COGNIZANT TECH SOLUTIONS-A (COZ.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:COZ - US1924461023 - Common Stock
73.36 EUR
+3.52 (+5.04%)
COZ gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 73 industry peers in the IT Services industry. COZ gets an excellent profitability rating and is at the same time showing great financial health properties. COZ has a correct valuation and a medium growth rate. This makes COZ very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year COZ was profitable.
In the past year COZ had a positive cash flow from operations.
COZ had positive earnings in each of the past 5 years.
COZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of COZ (10.57%) is better than 93.15% of its industry peers.
Looking at the Return On Equity, with a value of 14.28%, COZ is in the better half of the industry, outperforming 72.60% of the companies in the same industry.
COZ has a better Return On Invested Capital (14.88%) than 87.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for COZ is significantly below the industry average of 26.63%.
The 3 year average ROIC (14.72%) for COZ is below the current ROIC(14.88%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.57% | ||
| ROE | 14.28% | ||
| ROIC | 14.88% |
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
With an excellent Profit Margin value of 10.20%, COZ belongs to the best of the industry, outperforming 90.41% of the companies in the same industry.
In the last couple of years the Profit Margin of COZ has remained more or less at the same level.
COZ has a Operating Margin of 15.70%. This is amongst the best in the industry. COZ outperforms 89.04% of its industry peers.
In the last couple of years the Operating Margin of COZ has remained more or less at the same level.
COZ has a Gross Margin of 34.06%. This is in the lower half of the industry: COZ underperforms 69.86% of its industry peers.
COZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.7% | ||
| PM (TTM) | 10.2% | ||
| GM | 34.06% |
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so COZ is still 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 7.63 indicates that COZ is not in any danger for bankruptcy at the moment.
COZ's Altman-Z score of 7.63 is amongst the best of the industry. COZ outperforms 100.00% of its industry peers.
COZ has a debt to FCF ratio of 0.22. This is a very positive value and a sign of high solvency as it would only need 0.22 years to pay back of all of its debts.
COZ has a Debt to FCF ratio of 0.22. This is amongst the best in the industry. COZ outperforms 98.63% 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 91.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.22 | ||
| Altman-Z | 7.63 |
ROIC/WACC1.64
WACC9.07%
2.3 Liquidity
COZ has a Current Ratio of 2.36. This indicates that COZ is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of COZ (2.36) is better than 94.52% of its industry peers.
A Quick Ratio of 2.36 indicates that COZ has no problem at all paying its short term obligations.
COZ has a Quick ratio of 2.36. This is amongst the best in the industry. COZ outperforms 95.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 2.36 |
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.
Measured over the past 5 years, COZ shows a small growth in Earnings Per Share. The EPS has been growing by 3.50% on average per year.
COZ shows a small growth in Revenue. In the last year, the Revenue has grown by 7.44%.
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)7.44%
Revenue growth 3Y2.17%
Revenue growth 5Y3.29%
Sales Q2Q%7.36%
3.2 Future
COZ is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.23% yearly.
Based on estimates for the next years, COZ will show a small growth in Revenue. The Revenue will grow by 4.89% on average per year.
EPS Next Y12.68%
EPS Next 2Y9.8%
EPS Next 3Y9.46%
EPS Next 5Y9.23%
Revenue Next Year6.88%
Revenue Next 2Y5.79%
Revenue Next 3Y5.75%
Revenue Next 5Y4.89%
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
Based on the Price/Earnings ratio of 16.67, the valuation of COZ can be described as correct.
Based on the Price/Earnings ratio, COZ is valued a bit cheaper than 73.97% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.19, COZ is valued a bit cheaper.
COZ is valuated correctly with a Price/Forward Earnings ratio of 14.96.
Compared to the rest of the industry, the Price/Forward Earnings ratio of COZ indicates a somewhat cheap valuation: COZ is cheaper than 65.75% of the companies listed in the same industry.
COZ is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.67 | ||
| Fwd PE | 14.96 |
4.2 Price Multiples
60.27% of the companies in the same industry are cheaper than COZ, based on the Enterprise Value to EBITDA ratio.
COZ's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.59 | ||
| EV/EBITDA | 10.34 |
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)4.77
EPS Next 2Y9.8%
EPS Next 3Y9.46%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.49%, COZ has a reasonable but not impressive dividend return.
COZ's Dividend Yield is comparable with the industry average which is at 2.29.
