WallStSmart

Cognizant Technology Solutions Corp Class A (CTSH)vsGartner Inc (IT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cognizant Technology Solutions Corp Class A generates 231% more annual revenue ($21.41B vs $6.47B). IT leads profitability with a 11.4% profit margin vs 10.4%. IT appears more attractively valued with a PEG of 0.60. CTSH earns a higher WallStSmart Score of 67/100 (B-).

CTSH

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 7.0Value: 9.3Quality: 8.5
Piotroski: 5/9Altman Z: 4.49

IT

Strong Buy

65

out of 100

Grade: B-

Growth: 5.3Profit: 8.0Value: 8.0Quality: 4.0
Piotroski: 3/9Altman Z: 2.41
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CTSHUndervalued (+73.7%)

Margin of Safety

+73.7%

Fair Value

$269.78

Current Price

$41.83

$227.95 discount

UndervaluedFair: $269.78Overvalued
ITUndervalued (+17.6%)

Margin of Safety

+17.6%

Fair Value

$196.16

Current Price

$129.16

$67.00 discount

UndervaluedFair: $196.16Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CTSH5 strengths · Avg: 9.6/10
P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.4910/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.858/10

Growing faster than its price suggests

IT4 strengths · Avg: 8.5/10
Return on EquityProfitability
94.9%10/10

Every $100 of equity generates 95 in profit

PEG RatioValuation
0.608/10

Growing faster than its price suggests

P/E RatioValuation
14.6x8/10

Attractively priced relative to earnings

Operating MarginProfitability
20.5%8/10

Strong operational efficiency at 20.5%

Areas to Watch

CTSH1 concerns · Avg: 4.0/10
EPS GrowthGrowth
3.6%4/10

3.6% earnings growth

IT4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
138.9x2/10

Trading at 138.9x book value

Revenue GrowthGrowth
-1.5%2/10

Revenue declined 1.5%

Debt/EquityHealth
51.411/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : CTSH

The strongest argument for CTSH centers on P/E Ratio, Price/Book, Debt/Equity. PEG of 0.85 suggests the stock is reasonably priced for its growth.

Bull Case : IT

The strongest argument for IT centers on Return on Equity, PEG Ratio, P/E Ratio. PEG of 0.60 suggests the stock is reasonably priced for its growth.

Bear Case : CTSH

The primary concerns for CTSH are EPS Growth.

Bear Case : IT

The primary concerns for IT are Piotroski F-Score, Price/Book, Revenue Growth. Debt-to-equity of 51.41 is elevated, increasing financial risk.

Key Dynamics to Monitor

CTSH profiles as a value stock while IT is a declining play — different risk/reward profiles.

IT carries more volatility with a beta of 0.93 — expect wider price swings.

CTSH is growing revenue faster at 5.8% — sustainability is the question.

IT generates stronger free cash flow (371M), providing more financial flexibility.

Bottom Line

CTSH scores higher overall (67/100 vs 65/100). IT offers better value entry with a 17.6% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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.

Gartner Inc

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Gartner, Inc, officially known as Gartner, is a global research and advisory firm providing information, advice, and tools for leaders in IT, finance, HR, customer service and support, communications, legal and compliance, marketing, sales, and supply chain functions. Its headquarters are in Stamford, Connecticut, United States.

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