CTSH vs. UI: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at CTSH and UI, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | CTSH | UI |
|---|---|---|
| Company Name | Cognizant Technology Solutions Corporation | Ubiquiti Inc. |
| Country | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | IT Services | Communications Equipment |
| Market Capitalization | 32.71 billion USD | 40.80 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | June 19, 1998 | October 14, 2011 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of CTSH and UI 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 | UI |
|---|---|---|
| 5-Day Price Return | -1.89% | 3.45% |
| 13-Week Price Return | -14.05% | 60.47% |
| 26-Week Price Return | -13.85% | 110.18% |
| 52-Week Price Return | -12.77% | 200.36% |
| Month-to-Date Return | -7.17% | 25.08% |
| Year-to-Date Return | -12.78% | 99.01% |
| 10-Day Avg. Volume | 5.32M | 0.20M |
| 3-Month Avg. Volume | 3.92M | 0.14M |
| 3-Month Volatility | 22.92% | 74.34% |
| Beta | 0.98 | 1.49 |
Profitability
Return on Equity (TTM)
CTSH
16.50%
IT Services Industry
- Max
- 32.78%
- Q3
- 19.28%
- Median
- 13.86%
- Q1
- 5.50%
- Min
- -10.00%
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.
UI
179.90%
Communications Equipment Industry
- Max
- 32.30%
- Q3
- 20.90%
- Median
- 9.10%
- Q1
- 4.29%
- Min
- -13.50%
UI’s Return on Equity of 179.90% is exceptionally high, placing it well beyond the typical range for the Communications Equipment industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Net Profit Margin (TTM)
CTSH
11.89%
IT Services Industry
- Max
- 19.71%
- Q3
- 11.01%
- Median
- 6.66%
- Q1
- 2.96%
- Min
- -6.22%
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.
UI
27.66%
Communications Equipment Industry
- Max
- 23.65%
- Q3
- 12.56%
- Median
- 5.62%
- Q1
- 2.50%
- Min
- -3.09%
UI’s Net Profit Margin of 27.66% is exceptionally high, placing it well beyond the typical range for the Communications Equipment industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin (TTM)
CTSH
15.42%
IT Services Industry
- Max
- 22.44%
- Q3
- 14.90%
- Median
- 8.82%
- Q1
- 4.91%
- Min
- -9.89%
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.
UI
32.50%
Communications Equipment Industry
- Max
- 25.23%
- Q3
- 13.72%
- Median
- 6.44%
- Q1
- 3.00%
- Min
- -10.95%
UI’s Operating Profit Margin of 32.50% is exceptionally high, placing it well above the typical range for the Communications Equipment industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | CTSH | UI |
|---|---|---|
| Return on Equity (TTM) | 16.50% | 179.90% |
| Return on Assets (TTM) | 12.14% | 55.77% |
| Net Profit Margin (TTM) | 11.89% | 27.66% |
| Operating Profit Margin (TTM) | 15.42% | 32.50% |
| Gross Profit Margin (TTM) | 34.18% | 43.42% |
Financial Strength
Current Ratio (MRQ)
CTSH
2.41
IT Services Industry
- Max
- 3.17
- Q3
- 2.00
- Median
- 1.47
- Q1
- 1.05
- Min
- 0.52
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.
UI
1.65
Communications Equipment Industry
- Max
- 3.33
- Q3
- 2.13
- Median
- 1.55
- Q1
- 1.15
- Min
- 0.91
UI’s Current Ratio of 1.65 aligns with the median group of the Communications Equipment 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
- 3.11
- Q3
- 1.55
- Median
- 0.55
- Q1
- 0.17
- 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.
UI
0.37
Communications Equipment Industry
- Max
- 1.44
- Q3
- 0.86
- Median
- 0.53
- Q1
- 0.22
- Min
- 0.00
UI’s Debt-to-Equity Ratio of 0.37 is typical for the Communications Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
CTSH
100.81
IT Services Industry
- Max
- 129.00
- Q3
- 56.00
- Median
- 11.69
- Q1
- 0.77
- Min
- -28.15
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.
UI
27.30
Communications Equipment Industry
- Max
- 55.49
- Q3
- 34.19
- Median
- 7.59
- Q1
- 3.73
- Min
- -9.94
UI’s Interest Coverage Ratio of 27.30 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | CTSH | UI |
|---|---|---|
| Current Ratio (MRQ) | 2.41 | 1.65 |
| Quick Ratio (MRQ) | 2.41 | 0.62 |
| Debt-to-Equity Ratio (MRQ) | 0.04 | 0.37 |
| Interest Coverage Ratio (TTM) | 100.81 | 27.30 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
CTSH
1.86%
IT Services Industry
- Max
- 2.79%
- Q3
- 1.76%
- Median
- 0.58%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 1.86%, CTSH offers a more attractive income stream than most of its peers in the IT Services industry, signaling a strong commitment to shareholder returns.
UI
0.36%
Communications Equipment Industry
- Max
- 8.13%
- Q3
- 3.29%
- Median
- 0.94%
- Q1
- 0.00%
- Min
- 0.00%
UI’s Dividend Yield of 0.36% is consistent with its peers in the Communications Equipment industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
CTSH
24.92%
IT Services Industry
- Max
- 107.85%
- Q3
- 52.62%
- Median
- 22.53%
- 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.
UI
20.39%
Communications Equipment Industry
- Max
- 111.16%
- Q3
- 70.91%
- Median
- 30.78%
- Q1
- 0.00%
- Min
- 0.00%
UI’s Dividend Payout Ratio of 20.39% is within the typical range for the Communications Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | CTSH | UI |
|---|---|---|
| Dividend Yield (TTM) | 1.86% | 0.36% |
| Dividend Payout Ratio (TTM) | 24.92% | 20.39% |
Valuation
Price-to-Earnings Ratio (TTM)
CTSH
13.36
IT Services Industry
- Max
- 56.41
- Q3
- 33.17
- Median
- 23.17
- Q1
- 16.18
- Min
- 6.62
In the lower quartile for the IT Services industry, CTSH’s P/E Ratio of 13.36 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
UI
57.28
Communications Equipment Industry
- Max
- 103.74
- Q3
- 61.65
- Median
- 26.20
- Q1
- 18.12
- Min
- 4.19
UI’s P/E Ratio of 57.28 is within the middle range for the Communications Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
CTSH
1.59
IT Services Industry
- Max
- 5.99
- Q3
- 4.26
- Median
- 1.93
- Q1
- 0.97
- Min
- 0.12
CTSH’s P/S Ratio of 1.59 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.
UI
15.84
Communications Equipment Industry
- Max
- 6.86
- Q3
- 6.24
- Median
- 2.44
- Q1
- 1.02
- Min
- 0.48
With a P/S Ratio of 15.84, UI trades at a valuation that eclipses even the highest in the Communications Equipment 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
- 12.34
- Q3
- 7.54
- Median
- 3.84
- Q1
- 2.52
- Min
- 0.88
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.
UI
37.26
Communications Equipment Industry
- Max
- 6.28
- Q3
- 5.73
- Median
- 3.32
- Q1
- 2.02
- Min
- 0.42
At 37.26, UI’s P/B Ratio is at an extreme premium to the Communications Equipment 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 | UI |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 13.36 | 57.28 |
| Price-to-Sales Ratio (TTM) | 1.59 | 15.84 |
| Price-to-Book Ratio (MRQ) | 2.52 | 37.26 |
| Price-to-Free Cash Flow Ratio (TTM) | 14.26 | 64.99 |