INFY vs. CTSH, WIT, ZS, VRSN, AZPN, EPAM, DOX, HCP, DOCS, and PRFT
Should you be buying Infosys stock or one of its competitors? The main competitors of Infosys include Cognizant Technology Solutions (CTSH), Wipro (WIT), Zscaler (ZS), VeriSign (VRSN), Aspen Technology (AZPN), EPAM Systems (EPAM), Amdocs (DOX), HashiCorp (HCP), Doximity (DOCS), and Perficient (PRFT). These companies are all part of the "custom computer programming services" industry.
Cognizant Technology Solutions (NASDAQ:CTSH) and Infosys (NYSE:INFY) are both large-cap computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, analyst recommendations, media sentiment, dividends, community ranking, risk, earnings, valuation and institutional ownership.
Cognizant Technology Solutions presently has a consensus target price of $75.67, indicating a potential upside of 14.39%. Infosys has a consensus target price of $19.27, indicating a potential upside of 15.05%. Given Cognizant Technology Solutions' stronger consensus rating and higher probable upside, analysts clearly believe Infosys is more favorable than Cognizant Technology Solutions.
Infosys has lower revenue, but higher earnings than Cognizant Technology Solutions. Cognizant Technology Solutions is trading at a lower price-to-earnings ratio than Infosys, indicating that it is currently the more affordable of the two stocks.
Cognizant Technology Solutions has a beta of 1.08, meaning that its share price is 8% more volatile than the S&P 500. Comparatively, Infosys has a beta of 0.95, meaning that its share price is 5% less volatile than the S&P 500.
Cognizant Technology Solutions pays an annual dividend of $1.20 per share and has a dividend yield of 1.8%. Infosys pays an annual dividend of $0.28 per share and has a dividend yield of 1.7%. Cognizant Technology Solutions pays out 28.8% of its earnings in the form of a dividend. Infosys pays out 36.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Cognizant Technology Solutions has increased its dividend for 5 consecutive years and Infosys has increased its dividend for 1 consecutive years. Cognizant Technology Solutions is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Cognizant Technology Solutions received 730 more outperform votes than Infosys when rated by MarketBeat users. Likewise, 75.00% of users gave Cognizant Technology Solutions an outperform vote while only 55.84% of users gave Infosys an outperform vote.
92.4% of Cognizant Technology Solutions shares are held by institutional investors. Comparatively, 10.9% of Infosys shares are held by institutional investors. 0.3% of Cognizant Technology Solutions shares are held by company insiders. Comparatively, 22.4% of Infosys shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Infosys has a net margin of 17.06% compared to Infosys' net margin of 10.84%. Cognizant Technology Solutions' return on equity of 32.33% beat Infosys' return on equity.
In the previous week, Infosys had 6 more articles in the media than Cognizant Technology Solutions. MarketBeat recorded 16 mentions for Infosys and 10 mentions for Cognizant Technology Solutions. Infosys' average media sentiment score of 1.50 beat Cognizant Technology Solutions' score of 0.21 indicating that Cognizant Technology Solutions is being referred to more favorably in the media.
Summary
Infosys beats Cognizant Technology Solutions on 11 of the 21 factors compared between the two stocks.
Get Infosys News Delivered to You Automatically
Sign up to receive the latest news and ratings for INFY and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding INFY and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Related Companies and Tools
