Free cash flow
Cognizant Free cash flow decreased by 74.6% to $198.00M in Q1 2026 compared to the prior quarter. Year-over-year, this metric declined by 38.7%, from $323.00M to $198.00M. Over 4 years (FY 2021 to FY 2025), Free cash flow shows an upward trend with a 4.0% CAGR. This decline may warrant attention — for this metric, higher values are generally preferred.
Analysis
How to read this metric
An increase suggests improved operational efficiency or reduced capital intensity, providing more flexibility for capital allocation. A decrease may indicate higher investment in R&D or infrastructure, or potential challenges in converting earnings into cash.
Detailed definition
Free cash flow represents the cash generated by a company after accounting for cash outflows to support operations and m...
Peer comparison
Large-cap medical device and pharmaceutical peers typically maintain strong, positive free cash flow, though levels vary based on the intensity of R&D spending and the lifecycle stage of major product lines.
free_cash_flowHistorical Data
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $466.00M | $897.00M | $760.00M | $186.00M | $485.00M | $953.00M | $612.00M | $631.00M | $0.00 | $755.00M | $659.00M | $16.00M | $183.00M | $791.00M | $837.00M | $323.00M | $331.00M | $1.16B | $781.00M | $198.00M |
| QoQ Change | — | +92.5% | -15.3% | -75.5% | +160.8% | +96.5% | -35.8% | +3.1% | -100.0% | — | -12.7% | -97.6% | >999% | +332.2% | +5.8% | -61.4% | +2.5% | +250.5% | -32.7% | -74.6% |
| YoY Change | — | — | — | — | +4.1% | +6.2% | -19.5% | +239.2% | -100.0% | -20.8% | +7.7% | -97.5% | — | +4.8% | +27.0% | >999% | +80.9% | +46.6% | -6.7% | -38.7% |
Free cash flow at Other Companies
Frequently Asked Questions
- What is Cognizant's free cash flow?
- Cognizant (CTSH) reported free cash flow of $198.00M in Q1 2026.
- How has Cognizant's free cash flow changed year-over-year?
- Cognizant's free cash flow decreased by 38.7% year-over-year, from $323.00M to $198.00M.
- What is the long-term trend for Cognizant's free cash flow?
- Over 4 years (2021 to 2025), Cognizant's free cash flow has grown at a 4.0% compound annual growth rate (CAGR), from $2.22B to $2.60B.
- What does free cash flow mean?
- The cash remaining after a company pays for its operating expenses and capital investments.