Here's Why Cognizant (CTSH) is a Strong Growth Stock

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - The Style Scores categorize stocks into four main types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] - Value Score emphasizes identifying undervalued stocks using financial ratios [3] - Growth Score focuses on a company's future earnings and financial health [4] - Momentum Score assesses stocks based on price trends and earnings outlook [5] - VGM Score combines the three styles to identify stocks with the best overall potential [6] Zacks Rank and Performance - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist in stock selection [7] - Stocks rated 1 (Strong Buy) have historically outperformed the S&P 500, with an average annual return of +23.93% since 1988 [8] - There are over 800 stocks rated 1 or 2, making it essential for investors to utilize Style Scores to narrow down choices [9] Stock Example: Cognizant Technology Solutions Corporation (CTSH) - Cognizant is currently rated 3 (Hold) with a VGM Score of A, indicating potential for growth [11] - The company is projected to achieve a year-over-year earnings growth of 10.5% for the current fiscal year [11] - Recent upward revisions in earnings estimates have increased the Zacks Consensus Estimate to $5.25 per share, with an average earnings surprise of +5.8% [12]