- Cognizant’s core growth seems to be slowing, and it hit some turbulence in the first quarter as its two main segments experience cost pressures.
- The company does have things going for it. The digital transformation of customers and its platform business allows for faster and less linear growth.
- The company also produces copious amounts free cash flow, allowing it to grow through acquisitions and reduce its share count and pay dividend.
- Cost cutting and a flatter organization structure should help, but whether this fully addresses the pressures of its financial and healthcare clients remains to be seen.
Source: Cognizant Becoming A Digital Transformation Solutions Provider – Cognizant Technology Solutions Corporation (NASDAQ:CTSH) | Seeking Alpha
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