COGNIZANT TECH SOLUTIONS-A (COZ.DE) Stock Fundamental Analysis
Europe - FRA:COZ - US1924461023 - Common Stock
63.64 EUR
+1.15 (+1.84%)
Taking everything into account, COZ scores 7 out of 10 in our fundamental rating. COZ was compared to 70 industry peers in the IT Services industry. Both the health and profitability get an excellent rating, making COZ a very profitable company, without any liquidiy or solvency issues. COZ is not valued too expensively and it also shows a decent growth rate. These ratings could make COZ a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
COZ had positive earnings in the past year.
In the past year COZ had a positive cash flow from operations.
Each year in the past 5 years COZ has been profitable.
COZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
COZ has a better Return On Assets (12.08%) than 92.86% of its industry peers.
The Return On Equity of COZ (15.93%) is better than 77.14% of its industry peers.
Looking at the Return On Invested Capital, with a value of 14.18%, COZ belongs to the top of the industry, outperforming 87.14% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for COZ is significantly below the industry average of 21.24%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.08% | ||
| ROE | 15.93% | ||
| ROIC | 14.18% |
ROA(3y)11.85%
ROA(5y)11.15%
ROE(3y)16.74%
ROE(5y)16.18%
ROIC(3y)14.72%
ROIC(5y)14.56%
1.3 Margins
Looking at the Profit Margin, with a value of 11.89%, COZ belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
COZ's Profit Margin has been stable in the last couple of years.
COZ's Operating Margin of 15.52% is amongst the best of the industry. COZ outperforms 88.57% of its industry peers.
COZ's Operating Margin has been stable in the last couple of years.
The Gross Margin of COZ (34.18%) is worse than 71.43% of its industry peers.
In the last couple of years the Gross Margin of COZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.52% | ||
| PM (TTM) | 11.89% | ||
| GM | 34.18% |
OM growth 3Y-0.1%
OM growth 5Y-0.74%
PM growth 3Y-0.57%
PM growth 5Y0.67%
GM growth 3Y-2.71%
GM growth 5Y-1.29%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), COZ is creating some value.
The number of shares outstanding for COZ has been reduced compared to 1 year ago.
COZ has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, COZ has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 7.25 indicates that COZ is not in any danger for bankruptcy at the moment.
COZ's Altman-Z score of 7.25 is amongst the best of the industry. COZ outperforms 100.00% of its industry peers.
COZ has a debt to FCF ratio of 0.26. This is a very positive value and a sign of high solvency as it would only need 0.26 years to pay back of all of its debts.
COZ's Debt to FCF ratio of 0.26 is amongst the best of the industry. COZ outperforms 100.00% of its industry peers.
COZ has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.04, COZ belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.26 | ||
| Altman-Z | 7.25 |
ROIC/WACC1.62
WACC8.78%
2.3 Liquidity
COZ has a Current Ratio of 2.41. This indicates that COZ is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of COZ (2.41) is better than 94.29% of its industry peers.
COZ has a Quick Ratio of 2.41. This indicates that COZ is financially healthy and has no problem in meeting its short term obligations.
COZ has a better Quick ratio (2.41) than 95.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 2.41 |
3. Growth
3.1 Past
COZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.90%, which is quite good.
The Earnings Per Share has been growing slightly by 3.50% on average over the past years.
COZ shows a small growth in Revenue. In the last year, the Revenue has grown by 1.98%.
The Revenue has been growing slightly by 3.29% on average over the past years.
EPS 1Y (TTM)8.9%
EPS 3Y4.86%
EPS 5Y3.5%
EPS Q2Q%11.2%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y2.17%
Revenue growth 5Y3.29%
Sales Q2Q%7.36%
3.2 Future
Based on estimates for the next years, COZ will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.47% on average per year.
The Revenue is expected to grow by 5.30% on average over the next years.
EPS Next Y10.77%
EPS Next 2Y8.97%
EPS Next 3Y8.94%
EPS Next 5Y9.47%
Revenue Next Year6.22%
Revenue Next 2Y5.43%
Revenue Next 3Y5.66%
Revenue Next 5Y5.3%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.24, COZ is valued correctly.
Based on the Price/Earnings ratio, COZ is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of COZ to the average of the S&P500 Index (26.13), we can say COZ is valued slightly cheaper.
A Price/Forward Earnings ratio of 12.97 indicates a correct valuation of COZ.
COZ's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. COZ is cheaper than 64.29% of the companies in the same industry.
COZ's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.24 | ||
| Fwd PE | 12.97 |
4.2 Price Multiples
COZ's Enterprise Value to EBITDA ratio is in line with the industry average.
COZ's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.65 | ||
| EV/EBITDA | 9.25 |
4.3 Compensation for Growth
COZ's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
COZ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.32
PEG (5Y)4.07
EPS Next 2Y8.97%
EPS Next 3Y8.94%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.72%, COZ has a reasonable but not impressive dividend return.
COZ's Dividend Yield is comparable with the industry average which is at 3.86.
Compared to the average S&P500 Dividend Yield of 2.39, COZ is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
5.2 History
The dividend of COZ is nicely growing with an annual growth rate of 8.46%!
Dividend Growth(5Y)8.46%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
COZ pays out 24.92% of its income as dividend. This is a sustainable payout ratio.
