| Consolidated Income | Direct Expenses | ||
| 2018 | 0.00 | 0.00 | |
| 2019 (projected) | 0.00 | 0.00 |
Should I invest in Cognizant Technology in short term?
 | By Rifka Kats | Macroaxis Story |
Today I will concentrate on Cognizant Technology. I will evaluate why recent Cognizant Technology price moves suggest a bounce in September. Cognizant Technology follows market closely. The returns on the market and returns on Cognizant Technology appear somewhat related for the last few months. The occurrence of stable fundamental indicators of the entity hints to mid-run price swing for stockholder of the entity. Macroaxis considers Cognizant Technology to be very steady. Cognizant Technology secures Sharpe Ratio (or Efficiency) of -0.017 which signifies that the organization had -0.017% of return per unit of risk over the last 1 month. Macroaxis philosophy towards foreseeing risk of any stock is to look at both systematic and un-systematic factors of the business, including all available market data and technical indicators. Cognizant Technology Solutions exposes twenty-eight different technical indicators which can help you to evaluate volatility that cannot be diversified away. Please be advised to confirm Cognizant Technology Risk Adjusted Performance of (0.00877) and Mean Deviation of 1.02 to double-check risk estimate we provide.
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Reviewed by Raphi Shpitalnik
This firm average rating is Hold from 21 analysts. As of 10 of August Cognizant Technology shows Mean Deviation of 1.02 and Risk Adjusted Performance of (0.00877). Cognizant Technology technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm future prices. In plain English you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum or the prices will eventually revert. We found nineteen technical drivers for Cognizant Technology Solutions which can be compared to its rivals. Please confirm Cognizant Technology Variance as well as the relationship between Value At Risk and Skewness to decide if Cognizant Technology is priced correctly providing market reflects its regular price of 62.46 per share. Given that Cognizant Technology has Jensen Alpha of (0.048258), we suggest you validate Cognizant Technology Solutions prevailing market performance to make sure the company can sustain itself at future point.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Cognizant Technology. Your research has to be compared to or analyzed against Cognizant Technology's peers to derive any actionable benefits. When done correctly, Cognizant Technology's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Cognizant Technology.
Using predictive technical analysis, we can analyze different prices and returns patterns and diagnose historical swings to determine the real value of Cognizant Technology Solutions. In general, sophisticated investors focus on analyzing Cognizant Technology stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build Cognizant Technology's daily price indicators and compare them against related drivers such as momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis and fundamental analysis, we attempt to find the most accurate representation of Cognizant Technology's intrinsic value. In addition to deriving basic predictive indicators for Cognizant Technology, many experienced traders also check how macroeconomic factors affect Cognizant Technology price patterns. Please read more on our technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Cognizant Technology's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
How important is Cognizant Technology's Liquidity
Cognizant Technology financial leverage refers to using borrowed capital as a funding source to finance Cognizant Technology Solutions ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Cognizant Technology financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Cognizant Technology's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Cognizant Technology's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between Cognizant Technology's total debt and its cash.
Cognizant Technology Gross Profit
Cognizant Technology Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Cognizant Technology previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Cognizant Technology Gross Profit growth over the last 10 years. Please check Cognizant Technology's gross profit and other fundamental indicators for more details.
Another Deeper Perspective
The small decline in market price for the last few months could raise concerns from investors as the firm closed today at a share price of 61.9 on 3633900 in volume. The company executives did not add much value to Cognizant Technology investors in July. However, diversifying your holdings with Cognizant Technology Solutions or similar stocks can still protect your portfolio during high-volatility market scenarios. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 1.359. The below-average Stock volatility is a good sign for a longer term investment options and for buy-and-hold investors. Cognizant Technology discloses 2.08b in net income. Cognizant Technology is trading at 62.46 which is 2.35 percent decrease. Today highest was 63.47. Cognizant Technology Tax Assets is nearly stable at the moment. Further, Cognizant Technology Free Cash Flow is decreasing over the last 4 years.
All in all, we belive that Cognizant Technology is currently undervalued with very low probability of distress in the next two years. Our current buy or sell advice on the entity is Strong Hold.
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This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Rifka Kats do not own shares of Cognizant Technology Solutions. Please refer to our Terms of Use for any information regarding our disclosure principles.