CTSH is another good catch by Warren, they are a lot like AGI Partners, which is the Round Table Consulting Group's LLC that's raising capital at the moment.
CTSH is doing $22.5Bn in business and dropping $2.6Bn (11%) to the bottom line AND they have $1.3Bn in the bank net of debt.
Unlike the Round Table - they are set up as an old-fashioned consulting corp with all that human overhead, which is weird - you would think they'd take their own advice and automate more!
🚢 CTSH is very much in our “Round Table Consulting Group” lane: boring, cash‑generating implementation plumbing for AI and cloud, trading at a frankly silly multiple compared to the hype names.
Where CTSH sits today
So you’re paying a single‑digit multiple for a company that sits in the middle of mission‑critical IT work across sectors. That’s exactly the kind of “under‑appreciated plumbing” Warren 2.0 is pointing at.
The Google Cloud / Gemini Enterprise angle
From the partnership announcement:[finance.yahoo]
-
- Cognizant is expanding its Google Cloud relationship to deploy Gemini Enterprise + Workspace across its own workforce and client base.
- Plan:
- Deploy Gemini across 100,000 associates this year, scaling to 200,000+, using it internally first.
- Train a minimum number of employees on Google Cloud AI tools to standardize and accelerate AI solution delivery.
- They’ve already built 2,000+ AI agents and are focusing on automating 60–70% of manual work in key verticals (retail, healthcare, financial services).[finance.yahoo]
- CTSH is also partnering deeply with Snowflake (Snowflake Cortex Intelligent Agents) and CrowdStrike to move AI workflows from pilots into production.[
