Cognizant Technology Solutions Corp Class A (CTSH)vsEssential Utilities Inc (WTRG)
CTSH
Cognizant Technology Solutions Corp Class A
$51.33
-1.04%
TECHNOLOGY · Cap: $24.80B
WTRG
Essential Utilities Inc
$37.54
+0.13%
UTILITIES · Cap: $10.77B
Smart Verdict
WallStSmart Research — data-driven comparison
Cognizant Technology Solutions Corp Class A generates 765% more annual revenue ($21.41B vs $2.47B). WTRG leads profitability with a 24.9% profit margin vs 10.4%. CTSH appears more attractively valued with a PEG of 0.87. CTSH earns a higher WallStSmart Score of 67/100 (B-).
CTSH
Strong Buy67
out of 100
Grade: B-
WTRG
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+76.8%
Fair Value
$306.02
Current Price
$51.33
$254.69 discount
Margin of Safety
+47.4%
Fair Value
$71.13
Current Price
$37.54
$33.59 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Growing faster than its price suggests
Reasonable price relative to book value
Strong operational efficiency at 32.4%
Keeps 25 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
15.7% revenue growth
Areas to Watch
3.6% earnings growth
Weak financial health signals
Weak financial health signals
Expensive relative to growth rate
Earnings declined 30.0%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CTSH
The strongest argument for CTSH centers on P/E Ratio, PEG Ratio, Price/Book. PEG of 0.87 suggests the stock is reasonably priced for its growth.
Bull Case : WTRG
The strongest argument for WTRG centers on Operating Margin, Profit Margin, P/E Ratio. Profitability is solid with margins at 24.9% and operating margin at 32.4%. Revenue growth of 15.7% demonstrates continued momentum.
Bear Case : CTSH
The primary concerns for CTSH are EPS Growth, Piotroski F-Score.
Bear Case : WTRG
The primary concerns for WTRG are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
CTSH profiles as a value stock while WTRG is a growth play — different risk/reward profiles.
CTSH carries more volatility with a beta of 0.98 — expect wider price swings.
WTRG is growing revenue faster at 15.7% — sustainability is the question.
CTSH generates stronger free cash flow (198M), providing more financial flexibility.
Bottom Line
CTSH scores higher overall (67/100 vs 60/100). WTRG offers better value entry with a 47.4% margin of safety. 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.
Essential Utilities Inc
UTILITIES · UTILITIES - REGULATED WATER · USA
Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.
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