How Does CTSH Stack Up Against Its Peers?
Here is how Cognizant Technology Solutions (CTSH) stacks up against its peers in size, valuation, growth and margin.
- CTSH’s operating margin of 15.4% is strong, lower than most peers – trailing IT (18.2%).
- CTSH’s revenue growth of 4.1% in the last 12 months is low, lagging ACN, IT but outpacing IBM, DXC.
- CTSH’s stock is down 10.1% in last 1 year, and trades at a PE of 14.0; it underperformed IBM.
As a quick background, Cognizant Technology Solutions provides consulting, technology, and outsourcing services across Financial Services, Healthcare, Products and Resources, and Communications sectors globally.
| CTSH | IBM | ACN | DXC | IT | |
|---|---|---|---|---|---|
| Market Cap ($ Bil) | 33.1 | 248.0 | 149.7 | 2.5 | 19.8 |
| Revenue ($ Bil) | 20.1 | 64.0 | 68.5 | 12.8 | 6.4 |
| PE Ratio | 14.0 | 42.5 | 18.8 | 6.6 | 15.6 |
| LTM Revenue Growth | 4.1% | 2.7% | 6.2% | -4.9% | 5.9% |
| LTM Operating Margin | 15.4% | 17.1% | 15.4% | 5.4% | 18.2% |
| LTM FCF Margin | 10.6% | 18.2% | 15.0% | 6.8% | 23.5% |
| 12M Market Return | -10.1% | 25.8% | -27.4% | -35.4% | -50.1% |
Why does this matter? CTSH just went down -5% in a month – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell CTSH Stock to see if Cognizant Technology Solutions is really a falling knife. Sharp dips often come with rebound opportunities – see how the stock has dipped and recovered in the past through CTSH Dip Buyer Analysis lens.
While peer comparison is critical Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risks while giving upside exposure.
Revenue Growth Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| CTSH | 4.1% | – | 2.0% | -0.4% | 5.0% |
| IBM | 2.7% | – | 1.4% | 2.2% | 5.5% |
| ACN | 6.2% | – | 1.2% | 4.1% | 21.9% |
| DXC | -4.9% | -5.8% | -5.3% | -11.3% | |
| IT | 5.9% | – | 6.1% | 7.9% | 15.7% |
Operating Margin Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| CTSH | 15.4% | – | 15.3% | 15.1% | 15.3% |
| IBM | 17.1% | – | 16.1% | 15.9% | 13.5% |
| ACN | 15.4% | – | 14.8% | 13.7% | 15.2% |
| DXC | 5.4% | 5.4% | -0.0% | -7.9% | |
| IT | 18.2% | – | 18.5% | 18.8% | 20.3% |
PE Ratio Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| CTSH | 14.0 | – | 17.0 | 17.9 | 12.9 |
| IBM | 42.5 | – | 33.6 | 19.9 | 77.5 |
| ACN | 18.8 | – | 30.4 | 32.2 | 24.6 |
| DXC | 6.6 | 9.3 | 49.2 | -10.7 | |
| IT | 15.6 | – | 30.1 | 40.4 | 33.4 |
The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.