Companies/Disrupted/CTSH

CTSH

Cognizant

AI Disruption Risk

AI-disrupted incumbents·US·Teaneck, NJ·#6 / 8 in segment·7.7% of segment mcap

$51.30

-63.0% vs S&P 12m

Business overview

AI disruption risk

IT services firm with healthcare and financial services exposure; AI Now playbook in development.

AI cost-take-out is the management story; bookings to revenue conversion is the swing variable.

Products

Consulting
Application services

Customers (1)

Fortune 500

Competitors (2)

Composite score

Higher = stronger overall research case

Fundamental54

Technical22

Valuation88

AI relevance30

Risk-adjusted (higher = safer)41

Segment-relative fundamental percentile: 50

Synthetic 1Y price action

Deterministic price series; 50d (yellow) and 200d (orange) MAs shown

3M RS: -29.4%6M RS: -39.3%12M RS: -63.0%Vol30d: 44%DD52w: -40.8%

Financial summary

Curated, illustrative

Revenue

$21.41B

Growth (YoY)

5.8%

Gross margin

33.5%

Operating margin

15.6%

FCF

$1.91B

Capex

$848.12M

Net cash / (debt)

$425.00M

ROIC

10.4%

Customer conc.

Medium

Valuation

Market cap

$24.26B

Enterprise value

$23.84B

P/E (TTM)

11.1x

Forward P/E

8.3x

EV / Sales

1.1x

EV / EBITDA

6.1x

P / FCF

12.7x

PEG

0.8x

Rule of 40

—

Risks

Severity 1 (low) to 5 (severe)

4
AI-driven services deflation

Score components

What drove the composite

Growth43

Profitability55

Cash generation45

Balance sheet79

Moat / AI relevance35

Capital intensity (higher = lighter)75

Customer diversification60

Valuation discipline (dilution)65

Trend (MA50/MA200)5

Momentum (3/6/12m)32

Relative strength20

Realized vol (higher = lower vol)48

Segment peers

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