Core Viewpoint - Cognizant (CTSH) is currently viewed as a better value opportunity compared to Infosys (INFY) based on earnings outlook and valuation metrics [1][3]. Valuation Metrics - CTSH has a forward P/E ratio of 12.94, while INFY has a forward P/E of 21.19 [5]. - CTSH's PEG ratio is 1.39, indicating a more favorable growth expectation compared to INFY's PEG ratio of 2.80 [5]. - CTSH has a P/B ratio of 2.13, significantly lower than INFY's P/B of 6.13, suggesting that CTSH is undervalued relative to its book value [6]. Earnings Outlook - CTSH has experienced stronger estimate revision activity, indicating a more positive earnings outlook compared to INFY [7]. - The Zacks Rank for CTSH is 2 (Buy), while INFY holds a Zacks Rank of 4 (Sell), further supporting the conclusion that CTSH is the superior option for value investors [3][7]. Value Grades - CTSH has earned a Value grade of A, while INFY has a Value grade of C, reflecting the relative attractiveness of their valuations [6].

Core Points - Cognizant will announce its third quarter 2025 results on October 29, 2025, before market open, shifting from a previous after-market close schedule to better accommodate global associates and participants [1] - A conference call to discuss the operating performance for the quarter will take place at 8:30 a.m. (Eastern) on the same day [2] - The conference call will be accessible live on Cognizant's Investor Relations website, with a replay available for those unable to attend live [3][4] Company Overview - Cognizant is a leading provider of information technology, consulting, and business process services, focused on modernizing technology, reimagining processes, and transforming experiences for clients [5] - The company has been recognized as one of the World's Best Employers by Forbes for three consecutive years, highlighting its strong employer brand [6]

Core Viewpoint - Infosys Ltd's recent $1.6 billion NHS contract signals its competitive positioning against Cognizant Technology Solutions, potentially narrowing the revenue gap between the two companies [1][2]. Financial Performance - The revenue gap between Infosys and Cognizant decreased from $459 million at the end of the last fiscal year to $304 million by the end of the April–June quarter, with the new contract expected to reduce it further by $107 million [2]. - Analysts expect Infosys to achieve the fastest growth among the top five IT firms for the second consecutive quarter, driven by strong project delivery and minimal revenue leakages [3]. AI Strategy - Infosys is focusing on small AI models (SLMs) and has developed at least four tailored for various sectors, indicating a strategic push in AI capabilities [5]. - A dedicated 100-member steering committee has been established to identify AI opportunities, with AI now embedded in nearly all deals [6]. Growth Trajectory - The mega deal's revenue contribution is expected to ramp up next year, with management indicating growth from several large deals in the second quarter [8]. - Despite uncertainties regarding H-1B visas and potential outsourcing taxes, analysts predict the company's revenue guidance will remain unchanged at 1-3% for the full year [9]. Large Deals and Market Position - Infosys benefits from vendor consolidation trends, although macroeconomic uncertainties may impact discretionary spending [10]. - Strength in the financial services sector, which accounts for over 25% of revenue, is expected to help navigate uncertain demand [11]. AI Updates and Competitor Landscape - Investors are keen to see updates on AI initiatives, especially in light of significant investments by competitors like TCS and HCL in AI solutions [12]. - There is a focus on incremental revenue from AI-led solutions and whether Infosys will disclose specific AI revenue figures [13]. Operating Margins - Infosys has maintained operating margins of 20-21% through effective cost management and efficiency gains from AI initiatives [14]. - The company is leveraging its Project Maximus plan to sustain margins despite wage hikes and has reduced general and administrative expenses [14]. Global Capability Centers (GCC) Expansion - Infosys is enhancing its engagement with Global Capability Centers (GCCs) and has appointed dedicated leadership to this initiative [15]. - The company aims to not only source work from existing GCCs but also establish new ones, with management commentary on GCC engagements being closely monitored [16].

Core Insights - Infosys Ltd secured a $1.6 billion contract with the UK's National Health Service, marking its first major deal in two years and the fourth-largest under CEO Salil Parekh [1][3] - The contract involves managing the NHS Business Services Authority's back-end IT infrastructure for 15 years, expected to generate over $107 million annually until 2040, contributing a guaranteed 0.6% incremental revenue in FY26 [1][2] - This deal signifies a turnaround for Infosys, ending a drought in mega deals valued over $1 billion, with the last similar contract awarded two years ago [3] Financial Impact - The total value of the new contract exceeds $1.4 billion, representing 6.8% of Infosys's full-year revenue from the healthcare and life sciences vertical in FY25 [2] - Infosys concluded FY25 with a revenue of $19.28 billion, indicating a significant addition to its revenue stream from this contract [1] Competitive Positioning - The deal enhances Infosys's competitive position against Cognizant Technology Solutions, which was ahead by $304 million as of June 2025 [5] - CEO Parekh's leadership is highlighted as Infosys outperformed larger rival Tata Consultancy Services and smaller competitors HCL Technologies and Wipro in the first quarter [4] Industry Context - The contract is noted as one of the largest public-sector technology partnerships of the decade, reflecting growing confidence in Indian IT firms as long-term transformation partners [6] - The deal is part of a trend where major Indian IT outsourcers are securing large contracts after a period of uncertainty, with Infosys being the fourth to win a mega deal this year [6][7] Future Outlook - Infosys plans to develop a data-driven workforce management solution to replace the current Electronic Staff Record system, which manages payroll for 1.9 million NHS employees [5] - The company aims to leverage its experience in digital transformation and AI offerings to enhance NHS operations [9]

