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ACN vs. CTSH: Accenture vs. Cognizant Stock Comparison

How do Accenture (ACN) and Cognizant (CTSH) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Accenture (ACN) and Cognizant (CTSH) are both classified in the IT Consulting & Other Services sub-industry within the broader IT Services industry, placing them in the closest GICS peer bucket.

Company profile comparison for Accenture (ACN) and Cognizant (CTSH)
Profile ItemACNCTSH
NameAccenture plcCognizant Technology Solutions Corp. Class A Common Stock
Country/RegionIrelandUnited States
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustryIT ServicesIT Services
GICS Sub-IndustryIT Consulting & Other ServicesIT Consulting & Other Services
Market Capitalization153.89 billion USD28.93 billion USD
CurrencyUSDUSD
ExchangeNYSENasdaq
Listing DateJuly 19, 2001June 19, 1998
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

ACN
CTSH
GSPC
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Accenture (ACN) vs. Cognizant (CTSH), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Accenture (ACN) and Cognizant (CTSH). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Accenture (ACN) and Cognizant (CTSH). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
Total Return (1Y)7.87%-10.80%
Total Return (3Y, Annualized)-4.56%1.40%
Total Return (5Y, Annualized)-5.20%-2.88%

Risk Profile

Drawdown History

ACN
CTSH
GSPC
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Accenture (ACN) vs. Cognizant (CTSH), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Accenture (ACN) and Cognizant (CTSH). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
Volatility (1Y, Annualized)50.02%43.62%
Beta (5Y)1.000.83
Max Drawdown (5Y)-68.17%-56.08%
Avg. Volume (3M)6.18M6.65M

Risk-Adjusted Performance

Risk-Return Positioning

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ACN and CTSH are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
Sharpe Ratio (1Y)0.07-0.35
Sortino Ratio (1Y)0.10-0.50

Profitability

ROE (TTM)

Accenture (ACN) at 26.03% sits in the top ROE quartile, while Cognizant (CTSH) at 17.37% is closer to the peer norm — stronger capital efficiency for ACN.

ACN

Software & Services industry group

26.03%

Max
53.85%
ACN
26.03%
Q3
17.90%
Median
6.59%
Q1
-9.59%
Min
-50.52%

CTSH

Software & Services industry group

17.37%

Max
53.85%
Q3
17.90%
CTSH
17.37%
Median
6.59%
Q1
-9.59%
Min
-50.52%
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

Both Accenture (ACN) at 11.28% and Cognizant (CTSH) at 11.75% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

ACN

Software & Services industry group

11.28%

Max
41.17%
Q3
15.28%
ACN
11.28%
Median
4.63%
Q1
-5.42%
Min
-33.17%

CTSH

Software & Services industry group

11.75%

Max
41.17%
Q3
15.28%
CTSH
11.75%
Median
4.63%
Q1
-5.42%
Min
-33.17%
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

Accenture (ACN) at 17.83% operates in the top operating margin quartile, ahead of Cognizant (CTSH) at 16.30%, which runs around its industry’s norm.

ACN

Software & Services industry group

17.83%

Max
46.89%
ACN
17.83%
Q3
17.64%
Median
8.73%
Q1
-2.13%
Min
-30.45%

CTSH

Software & Services industry group

16.30%

Max
46.89%
Q3
17.64%
CTSH
16.30%
Median
8.73%
Q1
-2.13%
Min
-30.45%
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
ROE (TTM)26.03%17.37%
ROA (TTM)10.95%10.78%
Net Margin (TTM)11.28%11.75%
Operating Margin (TTM)17.83%16.30%
Gross Margin (TTM)32.05%33.42%

Growth

Revenue Growth

Both Accenture (ACN) at 6.47% and Cognizant (CTSH) at 6.95% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.

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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Accenture (ACN) at 11.60% and Cognizant (CTSH) at 1.11% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
Revenue Growth (YoY)6.47%6.95%
Revenue Growth (3Y CAGR)4.98%2.80%
EPS Growth (YoY)11.60%1.11%
EPS Growth (3Y CAGR)7.98%1.12%

Financial Strength

Current Ratio (MRQ)

Both Accenture (ACN) at 1.43 and Cognizant (CTSH) at 2.22 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

ACN

Software & Services industry group

1.43

Max
5.11
Q3
2.77
Median
1.67
ACN
1.43
Q1
1.01
Min
0.03

CTSH

Software & Services industry group

2.22

Max
5.11
Q3
2.77
CTSH
2.22
Median
1.67
Q1
1.01
Min
0.03
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

Both Accenture (ACN) at 0.40 and Cognizant (CTSH) at 0.14 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

ACN

Software & Services industry group

0.40

Max
2.52
Q3
1.13
Median
0.40
ACN
0.40
Q1
0.07
Min
0.00

CTSH

Software & Services industry group

0.14

Max
2.52
Q3
1.13
Median
0.40
CTSH
0.14
Q1
0.07
Min
0.00
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
Current Ratio (MRQ)1.432.22
Debt / Equity (MRQ)0.400.14
Net Debt / EBITDA0.040.14

Dividends

Dividend Yield (TTM)

Both Accenture (ACN) at 2.49% and Cognizant (CTSH) at 1.98% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

ACN

Software & Services industry group

2.49%

ACN
2.49%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

CTSH

Software & Services industry group

1.98%

CTSH
1.98%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both Accenture (ACN) at 48.08% and Cognizant (CTSH) at 23.72% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.

ACN

Software & Services industry group

48.08%

ACN
48.08%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

CTSH

Software & Services industry group

23.72%

CTSH
23.72%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
Dividend Yield (TTM)2.49%1.98%
Dividend Payout Ratio (TTM)48.08%23.72%

Valuation

P/E Ratio (TTM)

Cognizant (CTSH) at 11.81 sits in the cheaper P/E ratio quartile, while Accenture (ACN) at 19.21 is closer to its industry’s usual earnings multiple — a discount for CTSH, though growth and earnings durability still matter.

ACN

Software & Services industry group

19.21

Max
112.94
Q3
60.32
Median
32.91
ACN
19.21
Q1
18.77
Min
6.69

CTSH

Software & Services industry group

11.81

Max
112.94
Q3
60.32
Median
32.91
Q1
18.77
CTSH
11.81
Min
6.69
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

Both Accenture (ACN) at 2.07 and Cognizant (CTSH) at 1.32 fetch a relatively low price per dollar of sales, landing in the cheaper P/S ratio quartile of their industries.

ACN

Software & Services industry group

2.07

Max
17.91
Q3
8.78
Median
4.25
Q1
2.23
ACN
2.07
Min
0.02

CTSH

Software & Services industry group

1.32

Max
17.91
Q3
8.78
Median
4.25
Q1
2.23
CTSH
1.32
Min
0.02
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both Accenture (ACN) at 4.91 and Cognizant (CTSH) at 1.97 are valued close to their industries’ norm against book — neither stands out from peers.

ACN

Software & Services industry group

4.91

Max
16.63
Q3
8.50
ACN
4.91
Median
4.30
Q1
1.92
Min
-3.90

CTSH

Software & Services industry group

1.97

Max
16.63
Q3
8.50
Median
4.30
CTSH
1.97
Q1
1.92
Min
-3.90
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Accenture (ACN) vs. Cognizant (CTSH): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Accenture (ACN) and Cognizant (CTSH)
MetricACNCTSH
P/E Ratio (TTM)19.2111.81
P/S Ratio (TTM)2.071.32
P/B Ratio (MRQ)4.911.97
Free Cash Flow Yield (TTM)6.94%7.19%