The dividend of COZ is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP24.92%
EPS Next 2Y8.97%
EPS Next 3Y8.94%
FRA:COZ (11/4/2025, 7:00:00 PM)
63.64
+1.15 (+1.84%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners101.96%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap31.08B
Revenue(TTM)19.74B
Net Income(TTM)2.44B
Analysts71.88
Price Target74.08 (16.4%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
Yearly Dividend1.05
Dividend Growth(5Y)8.46%
DP24.92%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.25%
Min EPS beat(2)0.64%
Max EPS beat(2)1.85%
EPS beat(4)4
Avg EPS beat(4)3.77%
Min EPS beat(4)0.64%
Max EPS beat(4)6.84%
EPS beat(8)7
Avg EPS beat(8)4.16%
EPS beat(12)9
Avg EPS beat(12)3.54%
EPS beat(16)12
Avg EPS beat(16)3.16%
Revenue beat(2)0
Avg Revenue beat(2)-1.35%
Min Revenue beat(2)-1.82%
Max Revenue beat(2)-0.87%
Revenue beat(4)0
Avg Revenue beat(4)-1.37%
Min Revenue beat(4)-1.82%
Max Revenue beat(4)-0.87%
Revenue beat(8)0
Avg Revenue beat(8)-1.47%
Revenue beat(12)0
Avg Revenue beat(12)-1.55%
Revenue beat(16)0
Avg Revenue beat(16)-1.63%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)0.21%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.8%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.24 | ||
| Fwd PE | 12.97 | ||
| P/S | 1.74 | ||
| P/FCF | 15.65 | ||
| P/OCF | 13.93 | ||
| P/B | 2.34 | ||
| P/tB | 5.38 | ||
| EV/EBITDA | 9.25 |
EPS(TTM)4.47
EY7.02%
EPS(NY)4.91
Fwd EY7.71%
FCF(TTM)4.07
FCFY6.39%
OCF(TTM)4.57
OCFY7.18%
SpS36.5
BVpS27.24
TBVpS11.84
PEG (NY)1.32
PEG (5Y)4.07
Graham Number52.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.08% | ||
| ROE | 15.93% | ||
| ROCE | 18.69% | ||
| ROIC | 14.18% | ||
| ROICexc | 15.87% | ||
| ROICexgc | 36.79% | ||
| OM | 15.52% | ||
| PM (TTM) | 11.89% | ||
| GM | 34.18% | ||
| FCFM | 11.14% |
ROA(3y)11.85%
ROA(5y)11.15%
ROE(3y)16.74%
ROE(5y)16.18%
ROIC(3y)14.72%
ROIC(5y)14.56%
ROICexc(3y)17.57%
ROICexc(5y)17.67%
ROICexgc(3y)42.32%
ROICexgc(5y)42.39%
ROCE(3y)19.4%
ROCE(5y)19.19%
ROICexgc growth 3Y-3.2%
ROICexgc growth 5Y-0.62%
ROICexc growth 3Y-4.44%
ROICexc growth 5Y-4.72%
OM growth 3Y-0.1%
OM growth 5Y-0.74%
PM growth 3Y-0.57%
PM growth 5Y0.67%
GM growth 3Y-2.71%
GM growth 5Y-1.29%
F-Score6
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.26 | ||
| Debt/EBITDA | 0.15 | ||
| Cap/Depr | 51.36% | ||
| Cap/Sales | 1.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68.77% | ||
| Profit Quality | 93.68% | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 2.41 | ||
| Altman-Z | 7.25 |
F-Score6
WACC8.78%
ROIC/WACC1.62
Cap/Depr(3y)56.75%
Cap/Depr(5y)58.01%
Cap/Sales(3y)1.62%
Cap/Sales(5y)1.75%
Profit Quality(3y)91.3%
Profit Quality(5y)117.2%
High Growth Momentum
Growth
EPS 1Y (TTM)8.9%
EPS 3Y4.86%
EPS 5Y3.5%
EPS Q2Q%11.2%
EPS Next Y10.77%
EPS Next 2Y8.97%
EPS Next 3Y8.94%
EPS Next 5Y9.47%
Revenue 1Y (TTM)1.98%
Revenue growth 3Y2.17%
Revenue growth 5Y3.29%
Sales Q2Q%7.36%
Revenue Next Year6.22%
Revenue Next 2Y5.43%
Revenue Next 3Y5.66%
Revenue Next 5Y5.3%
EBIT growth 1Y6.79%
EBIT growth 3Y2.07%
EBIT growth 5Y2.53%
EBIT Next Year28.81%
EBIT Next 3Y13.14%
EBIT Next 5Y9.54%
FCF growth 1Y5.45%
FCF growth 3Y-6.23%
FCF growth 5Y-2.81%
OCF growth 1Y2.64%
OCF growth 3Y-5.22%
OCF growth 5Y-3.2%
COGNIZANT TECH SOLUTIONS-A / COZ.DE FAQ
Can you provide the ChartMill fundamental rating for COGNIZANT TECH SOLUTIONS-A?
ChartMill assigns a fundamental rating of 7 / 10 to COZ.DE.
What is the valuation status of COGNIZANT TECH SOLUTIONS-A (COZ.DE) stock?
ChartMill assigns a valuation rating of 5 / 10 to COGNIZANT TECH SOLUTIONS-A (COZ.DE). This can be considered as Fairly Valued.
How profitable is COGNIZANT TECH SOLUTIONS-A (COZ.DE) stock?
COGNIZANT TECH SOLUTIONS-A (COZ.DE) has a profitability rating of 7 / 10.
What is the valuation of COGNIZANT TECH SOLUTIONS-A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for COGNIZANT TECH SOLUTIONS-A (COZ.DE) is 14.24 and the Price/Book (PB) ratio is 2.34.
How sustainable is the dividend of COGNIZANT TECH SOLUTIONS-A (COZ.DE) stock?
The dividend rating of COGNIZANT TECH SOLUTIONS-A (COZ.DE) is 4 / 10 and the dividend payout ratio is 24.92%.