ASTS vs. CTSH: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ASTS and CTSH, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
CTSH’s market capitalization of 39.92 billion USD is significantly greater than ASTS’s 15.96 billion USD, highlighting its more substantial market valuation.
ASTS’s beta of 2.02 points to significantly higher volatility compared to CTSH (beta: 0.98), suggesting ASTS has greater potential for both gains and losses relative to market movements.
Symbol | ASTS | CTSH |
---|---|---|
Company Name | AST SpaceMobile, Inc. | Cognizant Technology Solutions Corporation |
Country | US | US |
Sector | Technology | Technology |
Industry | Communication Equipment | Information Technology Services |
CEO | Abel Avellan | Ravi Kumar Singisetti |
Price | 45.6 USD | 80.98 USD |
Market Cap | 15.96 billion USD | 39.92 billion USD |
Beta | 2.02 | 0.98 |
Exchange | NASDAQ | NASDAQ |
IPO Date | November 1, 2019 | June 19, 1998 |
ADR | No | No |
Historical Performance
This chart compares the performance of ASTS and CTSH by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ASTS
-76.72%
Communication Equipment Industry
- Max
- 30.07%
- Q3
- 8.07%
- Median
- 1.84%
- Q1
- -11.93%
- Min
- -31.65%
ASTS has a negative Return on Equity of -76.72%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
CTSH
16.35%
Information Technology Services Industry
- Max
- 47.24%
- Q3
- 23.27%
- Median
- 12.85%
- Q1
- 2.22%
- Min
- -26.63%
CTSH’s Return on Equity of 16.35% is on par with the norm for the Information Technology Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
Return on Invested Capital
ASTS
-19.41%
Communication Equipment Industry
- Max
- 11.59%
- Q3
- 6.61%
- Median
- 2.97%
- Q1
- -2.58%
- Min
- -13.18%
ASTS has a negative Return on Invested Capital of -19.41%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
CTSH
13.94%
Information Technology Services Industry
- Max
- 28.29%
- Q3
- 13.19%
- Median
- 7.24%
- Q1
- 0.23%
- Min
- -18.82%
In the upper quartile for the Information Technology Services industry, CTSH’s Return on Invested Capital of 13.94% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ASTS
-7,033.20%
Communication Equipment Industry
- Max
- 23.65%
- Q3
- 9.21%
- Median
- 2.46%
- Q1
- -8.56%
- Min
- -29.87%
ASTS has a negative Net Profit Margin of -7,033.20%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
CTSH
11.73%
Information Technology Services Industry
- Max
- 20.47%
- Q3
- 11.62%
- Median
- 5.97%
- Q1
- 1.89%
- Min
- -4.62%
A Net Profit Margin of 11.73% places CTSH in the upper quartile for the Information Technology Services industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ASTS
-5,397.45%
Communication Equipment Industry
- Max
- 30.72%
- Q3
- 11.64%
- Median
- 5.79%
- Q1
- -2.28%
- Min
- -18.20%
ASTS has a negative Operating Profit Margin of -5,397.45%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
CTSH
15.33%
Information Technology Services Industry
- Max
- 29.42%
- Q3
- 14.75%
- Median
- 8.92%
- Q1
- 2.62%
- Min
- -11.92%
An Operating Profit Margin of 15.33% places CTSH in the upper quartile for the Information Technology Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
Symbol | ASTS | CTSH |
---|---|---|
Return on Equity (TTM) | -76.72% | 16.35% |
Return on Assets (TTM) | -23.81% | 11.80% |
Return on Invested Capital (TTM) | -19.41% | 13.94% |
Net Profit Margin (TTM) | -7033.20% | 11.73% |
Operating Profit Margin (TTM) | -5397.45% | 15.33% |
Gross Profit Margin (TTM) | -486.80% | 32.95% |
Financial Strength
Current Ratio
ASTS
10.62
Communication Equipment Industry
- Max
- 3.40
- Q3
- 2.59
- Median
- 1.62
- Q1
- 1.32
- Min
- 0.86
ASTS’s Current Ratio of 10.62 is exceptionally high, placing it well outside the typical range for the Communication Equipment industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.
