Subex vs Cognizant Technology Solutions Which Is More Promising?

Subex Ltd. and Cognizant Technology Solutions Corporation are two prominent players in the technology industry, each with its own unique strengths and offerings. Subex specializes in providing solutions for telecom companies to manage and optimize their operations, while Cognizant offers a wide range of IT services and consulting solutions to businesses worldwide. Both companies have seen fluctuations in their stock prices over the years, presenting investors with opportunities for growth and diversification in their portfolios. This comparison aims to analyze the performance of Subex and Cognizant stocks to help investors make informed decisions about their investment strategies.

Subex or Cognizant Technology Solutions?

When comparing Subex and Cognizant Technology Solutions, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Subex and Cognizant Technology Solutions.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Subex has a dividend yield of -%, while Cognizant Technology Solutions has a dividend yield of 1.5%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Subex reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Cognizant Technology Solutions reports a 5-year dividend growth of 3.01% year and a payout ratio of 26.47%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Subex P/E ratio at -8.85 and Cognizant Technology Solutions's P/E ratio at 17.63. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Subex P/B ratio is 4.70 while Cognizant Technology Solutions's P/B ratio is 2.75.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Subex has seen a 5-year revenue growth of -0.10%, while Cognizant Technology Solutions's is 0.38%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Subex's ROE at -46.34% and Cognizant Technology Solutions's ROE at 16.36%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹24.20 for Subex and $79.49 for Cognizant Technology Solutions. Over the past year, Subex's prices ranged from ₹21.99 to ₹45.80, with a yearly change of 108.28%. Cognizant Technology Solutions's prices fluctuated between $63.79 and $82.41, with a yearly change of 29.19%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.