6 Undervalued IT Services Stocks for Wednesday, August 12

By Jenna Brashear
August 12, 2026
Diamond graphic indicating best value stocks in their industry
Featured Tickers:

Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 6 stocks made the list for top value stocks in the IT Services industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.

Why Focus on Undervalued IT Services Stocks?

Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.

AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

What Goes Into AAII’s Value Grade?

Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.

Click the button below to learn more about A+ Investor and subscribe today.

Learn More About A+ Investor

6 Undervalued IT Services Stocks

Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 6 undervalued stocks in the IT Services industry for Thursday, August 13, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the IT Services industry median.

Company Ticker Price/Sales Price/Earnings EV/EBITDA Shareholder Yield Price/Book Value Price/Free Cash Flow Value Grade
DXC Technology Company DXC 0.15 15.4 3.4 10.1% 0.57 1.5 A
Everforth, Inc. EFOR 0.34 16.4 9.7 6.4% 0.73 6.1 A
CGI Inc. GIB 1.00 13.2 9.5 10.9% 2.15 6.8 A
The Hackett Group, Inc. HCKT 1.07 18.3 12.5 13.4% 4.21 16.2 B
Gartner, Inc. IT 2.06 17.0 15.7 13.8% na 10.2 B
Kyndryl Holdings, Inc. KD 0.21 36.4 6.9 4.2% 2.87 21.2 B

The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.

The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)

Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).

As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.

DXC Technology Company’s Value Grade

Value Grade:

Metric Score DXC Industry Median
Price/Sales 7 0.15 1.33
Price/Earnings 37 15.4 17.0
EV/EBITDA 6 3.4 15.7
Shareholder Yield 5 10.1% (0.8%)
Price/Book Value 10 0.57 2.93
Price/Free Cash Flow 3 1.5 14.7

DXC Technology Company, together with its subsidiaries, provides information technology services and solutions in the United States, the United Kingdom, the Rest of Europe, Australia, and internationally. It operates through three segments: Consulting & Engineering Services, Global Infrastructure Services, and Insurance Software & Services. The Consulting & Engineering Services segment delivers software engineering, consulting, and custom and enterprise application solutions; focusing on AI and data analytics to enhance operations and support digital transformation across industries such as finance, automotive, manufacturing, healthcare, life sciences, travel, and the public sector. The Global Infrastructure Services segment provides design, migration, and management of data center, mainframe, cloud, and network environments. This segment also provides cross-industry business process services, which streamline clients’ core enterprise functions such as finance, HR, procurement, and customer service. The Insurance Software & Services segment offers software and business process services for life and wealth, property and casualty, and reinsurance providers to modernize and digitally transform their operations. The company markets and sells its products through a direct sales force to commercial businesses and public sector enterprises. DXC Technology Company has a multi-year global alliance with Anthropic to bring AI into mission-critical enterprise systems; and strategic partnership with ElevenLabs to accelerate AI-first transformation strategy by embedding advanced voice AI capabilities across its internal operations and customer solutions. DXC Technology Company was founded in 1959 and is headquartered in Ashburn, Virginia.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

DXC Technology Company has a Value Score of 99, which is considered to be undervalued.

When you look at DXC Technology Company’s price-to-sales ratio at 0.15 compared to the industry median at 1.33, this company has a lower price relative to revenue compared to its peers. This could make DXC Technology Company’s stock more attractive for value investors.

DXC Technology Company’s price-earnings ratio is 15.40 compared to the industry median at 17.00. This means it has a lower share price relative to earnings compared to its peers. This could make DXC Technology Company more attractive for value investors.

Now, let’s assess DXC Technology Company’s EV/EBITDA ratio, also known as enterprise multiple. At 3.4, when compared to the industry median of 15.7, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.

Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. DXC Technology Company’s shareholder yield is higher than its industry median ratio of (0.80%). Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.

As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. DXC Technology Company’s price-to-book ratio is lower than its industry median ratio of 2.93. This could make DXC Technology Company more attractive to investors looking for a new addition to their portfolio.

Lastly, let’s take a look at DXC Technology Company’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. DXC Technology Company’s price-to-free-cash-flow ratio is lower than its industry median ratio of 14.70. This could make DXC Technology Company more attractive because the lower P/FCF ratio indicates that DXC Technology Company is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.

Everforth, Inc.’s Value Grade

Value Grade:

Metric Score EFOR Industry Median
Price/Sales 13 0.34 1.33
Price/Earnings 40 16.4 17.0
EV/EBITDA 35 9.7 15.7
Shareholder Yield 11 6.4% (0.8%)
Price/Book Value 14 0.73 2.93
Price/Free Cash Flow 13 6.1 14.7

Everforth, Inc. provides information technology solutions for commercial and government sectors in the United States, Canada, and Europe. It operates through two segments: Commercial and Federal Government. The Commercial Segment provides consulting, creative digital marketing, and permanent placement services primarily to Fortune 1000 and mid-market companies across harmonized solutions areas, such as cloud and infrastructure, data and AI, software development and engineering, customer experience, cybersecurity, and enterprise platforms, as well as key industries consists financial services, consumer and industrial, technology, media and telecom, healthcare, and business and government services. The Federal Government Segment provides advanced IT solutions in data and AI, cybersecurity, and enterprise platforms to defense and intelligence, national security, federal civilian, and other clients in the public and private sectors. It provides its products under the Apex Systems, Creative Circle, CyberCoders, ECS, GlideFast, and TopBloc brand names. The company was formerly known as ASGN Incorporated and changed its name to Everforth, Inc. in April 2026. The company was founded in 1985 and is headquartered in Glen Allen, Virginia.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Everforth, Inc. has a Value Score of 95, which is considered to be undervalued.

