Which Is a Better Investment, Cognizant Technology Solutions Corp or Okta Inc Stock?

By AAII Staff
September 03, 2026
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Sifting through countless of stocks in the IT Services industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Okta, Inc. or Cognizant Technology Solutions Corporation because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Okta, Inc. and Cognizant Technology Solutions Corporation compare based on key financial metrics to determine which better meets your investment needs.

About Okta, Inc. and Cognizant Technology Solutions Corporation

Okta, Inc. operates as an identity partner in the United States and internationally. It offers Single Sign-on to secure access to cloud and on-premises applications from any device; Adaptive MFA for a risk-based layer of security for an organization’s cloud, mobile, and web applications; API Access Management, which enables organizations to secure APIs as systems; Access Gateway, which extends the Okta platform to hybrid IT environments; Okta Device Access, which extends Okta platform’s secure access management to the device login experience; Universal Directory for a cloud-based system of record. The company also provides Identity Threat Protection; Identity Security Posture Management for security measures and safeguards digital assets; Okta for AI Agents to discover, register, authenticate, govern, and manage AI Agents; Identity Governance and Administration products, including Lifecycle Management, Okta Workflows, Okta Identity Governance, and Cross App Access; Advanced Server Access for continuous and contextual access management to secure cloud infrastructure; and Okta Privileged Access to reduce risk with unified access and governance management. In addition, it provides Universal Login, a standards-based login infrastructure; Attack Protection Suite to minimize risks associated with identity-targeted attacks; Adaptive MFA; Passwordless, which enables users to login without a password; Machine-to-Machine Tokens for authentication and authorization with NHIs; Private Cloud, a deployment option; Organizations, which support a large number of partners or customers; Extensibility, which enables customers to build customized identity flows; Fine Grained Authorization, which manages complex authorization scenarios; and Auth0 for AI Agents to secure and scale agentic applications. The company was formerly known as Saasure, Inc. Okta, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.

Cognizant Technology Solutions Corporation, a professional services company, provides consulting and technology, and outsourcing services in North America, Europe, and internationally. It operates through four segments: Financial Services; Health Sciences; Products and Resources; and Communications, Media and Technology. The company provides services including artificial intelligence (AI) and other technology services and solutions, consulting, application development, systems integration, quality engineering and assurance, engineering research and development, application maintenance, infrastructure, security, and business process services and automation. It also offers AI-led automation, which includes advisory, and process and IT automation solutions designed to simplify and accelerate automation adoption; business process outsourcing services, which help deliver business outcomes including revenue growth, increased customer and employee satisfaction, and cost savings; and Cognizant Moment, a digital experience service that uses AI to reimagine customer experiences and engineer strategies aimed at driving growth. In addition, the company develops, licenses, implements, and supports proprietary and third-party software products and platforms; and develops industry-specific products and services. It offers solution to healthcare providers and payers, life sciences companies, banking, capital markets, payments and insurance companies, manufacturers, automakers, retailers, consumer goods, travel and hospitality, communications, media and entertainment, education, information services, and technology companies, as well as businesses providing logistics, energy, and utility services. The company has a strategic partnership with Uniphore Technologies Inc. for the development of AI solutions that combine small language models and AI agents. Cognizant Technology Solutions Corporation was incorporated in 1988 and is headquartered in Teaneck, New Jersey.

Latest IT Services and Okta, Inc., Cognizant Technology Solutions Corporation Stock News

As of September 2, 2026, Okta, Inc. had a $28.5 billion market capitalization, compared to the IT Services median of $1.0 million. Okta, Inc.’s stock is up 97.1% in 2026, down 1.4% in the previous five trading days and up 82.29% in the past year.

Currently, Okta, Inc.’s price-earnings ratio is 99.2. Okta, Inc.’s trailing 12-month revenue is $3.1 billion with a 9.6% net profit margin. Year-over-year quarterly sales growth most recently was 10.6%. Analysts expect adjusted earnings to reach $3.929 per share for the current fiscal year. Okta, Inc. does not currently pay a dividend.

As of September 2, 2026, Cognizant Technology Solutions Corporation had a $28.6 billion market cap, putting it in the 89th percentile of all stocks. Cognizant Technology Solutions Corporation’s stock is down 22.1% in 2026, up 1.4% in the previous five trading days and down 11.68% in the past year.

Currently, Cognizant Technology Solutions Corporation’s price-earnings ratio is 13.7. Cognizant Technology Solutions Corporation’s trailing 12-month revenue is $21.6 billion with a 10.3% net profit margin. Year-over-year quarterly sales growth most recently was 4.5%. Analysts expect adjusted earnings to reach $5.737 per share for the current fiscal year. Cognizant Technology Solutions Corporation currently has a 2.1% dividend yield.

How We Compare Okta, Inc. and Cognizant Technology Solutions Corporation Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Okta, Inc. and Cognizant Technology Solutions Corporation’s stock grades to see how they measure up against one another.

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Okta, Inc. and Cognizant Technology Solutions Corporation Stock Value Grades

Company Ticker Value
Okta, Inc. OKTA F
Cognizant Technology Solutions Corporation CTSH B

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

Okta, Inc. has a Value Score of 12, which is Ultra Expensive. Cognizant Technology Solutions Corporation has a Value Score of 79, which is Value.

The Value Stock Winner: Cognizant Technology Solutions Corporation

As you can clearly see from the Value Grade breakdown above, Cognizant Technology Solutions Corporation is considered to have better value than Okta, Inc.. For investors who focus solely on a company’s valuation, Cognizant Technology Solutions Corporation could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Okta, Inc. and Cognizant Technology Solutions Corporation Growth Grades

Company Ticker Growth
Okta, Inc. OKTA B
Cognizant Technology Solutions Corporation CTSH B

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

Okta, Inc. has a Growth Score of 69, which is Strong. Cognizant Technology Solutions Corporation has a Growth Score of 73, which is Strong.

The Growth Grade Winner: It’s a Tie!

Looking at the Growth Grade breakdown above, both Okta, Inc. and Cognizant Technology Solutions Corporation have a grade of B. For investors who focus solely on a company’s upward growth, further research should be conducted into both companies’ other financial metrics before deciding whether to invest.

Okta, Inc. and Cognizant Technology Solutions Corporation’s Estimate Revisions Grades

Company Ticker Earnings Estimate
Okta, Inc. OKTA B
Cognizant Technology Solutions Corporation CTSH C

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Okta, Inc. has a Earnings Estimate Score of 79, which is Positive. Cognizant Technology Solutions Corporation has a Earnings Estimate Score of 53, which is Neutral.

The Earnings Estimate Revisions Grade Winner: Okta, Inc.

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, Okta, Inc. has a better Earnings Estimate Revisions Grade than Cognizant Technology Solutions Corporation. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, Okta, Inc. could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Don’t Forget Your Free Special Report on How A+ Grades Can Help You Make Investment Decisions

Other Okta, Inc. and Cognizant Technology Solutions Corporation Grades

In addition to Value, Growth and Estimate Revisions, A+ Investor also provides grades for Momentum and Quality.

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Momentum grades help uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Okta, Inc. and Cognizant Technology Solutions Corporation pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Okta, Inc. or Cognizant Technology Solutions Corporation Stock?

Overall, Okta, Inc. stock has a Value Score of 12, Growth Score of 69 and Estimate Revisions Score of 79.

Cognizant Technology Solutions Corporation stock has a Value Score of 79, Growth Score of 73 and Estimate Revisions Score of 53.

Comparing Okta, Inc. and Cognizant Technology Solutions Corporation’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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