CTSH
2.22
Information Technology Services Industry
- Max
- 3.41
- Q3
- 2.37
- Median
- 1.58
- Q1
- 1.20
- Min
- 0.00
CTSH’s Current Ratio of 2.22 aligns with the median group of the Information Technology Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
ASTS
0.02
Communication Equipment Industry
- Max
- 1.82
- Q3
- 1.00
- Median
- 0.53
- Q1
- 0.20
- Min
- 0.02
Falling into the lower quartile for the Communication Equipment industry, ASTS’s Debt-to-Equity Ratio of 0.02 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
CTSH
0.08
Information Technology Services Industry
- Max
- 2.63
- Q3
- 1.16
- Median
- 0.48
- Q1
- 0.09
- Min
- 0.01
Falling into the lower quartile for the Information Technology Services industry, CTSH’s Debt-to-Equity Ratio of 0.08 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio
ASTS
-52.83
Communication Equipment Industry
- Max
- 16.12
- Q3
- 9.22
- Median
- 2.52
- Q1
- -0.75
- Min
- -12.07
ASTS has a negative Interest Coverage Ratio of -52.83. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
CTSH
55.98
Information Technology Services Industry
- Max
- 17.52
- Q3
- 10.04
- Median
- 4.66
- Q1
- 0.80
- Min
- -10.50
With an Interest Coverage Ratio of 55.98, CTSH demonstrates a superior capacity to service its debt, placing it well above the typical range for the Information Technology Services industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
Symbol | ASTS | CTSH |
---|---|---|
Current Ratio (TTM) | 10.62 | 2.22 |
Quick Ratio (TTM) | 10.62 | 2.22 |
Debt-to-Equity Ratio (TTM) | 0.02 | 0.08 |
Debt-to-Asset Ratio (TTM) | 0.01 | 0.06 |
Net Debt-to-EBITDA Ratio (TTM) | 1.82 | -0.22 |
Interest Coverage Ratio (TTM) | -52.83 | 55.98 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ASTS and CTSH. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ASTS
0.00%
Communication Equipment Industry
- Max
- 4.72%
- Q3
- 0.38%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ASTS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
CTSH
1.51%
Information Technology Services Industry
- Max
- 16.57%
- Q3
- 1.39%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.51%, CTSH offers a more attractive income stream than most of its peers in the Information Technology Services industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
ASTS
0.00%
Communication Equipment Industry
- Max
- 91.96%
- Q3
- 26.44%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ASTS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
CTSH
25.63%
Information Technology Services Industry
- Max
- 112.81%
- Q3
- 20.98%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
CTSH’s Dividend Payout Ratio of 25.63% is in the upper quartile for the Information Technology Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
Symbol | ASTS | CTSH |
---|---|---|
Dividend Yield (TTM) | 0.00% | 1.51% |
Dividend Payout Ratio (TTM) | 0.00% | 25.63% |
Valuation
Price-to-Earnings Ratio
ASTS
-31.32
Communication Equipment Industry
- Max
- 44.37
- Q3
- 41.98
- Median
- 30.61
- Q1
- 23.44
- Min
- 2.14
ASTS has a negative P/E Ratio of -31.32. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
CTSH
16.97
Information Technology Services Industry
- Max
- 49.12
- Q3
- 36.91
- Median
- 24.84
- Q1
- 15.88
- Min
- 1.55
CTSH’s P/E Ratio of 16.97 is within the middle range for the Information Technology Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ASTS
15.35
Communication Equipment Industry
- Max
- 15.97
- Q3
- 6.99
- Median
- 2.78
- Q1
- 0.66
- Min
- 0.05
The Forward PEG Ratio is often not a primary valuation metric in the Communication Equipment industry.
CTSH
2.97
Information Technology Services Industry
- Max
- 5.35
- Q3
- 3.79
- Median
- 2.23
- Q1
- 1.19
- Min
- 0.03
CTSH’s Forward PEG Ratio of 2.97 is within the middle range of its peers in the Information Technology Services industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ASTS
5,043.28
Communication Equipment Industry
- Max
- 6.38
- Q3
- 3.88
- Median
- 2.17
- Q1
- 1.15
- Min
- 0.37
With a P/S Ratio of 5,043.28, ASTS trades at a valuation that eclipses even the highest in the Communication Equipment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
CTSH
1.99
Information Technology Services Industry
- Max
- 8.15
- Q3
- 4.17
- Median
- 2.14
- Q1
- 1.00
- Min
- 0.10
CTSH’s P/S Ratio of 1.99 aligns with the market consensus for the Information Technology Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ASTS
13.32
Communication Equipment Industry
- Max
- 14.42
- Q3
- 7.01
- Median
- 3.09
- Q1
- 1.38
- Min
- 0.41
ASTS’s P/B Ratio of 13.32 is in the upper tier for the Communication Equipment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
CTSH
2.69
Information Technology Services Industry
- Max
- 11.78
- Q3
- 6.14
- Median
- 3.23
- Q1
- 1.97
- Min
- 0.42
The P/B Ratio is often not a primary valuation metric for the Information Technology Services industry.
Valuation at a Glance
Symbol | ASTS | CTSH |
---|---|---|
Price-to-Earnings Ratio (P/E, TTM) | -31.32 | 16.97 |
Forward PEG Ratio (TTM) | 15.35 | 2.97 |
Price-to-Sales Ratio (P/S, TTM) | 5043.28 | 1.99 |
Price-to-Book Ratio (P/B, TTM) | 13.32 | 2.69 |
Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -64.66 | 18.71 |
EV-to-EBITDA (TTM) | -47.80 | 10.61 |
EV-to-Sales (TTM) | 4858.60 | 1.95 |