Cognizant Technology Solutions Corp Class A (CTSH)

Days of sales outstanding (DSO)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Receivables turnover		5.03	5.10	5.16	5.22	5.12	5.25	5.09	5.17	5.20	5.10	5.09	5.21	5.39	5.37	5.22	5.25	5.15	4.84	4.86	4.83
DSO	days	72.59	71.50	70.67	69.90	71.32	69.47	71.76	70.62	70.15	71.52	71.67	70.10	67.66	67.94	69.88	69.55	70.81	75.47	75.09	75.51

December 31, 2023 calculation

DSO = 365 ÷ Receivables turnover
= 365 ÷ 5.03
= 72.59

To analyze Cognizant Technology Solutions Corp.'s Days Sales Outstanding (DSO) based on the data provided, we can observe the following trends:

1. There has been a slight increase in DSO from Q1 2022 to Q4 2023, indicating that the company is taking slightly longer to collect its accounts receivable over this period.

2. The DSO figures fluctuate within a relatively narrow range, suggesting a stable collection process overall.

3. The lowest DSO was recorded in Q2 2023 at 70.67 days, while the highest DSO was in Q4 2023 at 72.59 days, which indicates some variability in the efficiency of accounts receivable collection.

4. Despite the fluctuations, the DSO figures do not show a clear upward or downward trend over the period from Q1 2022 to Q4 2023.

5. Overall, Cognizant Technology Solutions Corp. may want to monitor its accounts receivable and collections processes closely to ensure timely and efficient collection of outstanding payments to maintain healthy cash flows.