Arm Holdings plc vs Cognizant Technology Solutions Corp — how do they compare? Arm Holdings plc trades at $271.14 (market cap $286.06B), while Cognizant Technology Solutions Corp trades at $58.48 (market cap $26.27B). The key difference: Arm Holdings plc is far larger — about 10.9× Cognizant Technology Solutions Corp's market cap, and Cognizant Technology Solutions Corp pays a 2.26% dividend while Arm Holdings plc pays none. Which is the better fit depends on your goals.
| ARM | CTSH | |
|---|---|---|
Market Cap | $286.06B | $26.27B |
Sector | Technology | Technology |
52-Week High | $439.46 | $86.70 |
52-Week Low | $104.55 | $38.73 |
Enterprise Value | $282.64B | $27.31B |
Dividend Yield | — | 2.26% |
Signals from Pluang's Aura AI — not financial advice
ARM stock trades at $282.57, down 1.43% over 24 hours, with a bullish technical outlook supported by moving averages and key support at $272. The company reported strong earnings beats in recent quarters, with Q2 2026 EPS of $0.45 beating the $0.40 estimate. Revenue grew to $4.01B in 2025, with a net income margin of 20.25%, though valuation multiples remain elevated with a P/E of 273.32.
The outlook is positive due to AI-driven growth in licensing and royalties, with management targeting $25B revenue by FY31. However, risks include stretched valuation, smartphone market headwinds, and execution challenges. Analyst consensus is bullish with a $329.80 price target, suggesting 17% upside from current levels.
CTSH trades at $57.67, up 1.37% with a bullish technical signal. Recent Q2 2026 earnings missed EPS estimates at $1.37 versus $1.38 expected, though revenues beat. The company maintains solid fundamentals with a P/E of 12.37 and ROE of 14.92%, supported by strong cash flow from operations of $2.88B in 2025. AI initiatives, including the new EMEA AI Unit, highlight growth efforts amid cautious client spending.
Outlook is mixed: valuation appears attractive with upside to the $59.92 consensus target, but risks include macroeconomic pressures on IT spending and competitive disruption from AI. Earnings consistency and AI adoption execution are critical for sustained gains.
Trailing returns across standard periods
Latest headlines on both assets
Arm Holdings designs the architecture for high-performance, energy-efficient processors used in nearly all smartphones and millions of other devices. Its intellectual property powers global computing from mobile to AI.
Read more on ARM →Cognizant is a global IT services provider, offering consulting and outsourcing services to some of the world's largest enterprises spanning the financial services, media and communications, healthcare, natural resources, and consumer products industries. Cognizant employs nearly 300,000 people globally, roughly 70% of whom are in India, although the company's headquarters are in Teaneck, New Jersey.
Read more on CTSH →