Core Insights - Cognizant Technology Solutions Corporation (CTSH) is a professional services company with a market cap of $32.1 billion, focusing on consulting, technology, and outsourcing services [1] - The company is expected to announce its fiscal third-quarter earnings for 2025 soon [1] Financial Performance - Analysts anticipate CTSH to report a profit of $1.29 per share for the upcoming quarter, reflecting a 3.2% increase from $1.25 per share in the same quarter last year [2] - For the full fiscal year, EPS is projected to be $5.15, an 8.4% increase from $4.75 in fiscal 2024, with further growth expected to $5.50 in fiscal 2026 [3] Stock Performance - CTSH stock has underperformed the S&P 500 Index, which gained 13.4% over the past 52 weeks, with CTSH shares down 11.7% during the same period [4] - The stock also lagged behind the Technology Select Sector SPDR Fund, which saw a 20.8% increase [4] Recent Earnings Report - On July 30, CTSH reported Q2 results, with adjusted EPS of $1.31, surpassing Wall Street's expectations of $1.26, and revenue of $5.3 billion, exceeding the forecast of $5.2 billion [5] - The company expects full-year adjusted EPS to be between $5.08 and $5.22, with revenue projected between $20.7 billion and $21.1 billion [5] Analyst Ratings - The consensus opinion on CTSH stock is moderately bullish, with a "Moderate Buy" rating overall; out of 23 analysts, six recommend a "Strong Buy," one a "Moderate Buy," and 16 a "Hold" [6] - The average analyst price target for CTSH is $87.47, indicating a potential upside of 32.9% from current levels [6]

Core Insights - Cognizant has been recognized as one of the World's Best Employers by Forbes for the third consecutive year, highlighting its commitment to employee satisfaction and organizational excellence [1][3]. Group 1: Recognition and Awards - The recognition as a top employer is based on an independent survey involving over 300,000 participants from 50 countries, who rated their willingness to recommend their employer and evaluated various aspects of employment [2]. - Cognizant's Chief People Officer emphasized that this award reflects the dedication of its global team and the company's focus on supporting employees and delivering value to clients [3]. Group 2: Company Overview - Cognizant (Nasdaq: CTSH) specializes in modernizing technology, reimagining processes, and transforming experiences for clients in a rapidly changing environment [5]. - The company has received multiple awards recently, including recognition as one of America's Greatest Workplaces and Most Innovative Companies [6].

Core Insights - Cognizant has announced a strategic collaboration with SmartestEnergy to enhance cybersecurity measures [1] - The partnership aims to deliver Managed Extended Detection & Response and 24/7 Managed Security Operations Centre capabilities [1] - SmartestEnergy is focusing on advanced cybersecurity to protect customer data and meet compliance demands as it scales operations internationally [1] Company Overview - SmartestEnergy is an energy company assisting businesses in the UK with the energy transition [1] - The company is investing in cybersecurity to counter sophisticated threats and safeguard its IT landscape [1] Industry Context - The collaboration reflects a growing trend in the energy sector towards enhanced cybersecurity measures amid increasing compliance demands and sophisticated threats [1] - As businesses transition to net zero, the need for robust cybersecurity frameworks becomes critical [1]

RT Matt Forney (@realmattforney)BREAKING NEWS: a whistleblower at Indian consulting firm Cognizant has revealed that they exist solely to help Indians cheat the immigration system and obtain citizenship.The whistleblower provided stats on the national origin of Cognizant employees. As you can see, 56 percent of Cognizant employees come from India. Moreover, he told me that the employees from the U.S., Canada, or the Netherlands are also Indians on visas. This means that roughly 75 percent of Cognizant emplo ...

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) is one of the cheap AI stocks to buy right now. On September 19, Ambit Capital upgraded the stock to a “Buy” from a “Sell” and lowered the price target to $82 from $84. Ambit Capital Upgrades Cognizant Technology Solutions Corporation (CTSH) on Improving Fundamentals The adjustment is in response to the company’s improving growth trajectory. According to the research firm, its performance is comparable to or better than that of its tier 1 peers. Fo ...

Even as US President Donald Trump’s steep hike in H-1B visa fee threatens to hit Indian software services providers, US lawmakers and agencies have separately intensified the scrutiny of the offshoring sector.Homegrown Tata Consultancy Services Ltd, the country’s largest information technology (IT) services company, and India-heritage Cognizant Technology Solutions Corp. were among the companies targeted by two senators, Republican Charles E. Grassley and Democrat Richard J. Durbin, over hiring practices. A ...