Everforth, Inc.’s price-earnings ratio is 16.4 compared to the industry median at 17.0. This means that it has a lower price relative to its earnings compared to its peers. This makes Everforth, Inc. more attractive for value investors.

Everforth, Inc.’s price-to-book ratio is higher than its peers. This could make Everforth, Inc. less attractive for value investors when compared to the industry median at 2.93.

You can read more about Everforth, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

CGI Inc.’s Value Grade

Value Grade:

Metric Score GIB Industry Median
Price/Sales 31 1.00 1.33
Price/Earnings 28 13.2 17.0
EV/EBITDA 34 9.5 15.7
Shareholder Yield 4 10.9% (0.8%)
Price/Book Value 53 2.15 2.93
Price/Free Cash Flow 14 6.8 14.7

CGI Inc. provides information technology and business process services in Western and Southern Europe, the United States, Canada, Scandinavia, Northwest and Central-East Europe, the United Kingdom, Australia, Germany, Finland, Poland, Baltics, and the Asia Pacific. It offers end-to-end services and solutions, including business and strategic IT consulting; systems integration, such as data integration, AI and automation integration, cloud integration, Internet of Things, enterprise application integration, application programming interface integration, and legacy system modernization; managed IT and business process; and application services comprising application management, DevSecOps, application modernization and rationalization, and quality engineering and assurance. The company also provides infrastructure services, which include legacy infrastructure modernization, cloud and hybrid infrastructure management, IT service management, FinOps-enabled cloud management, cyber resilience and compliance, site reliability engineering and AIOps, and infrastructure-as-code; and intellectual property business solutions. It serves banking and capital markets, communications and media, energy and utilities, government, health, insurance, life sciences, manufacturing, retail and consumer services, space, transportation, and logistics industries. The company was formerly known as CGI Group Inc. and changed its name to CGI Inc. in January 2019. CGI Inc. was founded in 1976 and is headquartered in Montreal, Canada.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

CGI Inc. has a Value Score of 88, which is considered to be undervalued.

CGI Inc.’s price-earnings ratio is 13.2 compared to the industry median at 17.0. This means that it has a lower price relative to its earnings compared to its peers. This makes CGI Inc. more attractive for value investors.

CGI Inc.’s price-to-book ratio is higher than its peers. This could make CGI Inc. less attractive for value investors when compared to the industry median at 2.93.

You can read more about CGI Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

The Hackett Group, Inc.’s Value Grade

Value Grade:

Metric Score HCKT Industry Median
Price/Sales 32 1.07 1.33
Price/Earnings 45 18.3 17.0
EV/EBITDA 51 12.5 15.7
Shareholder Yield 3 13.4% (0.8%)
Price/Book Value 73 4.21 2.93
Price/Free Cash Flow 40 16.2 14.7

The Hackett Group, Inc. operates as an intellectual property platform-based generative artificial intelligence strategic consulting and executive advisory digital transformation in the United States, Europe, and internationally. The company offers Hackett AI XPLR, an enterprise-wide Gen AI assessment, ideation and solution design platform; XT, a Gen AI–enabled business transformation acceleration platform; AIXelerator, a platform designed to support enterprise application implementation and modernization engagements; Ask Hackett and Hackett Connect, a Gen AI–assisted knowledge and insight capability that enables Hackett associates to support delivery of executive advisory and applied intelligence programs; Quantum Leap, a software-as-a-service platform, and Digital Transformation Platform, a platform that translate benchmark insight into actionable execution steps; and ZBrain, a Gen AI engineering and agentic workflow build capability. It also provides Gen AI–enabled delivery platforms including, supply chain and operation, finance, human resources, information technology, procurement, corporate services, as well as selected enterprise application implementation services, including Oracle, SAP, OneStream, and eProcurement applications. In addition, the company offers oracle solutions that help clients to choose and deploy oracle applications that meet needs and objectives; SAP solutions, including planning, architecture, and vendor evaluation and selection through implementation, customization, testing, and integration; post-implementation support, change and exception management, process transparency, system documentation, and end-user training; off-shore application development, and application maintenance and support services; and sells SAP suite of applications. The company was formerly known as Answerthink, Inc. and changed its name to The Hackett Group, Inc. in 2008. The Hackett Group, Inc. was founded in 1991 and is headquartered in Miami, Florida.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

The Hackett Group, Inc. has a Value Score of 64, which is considered to be undervalued.

