WallStSmart

Cognizant Technology Solutions Corp Class A (CTSH)vsPenguin Solutions, Inc. (PENG)

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Smart Verdict

WallStSmart Research — data-driven comparison

Cognizant Technology Solutions Corp Class A generates 1340% more annual revenue ($21.64B vs $1.50B). CTSH leads profitability with a 10.3% profit margin vs 6.5%. CTSH trades at a lower P/E of 11.9x. CTSH earns a higher WallStSmart Score of 65/100 (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

PENG

Buy

60

out of 100

Grade: C+

Growth: 7.3Profit: 5.5Value: 4.7Quality: 5.5
Piotroski: 4/9Altman Z: 1.80
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

Intrinsic value data unavailable for PENG.

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

PENG2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
47.6%10/10

Revenue surging 47.6% year-over-year

EPS GrowthGrowth
544.0%10/10

Earnings expanding 544.0% YoY

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

PENG4 concerns · Avg: 3.5/10
P/E RatioValuation
38.2x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.804/10

Grey zone — moderate risk

Profit MarginProfitability
6.5%3/10

6.5% margin — thin

Debt/EquityHealth
1.143/10

Elevated debt levels

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 : PENG

The strongest argument for PENG centers on Revenue Growth, EPS Growth. Revenue growth of 47.6% demonstrates continued momentum.

Bear Case : CTSH

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

Bear Case : PENG

The primary concerns for PENG are P/E Ratio, Altman Z-Score, Profit Margin.

Key Dynamics to Monitor

CTSH profiles as a value stock while PENG is a hypergrowth play — different risk/reward profiles.

PENG carries more volatility with a beta of 2.83 — expect wider price swings.

PENG is growing revenue faster at 47.6% — sustainability is the question.

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

Bottom Line

CTSH scores higher overall (65/100 vs 60/100). Both earn "Strong Buy" and "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.

Penguin Solutions, Inc.

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Penguin Solutions, Inc., a memory-focused company, engages in the designing and development of enterprise solutions in the United States, China, Europe, and internationally. The company is headquartered in Grand Cayman, Cayman Islands.

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