Is Wall Street Underestimating Accenture Stock’s Potential?
  5. Has Accenture Stock Quietly Become a Value Opportunity?
  6. Is Wall Street Underestimating Accenture Stock’s Potential?

See detailed fundamentals on Buy or Sell CTSH Stock and Buy or Sell ACN Stock. Below we compare market return and related metrics across years.

Historical Market Performance

  2021 2022 2023 2024 2025 2026 Total [1] Avg Best
Returns
ACN Return 61% -35% 34% 2% -22% 0% 11%    
CTSH Return 10% -35% 34% 3% 10% -0% 9%    
S&P 500 Return 27% -19% 24% 23% 16% 2% 86%   <===
Monthly Win Rates [3]
ACN Win Rate 67% 33% 67% 58% 33% 50%   51%  
CTSH Win Rate 58% 42% 58% 58% 58% 50%   54%  
S&P 500 Win Rate 75% 42% 67% 75% 67% 100%   71% <===
Max Drawdowns [4]
ACN Max Drawdown -7% -39% -7% -19% -33% -3%   -18%  
CTSH Max Drawdown -18% -41% 0% -14% -14% -2%   -15%  
S&P 500 Max Drawdown -1% -25% -1% -2% -15% -1%   -7% <===

[1] Cumulative total returns since the beginning of 2021
[2] 2026 data is for the year up to 2/3/2026 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year

No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read CTSH Dip Buyer Analyses and ACN Dip Buyer Analyses to see how these stocks have fallen and recovered in the past.

Still not sure about ACN or CTSH? Consider portfolio approach.

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