Compared to the average S&P500 Dividend Yield of 1.94, COZ is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
5.2 History
On average, the dividend of COZ grows each year by 8.46%, which is quite nice.
Dividend Growth(5Y)8.46%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
28.62% of the earnings are spent on dividend by COZ. This is a low number and sustainable payout ratio.
COZ's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP28.62%
EPS Next 2Y9.8%
EPS Next 3Y9.46%
FRA:COZ (1/8/2026, 7:00:00 PM)
73.36
+3.52 (+5.04%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners104.24%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap35.41B
Revenue(TTM)20.86B
Net Income(TTM)2.13B
Analysts73.53
Price Target75.52 (2.94%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
Yearly Dividend1.03
Dividend Growth(5Y)8.46%
DP28.62%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.25%
Min EPS beat(2)1.85%
Max EPS beat(2)4.65%
EPS beat(4)4
Avg EPS beat(4)3.22%
Min EPS beat(4)0.64%
Max EPS beat(4)5.75%
EPS beat(8)7
Avg EPS beat(8)4.16%
EPS beat(12)10
Avg EPS beat(12)4%
EPS beat(16)13
Avg EPS beat(16)3.49%
Revenue beat(2)0
Avg Revenue beat(2)-0.51%
Min Revenue beat(2)-0.87%
Max Revenue beat(2)-0.15%
Revenue beat(4)0
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-1.82%
Max Revenue beat(4)-0.15%
Revenue beat(8)0
Avg Revenue beat(8)-1.21%
Revenue beat(12)0
Avg Revenue beat(12)-1.16%
Revenue beat(16)0
Avg Revenue beat(16)-1.55%
PT rev (1m)2.41%
PT rev (3m)-0.12%
EPS NQ rev (1m)-0.16%
EPS NQ rev (3m)-0.02%
EPS NY rev (1m)0.32%
EPS NY rev (3m)2.53%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.61%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.67 | ||
| Fwd PE | 14.96 | ||
| P/S | 1.98 | ||
| P/FCF | 15.59 | ||
| P/OCF | 14.04 | ||
| P/B | 2.77 | ||
| P/tB | 6.54 | ||
| EV/EBITDA | 10.34 |
EPS(TTM)4.4
EY6%
EPS(NY)4.9
Fwd EY6.69%
FCF(TTM)4.7
FCFY6.41%
OCF(TTM)5.23
OCFY7.12%
SpS37.01
BVpS26.44
TBVpS11.22
PEG (NY)1.32
PEG (5Y)4.77
Graham Number51.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.57% | ||
| ROE | 14.28% | ||
| ROCE | 19.6% | ||
| ROIC | 14.88% | ||
| ROICexc | 17.32% | ||
| ROICexgc | 43.02% | ||
| OM | 15.7% | ||
| PM (TTM) | 10.2% | ||
| GM | 34.06% | ||
| FCFM | 12.71% |
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-Score7
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.22 | ||
| Debt/EBITDA | 0.14 | ||
| Cap/Depr | 53.16% | ||
| Cap/Sales | 1.41% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.95% | ||
| Profit Quality | 124.58% | ||
| Current Ratio | 2.36 | ||
| Quick Ratio | 2.36 | ||
| Altman-Z | 7.63 |
F-Score7
WACC9.07%
ROIC/WACC1.64
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 Y12.68%
EPS Next 2Y9.8%
EPS Next 3Y9.46%
EPS Next 5Y9.23%
Revenue 1Y (TTM)7.44%
Revenue growth 3Y2.17%
Revenue growth 5Y3.29%
Sales Q2Q%7.36%
Revenue Next Year6.88%
Revenue Next 2Y5.79%
Revenue Next 3Y5.75%
Revenue Next 5Y4.89%
EBIT growth 1Y9.5%
EBIT growth 3Y2.07%
EBIT growth 5Y2.53%
EBIT Next Year30.42%
EBIT Next 3Y13.64%
EBIT Next 5Y10.18%
FCF growth 1Y34.84%
FCF growth 3Y-6.23%
FCF growth 5Y-2.81%
OCF growth 1Y28.32%
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.
Can you provide the valuation status for COGNIZANT TECH SOLUTIONS-A?
ChartMill assigns a valuation rating of 4 / 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 16.67 and the Price/Book (PB) ratio is 2.77.
What is the earnings growth outlook for COGNIZANT TECH SOLUTIONS-A?
The Earnings per Share (EPS) of COGNIZANT TECH SOLUTIONS-A (COZ.DE) is expected to grow by 12.68% in the next year.