Sectors & Industries TechnologyInformation Technology Services
Best Information Technology Service Stocks to Buy Now (2025)
Top information technology service stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best information technology service stocks to buy now. Learn More.

Industry: Information Technology Se...

Overview Zen Rating Price Value Growth Financials Momentum Sentiment Forecast Dividends Due Diligence

Information Technology Services is Zen Rated B and is the 42nd ranked industry out of 145 stock market industries

Ticker	Company	DD Score	Valuation Score	Financials Score	Forecast Score	Performance Score	Dividends Score
IBEX	IBEX LTD	63	86	86	11	70	–
III	INFORMATION SERVICES GROUP INC	51	71	71	44	10	60
FORTY	FORMULA SYSTEMS (1985) LTD	42	43	57	0	50	60
LDOS	LEIDOS HOLDINGS INC	53	29	71	33	70	60
TTEC	TTEC HOLDINGS INC	9	14	29	0	0	0

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Use Due Diligence Score to quickly analyze stock fundamentals, even if you don't have a finance background. We run time-tested due diligence checks inspired by legendary investors like Warren Buffett, and score each company based on how many they pass/fail.

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Information Technology Service Stocks FAQ

What are the best information technology service stocks to buy right now in Aug 2025?

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best information technology service stocks to buy right now are:

1. Ibex (NASDAQ:IBEX)

Ibex (NASDAQ:IBEX) is the #1 top information technology service stock out of 70 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Ibex (NASDAQ:IBEX) is: Value: B, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: C.

Ibex (NASDAQ:IBEX) has a Due Diligence Score of 63, which is 28 points higher than the information technology service industry average of 35.

IBEX passed 20 out of 33 due diligence checks and has strong fundamentals. Ibex has seen its stock return 74.83% over the past year, overperforming other information technology service stocks by 84 percentage points.

Ibex has an average 1 year price target of $30.00, an upside of 2.81% from Ibex's current stock price of $29.18.

Ibex stock has a consensus Hold recommendation according to Wall Street analysts. Of the 1 analyst covering Ibex, 0% have issued a Strong Buy rating, 0% have issued a Buy, 100% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Information Services Group (NASDAQ:III)

Information Services Group (NASDAQ:III) is the #2 top information technology service stock out of 70 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Information Services Group (NASDAQ:III) is: Value: C, Growth: C, Momentum: B, Sentiment: A, Safety: C, Financials: A, and AI: A.

Information Services Group (NASDAQ:III) has a Due Diligence Score of 51, which is 16 points higher than the information technology service industry average of 35.

III passed 18 out of 38 due diligence checks and has strong fundamentals. Information Services Group has seen its stock return 47.72% over the past year, overperforming other information technology service stocks by 57 percentage points.

Information Services Group has an average 1 year price target of $5.50, an upside of 10.66% from Information Services Group's current stock price of $4.97.

Information Services Group stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Information Services Group, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Formula Systems (NASDAQ:FORTY)

Formula Systems (NASDAQ:FORTY) is the #3 top information technology service stock out of 70 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Formula Systems (NASDAQ:FORTY) is: Value: C, Growth: C, Momentum: B, Sentiment: C, Safety: B, Financials: C, and AI: C.

Formula Systems (NASDAQ:FORTY) has a Due Diligence Score of 42, which is 7 points higher than the information technology service industry average of 35.

FORTY passed 15 out of 38 due diligence checks and has strong fundamentals. Formula Systems has seen its stock return 48.12% over the past year, overperforming other information technology service stocks by 58 percentage points.

What are the information technology service stocks with highest dividends?

Out of 17 information technology service stocks that have issued dividends in the past year, the 3 information technology service stocks with the highest dividend yields are:

1. Xerox Holdings (NASDAQ:XRX)

Xerox Holdings (NASDAQ:XRX) has an annual dividend yield of 15.7%, which is 13 percentage points higher than the information technology service industry average of 2.91%. Xerox Holdings's dividend payout is not stable, having dropped more than 10% four times in the last 10 years. Xerox Holdings's dividend has not shown consistent growth over the last 10 years.

Xerox Holdings's dividend payout ratio of -5.6% indicates that its high dividend yield might not be sustainable for the long-term.

2. Clps (NASDAQ:CLPS)

Clps (NASDAQ:CLPS) has an annual dividend yield of 14.36%, which is 11 percentage points higher than the information technology service industry average of 2.91%.

Clps's dividend payout ratio of -288.9% indicates that its high dividend yield might not be sustainable for the long-term.

3. Information Services Group (NASDAQ:III)

Information Services Group (NASDAQ:III) has an annual dividend yield of 3.62%, which is 1 percentage points higher than the information technology service industry average of 2.91%. Information Services Group's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Information Services Group's dividend has shown consistent growth over the last 10 years.

Information Services Group's dividend payout ratio of 112.5% indicates that its dividend yield might not be sustainable for the long-term.

Why are information technology service stocks down?

Information technology service stocks were down -1.32% in the last day, and down -0.07% over the last week. Globant Sa was the among the top losers in the information technology services industry, dropping -14.93% yesterday.

Globant shares are trading lower after the company issued FY25 sales guidance and Q3 guidance below estimates.

What are the most undervalued information technology service stocks?

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued information technology service stocks right now are:

1. DXC Technology Co (NYSE:DXC)

DXC Technology Co (NYSE:DXC) is the most undervalued information technology service stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

DXC Technology Co has a valuation score of 71, which is 40 points higher than the information technology service industry average of 31. It passed 5 out of 7 valuation due diligence checks.

DXC Technology Co's stock has dropped -30.16% in the past year. It has underperformed other stocks in the information technology service industry by -21 percentage points.

2. Concentrix (NASDAQ:CNXC)

Concentrix (NASDAQ:CNXC) is the second most undervalued information technology service stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Concentrix has a valuation score of 71, which is 40 points higher than the information technology service industry average of 31. It passed 5 out of 7 valuation due diligence checks.

Concentrix's stock has dropped -27.51% in the past year. It has underperformed other stocks in the information technology service industry by -18 percentage points.

3. Science Applications International (NASDAQ:SAIC)

Science Applications International (NASDAQ:SAIC) is the third most undervalued information technology service stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Science Applications International has a valuation score of 86, which is 55 points higher than the information technology service industry average of 31. It passed 6 out of 7 valuation due diligence checks.

Science Applications International's stock has dropped -5.96% in the past year. It has overperformed other stocks in the information technology service industry by 4 percentage points.

Are information technology service stocks a good buy now?

47.92% of information technology service stocks rated by analysts are a buy right now. On average, analysts expect information technology service stocks to rise by 24.71% over the next year.

3.57% of information technology service stocks have a Zen Rating of A (Strong Buy), 23.21% of information technology service stocks are rated B (Buy), 57.14% are rated C (Hold), 14.29% are rated D (Sell), and 1.79% are rated F (Strong Sell).

What is the average p/e ratio of the information technology services industry?

The average P/E ratio of the information technology services industry is 37.92x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.