TravelSky Technology (OTCMKTS:TSYHY) & Cognizant Technology Solutions (NASDAQ:CTSH) Financial Survey

TravelSky Technology (OTCMKTS:TSYHY) and Cognizant Technology Solutions (NASDAQ:CTSH) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, dividends, profitability, valuation and risk.

Risk & Volatility

TravelSky Technology has a beta of -0.21, suggesting that its share price is 121% less volatile than the S&P 500. Comparatively, Cognizant Technology Solutions has a beta of 0.98, suggesting that its share price is 2% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for TravelSky Technology and Cognizant Technology Solutions, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TravelSky Technology	0	0	0	0	0.00
Cognizant Technology Solutions	0	13	9	0	2.41

Cognizant Technology Solutions has a consensus price target of $85.47, indicating a potential upside of 41.54%. Given Cognizant Technology Solutions’ stronger consensus rating and higher possible upside, analysts clearly believe Cognizant Technology Solutions is more favorable than TravelSky Technology.

Earnings and Valuation

This table compares TravelSky Technology and Cognizant Technology Solutions”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TravelSky Technology	$1.22 billion	3.14	$325.75 million	N/A	N/A
Cognizant Technology Solutions	$21.11 billion	1.37	$2.23 billion	$4.55	13.27

Cognizant Technology Solutions has higher revenue and earnings than TravelSky Technology.

Dividends

TravelSky Technology pays an annual dividend of $0.28 per share and has a dividend yield of 2.1%. Cognizant Technology Solutions pays an annual dividend of $1.32 per share and has a dividend yield of 2.2%. Cognizant Technology Solutions pays out 29.0% of its earnings in the form of a dividend. Cognizant Technology Solutions has raised its dividend for 6 consecutive years. Cognizant Technology Solutions is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Institutional and Insider Ownership

92.4% of Cognizant Technology Solutions shares are held by institutional investors. 0.3% of Cognizant Technology Solutions shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares TravelSky Technology and Cognizant Technology Solutions’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TravelSky Technology	N/A	N/A	N/A
Cognizant Technology Solutions	10.56%	17.17%	12.74%

Summary

Cognizant Technology Solutions beats TravelSky Technology on 13 of the 15 factors compared between the two stocks.

About TravelSky Technology

TravelSky Technology Limited, together with its subsidiaries, provides information technology solutions for aviation and travel industries in the People’s Republic of China. It primarily offers aviation information technology (AIT), distribution information technology, accounting, settlement, and clearing services. The company’s AIT services include electronic travel distribution services, including inventory control system, computer reservation system, and airport passenger processing system services, as well as other related information technology solutions. It also provides cargo management services, as well as sells and installs related information systems; computer hardware and software development, and data network services; and computer system engineering design and installation and payment services. In addition, the company engages in technology development; sales of computers and auxiliary equipment; contracting of computer software and hardware engineering projects; technical consultation and service; system integration; real estate development and sales; self-developed commercial housing contracting; labor service subcontracting; freight management services; and trade financing services. TravelSky Technology Limited was founded in 1979 and is based in Wanchai, Hong Kong.

About Cognizant Technology Solutions

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 customer experience, robotic process automation, analytics, and AI services in areas, such as digital lending, fraud detection, and next generation payments; the shift towards consumerism, outcome-based contracting, digital health, delivering integrated seamless, omni-channel, and patient-centered experience; and services that drive operational improvements in areas, such as clinical development, pharmacovigilance, and manufacturing, as well as claims processing, enrollment, membership, and billing to healthcare providers and payers, and life sciences companies, including pharmaceutical, biotech, and medical device companies. It offers solution to manufacturers, automakers, retailers and travel and hospitality companies, as well as companies providing logistics, energy and utility services; and digital content, business process improvement, technology modernization, and the creation of unified and compelling user experience services to communications, media and entertainment, education, and information services and technology companies. The company was incorporated in 1988 and is headquartered in Teaneck, New Jersey.