CTSH vs. RBLX: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at CTSH and RBLX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | CTSH | RBLX |
|---|---|---|
| Company Name | Cognizant Technology Solutions Corporation | Roblox Corporation |
| Country | United States | United States |
| GICS Sector | Information Technology | Communication Services |
| GICS Industry | IT Services | Entertainment |
| Market Capitalization | 34.39 billion USD | 87.89 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | June 19, 1998 | March 10, 2021 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of CTSH and RBLX 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.
Historical Performance at a Glance
| Symbol | CTSH | RBLX |
|---|---|---|
| 5-Day Price Return | 1.88% | -2.20% |
| 13-Week Price Return | -13.92% | 72.51% |
| 26-Week Price Return | -19.14% | 88.89% |
| 52-Week Price Return | -3.72% | 239.71% |
| Month-to-Date Return | -1.87% | -7.99% |
| Year-to-Date Return | -8.43% | 119.12% |
| 10-Day Avg. Volume | 5.64M | 10.15M |
| 3-Month Avg. Volume | 3.89M | 8.54M |
| 3-Month Volatility | 22.67% | 45.99% |
| Beta | 0.97 | 1.63 |
Profitability
Return on Equity (TTM)
CTSH
16.50%
IT Services Industry
- Max
- 29.51%
- Q3
- 16.98%
- Median
- 13.47%
- Q1
- 7.93%
- Min
- -3.97%
CTSH’s Return on Equity of 16.50% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
RBLX
-354.27%
Entertainment Industry
- Max
- 42.50%
- Q3
- 22.75%
- Median
- 12.88%
- Q1
- 7.15%
- Min
- -6.84%
RBLX has a negative Return on Equity of -354.27%. 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.
Net Profit Margin (TTM)
CTSH
11.89%
IT Services Industry
- Max
- 19.82%
- Q3
- 11.49%
- Median
- 6.67%
- Q1
- 3.61%
- Min
- -4.62%
A Net Profit Margin of 11.89% places CTSH in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.
RBLX
-23.67%
Entertainment Industry
- Max
- 45.25%
- Q3
- 23.93%
- Median
- 14.60%
- Q1
- 4.89%
- Min
- -22.94%
RBLX has a negative Net Profit Margin of -23.67%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin (TTM)
CTSH
15.42%
IT Services Industry
- Max
- 21.69%
- Q3
- 14.50%
- Median
- 10.06%
- Q1
- 6.98%
- Min
- 0.06%
An Operating Profit Margin of 15.42% places CTSH in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
RBLX
-27.35%
Entertainment Industry
- Max
- 46.83%
- Q3
- 28.87%
- Median
- 15.26%
- Q1
- 8.95%
- Min
- -5.53%
RBLX has a negative Operating Profit Margin of -27.35%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | CTSH | RBLX |
|---|---|---|
| Return on Equity (TTM) | 16.50% | -354.27% |
| Return on Assets (TTM) | 12.14% | -13.06% |
| Net Profit Margin (TTM) | 11.89% | -23.67% |
| Operating Profit Margin (TTM) | 15.42% | -27.35% |
| Gross Profit Margin (TTM) | 34.18% | 78.01% |
Financial Strength
Current Ratio (MRQ)
CTSH
2.41
IT Services Industry
- Max
- 2.42
- Q3
- 1.81
- Median
- 1.47
- Q1
- 1.09
- Min
- 0.44
CTSH’s Current Ratio of 2.41 is in the upper quartile for the IT Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
RBLX
0.97
Entertainment Industry
- Max
- 6.80
- Q3
- 3.77
- Median
- 1.87
- Q1
- 0.86
- Min
- 0.39
RBLX’s Current Ratio of 0.97 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
CTSH
0.04
IT Services Industry
- Max
- 2.33
- Q3
- 1.17
- Median
- 0.54
- Q1
- 0.15
- Min
- 0.00
Falling into the lower quartile for the IT Services industry, CTSH’s Debt-to-Equity Ratio of 0.04 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
RBLX
2.85
Entertainment Industry
- Max
- 1.65
- Q3
- 0.71
- Median
