WallStSmart

Cognizant Technology Solutions Corp Class A (CTSH)vsEPAM Systems Inc (EPAM)

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Smart Verdict

WallStSmart Research — data-driven comparison

Cognizant Technology Solutions Corp Class A generates 290% more annual revenue ($21.64B vs $5.56B). CTSH leads profitability with a 10.3% profit margin vs 7.0%. EPAM appears more attractively valued with a PEG of 0.54. EPAM earns a higher WallStSmart Score of 66/100 (B-).

CTSH

Strong Buy

65

out of 100

Grade: B-

Growth: 4.0Profit: 7.0Value: 9.3Quality: 8.5
Piotroski: 5/9Altman Z: 4.49

EPAM

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 6.0Value: 8.7Quality: 8.5
Piotroski: 4/9Altman Z: 4.28
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CTSHUndervalued (+73.7%)

Margin of Safety

+73.7%

Fair Value

$269.10

Current Price

$57.67

$211.43 discount

UndervaluedFair: $269.10Overvalued
EPAMUndervalued (+48.3%)

Margin of Safety

+48.3%

Fair Value

$344.42

Current Price

$97.43

$246.99 discount

UndervaluedFair: $344.42Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CTSH5 strengths · Avg: 9.2/10
P/E RatioValuation
11.9x10/10

Attractively priced relative to earnings

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.4910/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.888/10

Growing faster than its price suggests

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

EPAM5 strengths · Avg: 9.2/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.2810/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.548/10

Growing faster than its price suggests

P/E RatioValuation
15.2x8/10

Attractively priced relative to earnings

Areas to Watch

CTSH2 concerns · Avg: 4.0/10
Revenue GrowthGrowth
4.5%4/10

4.5% revenue growth

EPS GrowthGrowth
3.8%4/10

3.8% earnings growth

EPAM2 concerns · Avg: 2.5/10
Profit MarginProfitability
7.0%3/10

7.0% margin — thin

Free Cash FlowQuality
$-54.22M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : CTSH

The strongest argument for CTSH centers on P/E Ratio, Debt/Equity, Altman Z-Score. PEG of 0.88 suggests the stock is reasonably priced for its growth.

Bull Case : EPAM

The strongest argument for EPAM centers on Price/Book, Debt/Equity, Altman Z-Score. PEG of 0.54 suggests the stock is reasonably priced for its growth.

Bear Case : CTSH

The primary concerns for CTSH are Revenue Growth, EPS Growth.

Bear Case : EPAM

The primary concerns for EPAM are Profit Margin, Free Cash Flow.

Key Dynamics to Monitor

EPAM carries more volatility with a beta of 1.43 — expect wider price swings.

EPAM is growing revenue faster at 7.6% — sustainability is the question.

CTSH generates stronger free cash flow (198M), providing more financial flexibility.

Monitor INFORMATION TECHNOLOGY SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

EPAM scores higher overall (66/100 vs 65/100). CTSH offers better value entry with a 73.7% 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.

EPAM Systems Inc

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

EPAM Systems, Inc. provides digital platform engineering and software development services in North America, Europe, Russia, Belarus, Kazakhstan, Ukraine, Georgia, East Asia, Southeast Asia, and Australia. The company is headquartered in Newtown, Pennsylvania.

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