Seek Returns

CTSH vs. SAP: Cognizant vs. SAP Stock Comparison

How do Cognizant (CTSH) and SAP (SAP) 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

Cognizant (CTSH) and SAP (SAP) both fall under the Software & Services industry group, but CTSH is classified in IT Services while SAP is classified in Software.

Cognizant (CTSH) trades as ordinary local shares, while SAP (SAP) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for Cognizant (CTSH) and SAP (SAP)
Profile ItemCTSHSAP
NameCognizant Technology Solutions Corp. Class A Common StockSAP SE Sponsored ADR
Country/RegionUnited StatesGermany
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustryIT ServicesSoftware
GICS Sub-IndustryIT Consulting & Other ServicesApplication Software
Market Capitalization28.93 billion USD269.45 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateJune 19, 1998September 18, 1995
Security TypeCommon StockADR

Price Performance

Cumulative Growth

CTSH
SAP
GSPC
Loading price history…
Cognizant (CTSH) vs. SAP (SAP), 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

Loading price history…
Trailing total returns for Cognizant (CTSH) and SAP (SAP). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for Cognizant (CTSH) and SAP (SAP). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
Total Return (1Y)-10.80%-3.87%
Total Return (3Y, Annualized)1.40%20.21%
Total Return (5Y, Annualized)-2.88%11.79%

Risk Profile

Drawdown History

CTSH
SAP
GSPC
Loading price history…
Cognizant (CTSH) vs. SAP (SAP), 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

Loading price history…
Distribution of monthly total returns for Cognizant (CTSH) and SAP (SAP). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
Volatility (1Y, Annualized)43.62%39.05%
Beta (5Y)0.831.09
Max Drawdown (5Y)-56.08%-52.26%
Avg. Volume (3M)6.65M2.27M

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
CTSH and SAP 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 Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
Sharpe Ratio (1Y)-0.35-0.21
Sortino Ratio (1Y)-0.50-0.29

Profitability

ROE (TTM)

SAP (SAP) at 18.18% sits in the top ROE quartile, while Cognizant (CTSH) at 17.37% is closer to the peer norm — stronger capital efficiency for SAP.

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%

SAP

Software & Services industry group

18.18%

Max
53.85%
SAP
18.18%
Q3
17.90%
Median
6.59%
Q1
-9.59%
Min
-50.52%
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

SAP (SAP) at 20.41% retains a top-quartile share of revenue as profit, ahead of Cognizant (CTSH) at 11.75%, which keeps about the industry-typical share.

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%

SAP

Software & Services industry group

20.41%

Max
41.17%
SAP
20.41%
Q3
15.28%
Median
4.63%
Q1
-5.42%
Min
-33.17%
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

SAP (SAP) at 29.50% operates in the top operating margin quartile, ahead of Cognizant (CTSH) at 16.30%, which runs around its industry’s norm.

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%

SAP

Software & Services industry group

29.50%

Max
46.89%
SAP
29.50%
Q3
17.64%
Median
8.73%
Q1
-2.13%
Min
-30.45%
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
ROE (TTM)17.37%18.18%
ROA (TTM)10.78%9.91%
Net Margin (TTM)11.75%20.41%
Operating Margin (TTM)16.30%29.50%
Gross Margin (TTM)33.42%73.58%

Growth

Revenue Growth

SAP (SAP) at 7.68% is around its peer norm for revenue growth, while Cognizant (CTSH) at 6.95% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their Revenue Growth across different time periods.

EPS Growth

SAP (SAP) at 130.19% sits in the top EPS growth quartile, while Cognizant (CTSH) at 1.11% is closer to the peer norm — faster per-share earnings growth for SAP.

Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
Revenue Growth (YoY)6.95%7.68%
Revenue Growth (3Y CAGR)2.80%7.63%
EPS Growth (YoY)1.11%130.19%
EPS Growth (3Y CAGR)1.12%46.25%

Financial Strength

Current Ratio (MRQ)

Both Cognizant (CTSH) at 2.22 and SAP (SAP) at 1.16 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

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

SAP

Software & Services industry group

1.16

Max
5.11
Q3
2.77
Median
1.67
SAP
1.16
Q1
1.01
Min
0.03
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

Both Cognizant (CTSH) at 0.14 and SAP (SAP) at 0.23 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

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

SAP

Software & Services industry group

0.23

Max
2.52
Q3
1.13
Median
0.40
SAP
0.23
Q1
0.07
Min
0.00
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
Current Ratio (MRQ)2.221.16
Debt / Equity (MRQ)0.140.23
Net Debt / EBITDA0.14-0.03

Dividends

Dividend Yield (TTM)

Both Cognizant (CTSH) at 1.98% and SAP (SAP) at 1.03% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

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%

SAP

Software & Services industry group

1.03%

SAP
1.03%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both Cognizant (CTSH) at 23.72% and SAP (SAP) at 36.45% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.

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%

SAP

Software & Services industry group

36.45%

SAP
36.45%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
Dividend Yield (TTM)1.98%1.03%
Dividend Payout Ratio (TTM)23.72%36.45%

Valuation

P/E Ratio (TTM)

Cognizant (CTSH) at 11.81 sits in the cheaper P/E ratio quartile, while SAP (SAP) at 29.07 is closer to its industry’s usual earnings multiple — a discount for CTSH, though growth and earnings durability still matter.

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

SAP

Software & Services industry group

29.07

Max
112.94
Q3
60.32
Median
32.91
SAP
29.07
Q1
18.77
Min
6.69
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

Cognizant (CTSH) at 1.32 sits in the cheaper P/S ratio quartile while SAP (SAP) at 6.84 prices around its industry’s middle — CTSH costs less per dollar of sales, though read it alongside growth and margins.

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

SAP

Software & Services industry group

6.84

Max
17.91
Q3
8.78
SAP
6.84
Median
4.25
Q1
2.23
Min
0.02
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

Cognizant (CTSH) at 1.97 sits near its industry’s typical P/B ratio, while SAP (SAP) at 73.25 prices above its benchmark range — SAP looks rich relative to book.

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

SAP

Software & Services industry group

73.25

SAP
73.25
Max
16.63
Q3
8.50
Median
4.30
Q1
1.92
Min
-3.90
Loading chart…
Cognizant (CTSH) vs. SAP (SAP): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Cognizant (CTSH) and SAP (SAP)
MetricCTSHSAP
P/E Ratio (TTM)11.8129.07
P/S Ratio (TTM)1.326.84
P/B Ratio (MRQ)1.9773.25
Free Cash Flow Yield (TTM)7.19%3.73%