Cognizant Technology Solutions Current Ratio

CTSH Stock  USD 55.11  0.01  0.02%   
Cognizant Technology's Current Ratio page includes the metric definition, calculation formula, and current value. The calculation uses inputs from the most recent financial disclosure. Current Ratio is calculated by dividing the Current Assets of a company by its Current Liabilities. It measures whether or not a company has enough cash or liquid assets to pay its current liability over the next fiscal year. The ratio is regarded as a test of liquidity for a company.

Current Ratio

 = 

Current Asset

Current Liabilities

=

2.27 X

Typically, short-term creditors will prefer a high current ratio because it reduces their overall risk. However, investors may prefer a lower current ratio since they are more concerned about growing the business using assets of the company. Acceptable current ratios may vary from one sector to another, but the generally accepted benchmark is to have current assets at least twice current liabilities (i.e., Current Ratio of 2 to 1). This Current Ratio figure for Cognizant Technology is based on recent reported data. All data reflects publicly available financial reports.

Latest Cognizant Technology Current Ratio Growth Pattern

ViewLast Reported 2.27 X10 Years Trend
Moderate Variation
   Current Ratio   
       Timeline  

Current Ratio Trend Statistics

Cognizant Technology reports Current Ratio with a coefficient of variation of 21.3% over 15 periods, reflecting moderate dispersion around the mean. R-squared at 0.30 is consistent with a weak linear trend that explains limited variance.
Arithmetic Mean 2.83
Geometric Mean 2.77
Coefficient Of Variation 21.34
Mean Deviation 0.54
Median 2.91
Standard Deviation 0.60
Sample Variance 0.36
Range1.7247
R-Value-0.55
Mean Square Error 0.27
R-Squared 0.30
Significance 0.02
Slope-0.07
Total Sum of Squares 5.83

Cognizant Technology Current Ratio History

The series below tracks Cognizant Technology's Current Ratio over 15 periods, from 3.5 in 2012 to 3.66 in 2026.
2026 3.66
2025 2.34
2024 2.09
2023 2.25
2022 2.17
2021 2.08
2020 1.94
2019 2.55
2018 3.12
2017 3.21
2016 3.56
2015 2.91
2014 2.6
2013 3.46
2012 3.5

Correlation of Current Ratio With Other Accounts

The table presents linear correlations between Cognizant Technology's Current Ratio and adjacent financial accounts. Positive values indicate co-directional movement; negative values indicate inverse movement. These relationships describe association, not causation.

Related Fundamentals

Current Ratio Driver Correlations

The correlation data quantifies how Current Ratio at Cognizant Technology relates to other financial line items. These relationships describe association across reporting periods, not causation.
Competition

Cognizant Price To Sales Ratio

Price To Sales Ratio

1.8
Price To Sales Ratio stood at 1.89 as of December 31, 2025.

Fundamental Drivers Relationships

Current Ratio stood at 3.66 as of December 31, 2025. Related reported metrics: Other Current Liab at 2.8 Billion as of December 31, 2025; Total Current Liabilities at 3.84 Billion as of December 31, 2025.

Current Ratio Peer Comparison

Comparing Cognizant Technology's Current Ratio to that of its competitors is a reliable method for assessing relative value. Comparing Cognizant Technology's Current Ratio to peer stocks determines whether it trades at a premium or discount.
Cognizant Technology is currently under evaluation for current ratio among direct rivals.

Important Fundamentals

Financial Metrics, Fundamentals & Methodology

A closer look at Cognizant Technology shows how capital structure and profitability shape financial flexibility. Asset turnover ratios help show how efficiently Cognizant Technology is using its capital base. Cognizant Technology financial statements report revenue of 21.11 B, positive EPS of 4.56, operating margin of 16.0%, current ratio of 2.27 as of the latest reporting period.

Cognizant Technology Solutions values are built from periodic company reporting and market reference feeds, with reporting definitions aligned before display. Analyst inputs may be included when coverage is available. Reported income, balance-sheet, and cash-flow fields adhere to GAAP or IFRS presentation rules.

Editorial review and methodology oversight provided by: Rifka Kats, Member of Macroaxis Editorial Board