WallStSmart

Cognizant Technology Solutions Corp Class A (CTSH)vsJack Henry & Associates Inc (JKHY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cognizant Technology Solutions Corp Class A generates 751% more annual revenue ($21.41B vs $2.52B). JKHY leads profitability with a 20.6% profit margin vs 10.4%. CTSH appears more attractively valued with a PEG of 0.85. JKHY earns a higher WallStSmart Score of 68/100 (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

JKHY

Strong Buy

68

out of 100

Grade: B-

Growth: 6.0Profit: 8.0Value: 4.7Quality: 8.0
Piotroski: 4/9Altman Z: 4.44
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
JKHYSignificantly Overvalued (-43.8%)

Margin of Safety

-43.8%

Fair Value

$115.21

Current Price

$130.11

$14.90 premium

UndervaluedFair: $115.21Overvalued

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

JKHY6 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.4410/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
24.3%9/10

Every $100 of equity generates 24 in profit

Profit MarginProfitability
20.6%9/10

Keeps 21 of every $100 in revenue as profit

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

Operating MarginProfitability
24.4%8/10

Strong operational efficiency at 24.4%

Areas to Watch

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

3.6% earnings growth

JKHY1 concerns · Avg: 4.0/10
PEG RatioValuation
1.744/10

Expensive relative to growth rate

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 : JKHY

The strongest argument for JKHY centers on Debt/Equity, Altman Z-Score, Return on Equity. Profitability is solid with margins at 20.6% and operating margin at 24.4%.

Bear Case : CTSH

The primary concerns for CTSH are EPS Growth.

Bear Case : JKHY

The primary concerns for JKHY are PEG Ratio.

Key Dynamics to Monitor

CTSH profiles as a value stock while JKHY is a mature play — different risk/reward profiles.

CTSH carries more volatility with a beta of 0.81 — expect wider price swings.

JKHY is growing revenue faster at 8.7% — sustainability is the question.

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

Bottom Line

JKHY scores higher overall (68/100 vs 67/100), backed by strong 20.6% margins. 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.

Jack Henry & Associates Inc

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Jack Henry & Associates, Inc. is a technology company and payment processing service for the financial services industry.

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