Cigniti Technologies Limited (CIGNITITEC) AI Stock Analysis

• Market Cap: ₹41.85B
• Dividend Yield: 0.35%
• Average Volume (3M): 3.85K
• Price to Earnings (P/E): 16.4
• Beta (1Y): 0.80
• Revenue Growth: 12.80%
• EPS Growth: 93.53%
• Country: IN
• Employees: 3,891
• Sector: Technology
• Sector Strength: 97
• Industry: Information Technology Services
• EPS (TTM): 24.05
• Shares Outstanding: 27,396,960
• 10 Day Avg. Volume: 3,402
• 30 Day Avg. Volume: 3,846
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹1,708.00
• Price Target Upside: 11.81% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: ₹1,708.00 ▲(11.81% Upside)

Cigniti Technologies receives a moderate overall score, primarily driven by its strong financial performance and solid valuation. However, bearish technical indicators suggest caution, as the stock is currently in a downtrend with oversold conditions. Investors should monitor technical trends closely while considering the company's strong financial foundation.

Cigniti Technologies Limited Business Overview & Revenue Model

Company Description

Cigniti Technologies Limited is a leading independent quality engineering and software testing services company. Headquartered in India, the company operates in the IT services sector, providing a comprehensive suite of services including quality assurance, test automation, performance testing, and other specialized testing services. Cigniti's core focus is to help enterprises accelerate their digital transformation by ensuring their software products and applications are reliable, efficient, and of high quality.

How the Company Makes Money

Cigniti Technologies Limited generates revenue primarily through its software testing and quality engineering services. The company's revenue model is based on service contracts with clients across various industries, including banking, healthcare, retail, and telecommunications. Key revenue streams include consultancy fees for quality assurance and testing services, subscription-based models for ongoing testing support, and project-based fees for specific testing assignments. Significant partnerships with technology providers and client agreements contribute to its earnings by expanding its service offerings and providing access to a broader client base. The company's emphasis on leveraging emerging technologies like AI and automation also plays a crucial role in enhancing service efficiency and, consequently, its profitability.

Cigniti Technologies Limited Financial Statement Overview

Summary

Cigniti Technologies shows strong financial health with robust revenue growth, effective profitability management, and impressive cash flow generation. The income statement reflects solid operational performance, though recent net income declines warrant attention. The balance sheet is stable with low leverage, and cash flow highlights strong cash management practices.

Income Statement

Cigniti Technologies has demonstrated strong revenue growth with a consistent upward trajectory in total revenue from 2020 to 2025, indicating robust business expansion. The company's gross profit margin and net profit margin have also shown an improvement, reflecting effective cost management and profitability. The EBIT and EBITDA margins underscore solid operational performance. However, attention should be given to the decrease in net income in the latest year, which might indicate some pressure on bottom-line profitability.

Balance Sheet

The company's balance sheet highlights a healthy financial position with a low debt-to-equity ratio, suggesting conservative leverage and financial stability. The increase in stockholders' equity over the years indicates strong shareholder value growth. Additionally, the equity ratio demonstrates effective asset management. Despite these strengths, monitoring the total debt levels is crucial to ensure continued financial health.

Cash Flow

Cigniti Technologies' cash flow statements reveal a strong free cash flow generation capability, with a significant increase in free cash flow over the years. The operating cash flow to net income ratio is healthy, indicating efficient cash conversion from earnings. The company's ability to maintain positive free cash flow despite varying capital expenditures and financing activities further underscores its strong cash management practices.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	20.14B	20.14B	18.15B	16.48B	12.42B	8.97B
Gross Profit	6.44B	7.96B	6.91B	6.83B	4.94B	3.70B
EBITDA	3.17B	2.89B	2.55B	2.52B	1.43B	1.59B
Net Income	2.00B	2.00B	1.66B	1.68B	917.44M	1.05B
Balance Sheet
Total Assets	12.39B	12.39B	10.06B	8.46B	6.98B	5.32B
Cash, Cash Equivalents and Short-Term Investments	4.00B	4.00B	4.08B	2.82B	2.36B	2.08B
Total Debt	279.38M	279.38M	572.35M	557.66M	800.40M	456.76M
Total Liabilities	2.76B	2.76B	2.68B	2.57B	2.38B	1.60B
Stockholders Equity	9.63B	9.63B	7.38B	5.89B	4.60B	3.72B
Cash Flow
Free Cash Flow	0.00	1.46B	1.24B	1.44B	175.96M	1.42B
Operating Cash Flow	0.00	1.60B	1.29B	1.57B	382.14M	1.45B
Investing Cash Flow	0.00	-176.07M	-381.20M	-564.62M	-523.61M	-438.70M
Financing Cash Flow	0.00	-175.82M	-395.05M	-687.61M	-196.60M	-143.36M

Cigniti Technologies Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1527.55
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CIGNITITEC, the sentiment is Negative. The current price of 1527.55 is below the 20-day moving average (MA) of 1627.61, below the 50-day MA of 1693.60, and below the 200-day MA of 1556.49, indicating a bearish trend. The MACD of -49.82 indicates Positive momentum. The RSI at 38.30 is Neutral, neither overbought nor oversold. The STOCH value of 23.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:CIGNITITEC.

Cigniti Technologies Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RSYSTEMS	73 Outperform	₹51.03B	35.85		2.90%	4.36%	35.84%
SAKSOFT	68 Neutral	₹27.35B	22.72		0.39%	19.50%	18.47%
CIGNITITEC	67 Neutral	₹41.85B	16.44		0.35%	12.80%	93.53%
SASKEN	67 Neutral	₹22.46B	44.53		2.53%	35.55%	-36.31%
DATAMATICS	63 Neutral	₹62.69B	29.56		0.50%	15.72%	13.43%
RPSGVENT	59 Neutral	₹29.29B	―		―	23.16%	40.08%
Sector *	50 Neutral	C$3.52B	0.80	-5.03%	7.64%	16.88%	-2.22%