Applied Digital Corporation (APLD)vsCognizant Technology Solutions Corp Class A (CTSH)
APLD
Applied Digital Corporation
$19.41
-4.81%
TECHNOLOGY · Cap: $5.46B
CTSH
Cognizant Technology Solutions Corp Class A
$66.36
+0.21%
TECHNOLOGY · Cap: $28.16B
Smart Verdict
WallStSmart Research — data-driven comparison
Cognizant Technology Solutions Corp Class A generates 2381% more annual revenue ($21.64B vs $872.25M). CTSH leads profitability with a 10.3% profit margin vs -53.0%. CTSH appears more attractively valued with a PEG of 0.97. CTSH earns a higher WallStSmart Score of 63/100 (C+).
APLD
Hold41
out of 100
Grade: D
CTSH
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+27.5%
Fair Value
$24.58
Current Price
$19.41
$5.17 discount
Margin of Safety
+74.2%
Fair Value
$274.52
Current Price
$66.36
$208.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 322.4% year-over-year
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
0.0% earnings growth
ROE of -11.8% — below average capital efficiency
Negative free cash flow — burning cash
4.5% revenue growth
3.8% earnings growth
Comparative Analysis Report
WallStSmart ResearchBull Case : APLD
The strongest argument for APLD centers on Revenue Growth. Revenue growth of 322.4% demonstrates continued momentum.
Bull Case : CTSH
The strongest argument for CTSH centers on Altman Z-Score, Debt/Equity, PEG Ratio. PEG of 0.97 suggests the stock is reasonably priced for its growth.
Bear Case : APLD
The primary concerns for APLD are PEG Ratio, EPS Growth, Return on Equity. Debt-to-equity of 3.63 is elevated, increasing financial risk.
Bear Case : CTSH
The primary concerns for CTSH are Revenue Growth, EPS Growth.
Key Dynamics to Monitor
APLD profiles as a hypergrowth stock while CTSH is a value play — different risk/reward profiles.
APLD carries more volatility with a beta of 6.00 — expect wider price swings.
APLD is growing revenue faster at 322.4% — sustainability is the question.
CTSH generates stronger free cash flow (459M), providing more financial flexibility.
Bottom Line
CTSH scores higher overall (63/100 vs 41/100). APLD offers better value entry with a 27.5% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Applied Digital Corporation
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Applied Blockchain, Inc. is engaged in crypto mining and co-hosting operations. The company is headquartered in Dallas, Texas.
Visit Website →Cognizant Technology Solutions Corp Class A
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Cognizant is an American multinational technology company that provides business consulting, information technology and outsourcing services. It is headquartered in Teaneck, New Jersey, United States.
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