- 0.14
- Q1
- 0.04
- Min
- 0.00
With a Debt-to-Equity Ratio of 2.85, RBLX operates with exceptionally high leverage compared to the Entertainment industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio (TTM)
CTSH
100.81
IT Services Industry
- Max
- 144.50
- Q3
- 84.49
- Median
- 13.76
- Q1
- 2.59
- Min
- -28.13
CTSH’s Interest Coverage Ratio of 100.81 is in the upper quartile for the IT Services industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
RBLX
-845.00
Entertainment Industry
- Max
- 62.11
- Q3
- 31.19
- Median
- 7.50
- Q1
- 2.02
- Min
- -6.33
RBLX has a negative Interest Coverage Ratio of -845.00. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | CTSH | RBLX |
|---|---|---|
| Current Ratio (MRQ) | 2.41 | 0.97 |
| Quick Ratio (MRQ) | 2.41 | 0.96 |
| Debt-to-Equity Ratio (MRQ) | 0.04 | 2.85 |
| Interest Coverage Ratio (TTM) | 100.81 | -845.00 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
CTSH
1.78%
IT Services Industry
- Max
- 2.80%
- Q3
- 1.74%
- Median
- 0.62%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.78%, CTSH offers a more attractive income stream than most of its peers in the IT Services industry, signaling a strong commitment to shareholder returns.
RBLX
0.00%
Entertainment Industry
- Max
- 2.54%
- Q3
- 1.29%
- Median
- 0.61%
- Q1
- 0.00%
- Min
- 0.00%
RBLX 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.
Dividend Payout Ratio (TTM)
CTSH
24.92%
IT Services Industry
- Max
- 147.75%
- Q3
- 63.58%
- Median
- 24.63%
- Q1
- 0.00%
- Min
- 0.00%
CTSH’s Dividend Payout Ratio of 24.92% is within the typical range for the IT Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
RBLX
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 45.76%
- Median
- 29.16%
- Q1
- 0.00%
- Min
- 0.00%
RBLX 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.
Dividend at a Glance
| Symbol | CTSH | RBLX |
|---|---|---|
| Dividend Yield (TTM) | 1.78% | 0.00% |
| Dividend Payout Ratio (TTM) | 24.92% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
CTSH
14.00
IT Services Industry
- Max
- 41.55
- Q3
- 31.54
- Median
- 23.25
- Q1
- 18.12
- Min
- 6.57
In the lower quartile for the IT Services industry, CTSH’s P/E Ratio of 14.00 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
RBLX
--
Entertainment Industry
- Max
- 53.51
- Q3
- 45.31
- Median
- 33.16
- Q1
- 18.21
- Min
- 3.89
P/E Ratio data for RBLX is currently unavailable.
Price-to-Sales Ratio (TTM)
CTSH
1.67
IT Services Industry
- Max
- 6.61
- Q3
- 4.37
- Median
- 2.02
- Q1
- 1.20
- Min
- 0.19
CTSH’s P/S Ratio of 1.67 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
RBLX
21.85
Entertainment Industry
- Max
- 12.81
- Q3
- 7.20
- Median
- 4.68
- Q1
- 3.32
- Min
- 0.79
With a P/S Ratio of 21.85, RBLX trades at a valuation that eclipses even the highest in the Entertainment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio (MRQ)
CTSH
2.52
IT Services Industry
- Max
- 11.19
- Q3
- 6.38
- Median
- 3.47
- Q1
- 2.31
- Min
- 0.96
CTSH’s P/B Ratio of 2.52 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
RBLX
202.01
Entertainment Industry
- Max
- 17.11
- Q3
- 8.38
- Median
- 5.24
- Q1
- 2.18
- Min
- 0.67
At 202.01, RBLX’s P/B Ratio is at an extreme premium to the Entertainment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | CTSH | RBLX |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 14.00 | -- |
| Price-to-Sales Ratio (TTM) | 1.67 | 21.85 |
| Price-to-Book Ratio (MRQ) | 2.52 | 202.01 |
| Price-to-Free Cash Flow Ratio (TTM) | 14.95 | 93.32 |