Analysis

Unearthing Value in the Tech Sector: Is CTSH Primed for Your Portfolio?

Published May 23, 2024

Investment strategies are as diverse as investors themselves, often aligning with personal goals and risk tolerance. Among the various approaches, value investing stands as a tried-and-true principle: finding undervalued stocks that the market has overlooked. If you classify yourself as a value investor—or even if you resonate more with growth or momentum investing—there's a tool that could simplify your quest for strong stocks: the Zacks Style Scores. As part of the comprehensive Zacks Premium research service, these scores help you identify stocks that match your individual investment style.

Understanding Zacks Style Scores

The Zacks Style Scores are a distinctive feature that categorize stocks based on specific metrics, including value, growth, and momentum characteristics. By leveraging these scores, investors can streamline the process of finding stocks that align with their preferred investing strategies. When it comes to unearthing potential value picks, these scores can be especially revealing.

A Tech Stock for Value Investors: CTSH

For those in search of a stock that embodies the value investment philosophy, consider CTSH, the ticker for Cognizant Technology Solutions Corp. Cognizant, an established player in the technology arena, offers business consulting, information technology, and outsourcing services. With its headquarters in Teaneck, New Jersey, Cognizant has carved out a significant presence in the multinational tech landscape.

Examining CTSH through the lens of the Zacks Style Scores, we find indicators suggesting that it might be an undervalued gem within the tech sector. Seeking out such opportunities within the often volatile technology market requires patience and a keen eye for stocks that possess strong fundamentals yet are trading at prices less than their intrinsic values. CTSH might just embody that sweet spot for value-conscious investors who are also comfortable stepping into the tech world.

While Zacks Style Scores are a compelling tool, investors should always conduct thorough due diligence. Evaluating CTSH's financial health, market position, and future growth prospects is essential before making an investment decision. Combining these more detailed insights with the Zacks Style Scores' evaluation could reveal whether CTSH is indeed the perfect pick for your value-driven investment portfolio.

value, investment, stock