The Hackett Group, Inc.’s price-earnings ratio is 18.3 compared to the industry median at 17.0. This means that it has a higher price relative to its earnings compared to its peers. This makes The Hackett Group, Inc. less attractive for value investors.

The Hackett Group, Inc.’s price-to-book ratio is lower than its peers. This could make The Hackett Group, Inc. more attractive for value investors when compared to the industry median at 2.93.

You can read more about The Hackett Group, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Gartner, Inc.’s Value Grade

Value Grade:

Metric Score IT Industry Median
Price/Sales 49 2.06 1.33
Price/Earnings 42 17.0 17.0
EV/EBITDA 64 15.7 15.7
Shareholder Yield 2 13.8% (0.8%)
Price/Book Value na na 2.93
Price/Free Cash Flow 23 10.2 14.7

Gartner, Inc. provides business and technology insights to support decision-making and performance on an organization’s mission-critical priorities in the United States, Canada, Europe, the Middle East, Africa, and internationally. It operates through three segments: Insights, Conferences, and Consulting. The Insights segment delivers insights through subscription services, such as access to published content, data and benchmarks, and direct access to a network of business and technology experts. The Conferences segment enables executives and teams to learn, share, and network through its Symposium/Xpo series and peer-driven sessions, as well as through its conferences focused on specific business roles and topics. The Consulting segment provides technology-driven strategic initiatives, including custom analysis and on-the-ground support to senior executives. This segment also offers actionable solutions for IT-related priorities, including IT cost optimization, digital transformation, and IT sourcing optimization. The company was formerly known as Gartner Group, Inc. and changed its name to Gartner, Inc. in November 2001. Gartner, Inc. was founded in 1979 and is headquartered in Stamford, Connecticut.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Gartner, Inc. has a Value Score of 73, which is considered to be undervalued.

Gartner, Inc.’s price-earnings ratio is 17.0 compared to the industry median at 17.0. This means that it has a higher price relative to its earnings compared to its peers. This makes Gartner, Inc. fairly attractive for value investors.

You can read more about Gartner, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Kyndryl Holdings, Inc.’s Value Grade

Value Grade:

Metric Score KD Industry Median
Price/Sales 9 0.21 1.33
Price/Earnings 75 36.4 17.0
EV/EBITDA 20 6.9 15.7
Shareholder Yield 19 4.2% (0.8%)
Price/Book Value 62 2.87 2.93
Price/Free Cash Flow 52 21.2 14.7

Kyndryl Holdings, Inc. operates as a technology services company and IT infrastructure services provider in the United States, Japan, and internationally. It offers cloud services; core enterprise services; application, data, and artificial intelligence services; digital workplace services; security and resiliency services; and network services and edge services. The company serves financial, healthcare, public, technology, media and telecom, retail, travel and logistics, and automotive manufacturer industries. Kyndryl Holdings, Inc. was incorporated in 2020 and is headquartered in New York, New York.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Kyndryl Holdings, Inc. has a Value Score of 66, which is considered to be undervalued.

Kyndryl Holdings, Inc.’s price-earnings ratio is 36.4 compared to the industry median at 17.0. This means that it has a higher price relative to its earnings compared to its peers. This makes Kyndryl Holdings, Inc. less attractive for value investors.

Kyndryl Holdings, Inc.’s price-to-book ratio is lower than its peers. This could make Kyndryl Holdings, Inc. fairly attractive for value investors when compared to the industry median at 2.93.

You can read more about Kyndryl Holdings, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Learn More About A+ Investor

Other IT Services Stock Grades

Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.

Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about IT Services stocks as well as other industrys.

Choosing Which of the 6 Best IT Services Stocks Is Right for You

Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.

  • DXC Technology Company stock has a Value Grade of A.
  • Everforth, Inc. stock has a Value Grade of A.
  • CGI Inc. stock has a Value Grade of A.
  • The Hackett Group, Inc. stock has a Value Grade of B.
  • Gartner, Inc. stock has a Value Grade of B.
  • Kyndryl Holdings, Inc. stock has a Value Grade of B.

Now that you have a bit more background about each of the 6 undervalued stocks in the IT Services industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.

We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.

A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

Additional Resources About IT Services Stocks

Want to learn more about IT Services stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.



Find New Stock Opportunities With Included With AAII Platinum
Zweig Screen: 11.3% Compared to S&P 500
at only 6.9%

Gain Since Inception. Data as of 12/31/2024.




Try AAII Platinum and get full access to
769.3% Stock Superstars Portfolio Total Return Since Inception
Compare to:
710.3% iShare DOW Jones
U.S. Index ETF (IYY)

SSR Group 3 O'Shaughnessy portfolio has a 411.2% gain since inception performance compared to IYY at only 119.1%% Performance as of 11/29/24.

Get your free copy of our special report analyzing the tech stocks most likely to outperform the market.

Download the FREE Report Here:

BECOME A MEMBER FOR ONLY $2

Get access to powerful investment discovery tools and a wealth of investment education to help you achieve your financial goals.