Sectors & IndustriesTechnologyInformation 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...
A
Information Technology Services is Zen Rated A and is the 28th ranked industry out of 145 stock market industries
Learn how the Zen Ratings work
Ticker
Company
Zen Rating
Value
Growth
Momentum
Sentiment
Safety
Financials
AI
1w Zen Rating
1m Zen Rating
3m Zen Rating
1y Zen Rating
IBEX
IBEX LTD
AABBBCBBAAA
MGIC
MAGIC SOFTWARE ENTERPRISES LTD
ABBCCBBBAAB
TASK
TASKUS INC
ABBCCABBAAA
SAIC
SCIENCE APPLICATIONS INTERNATIONAL CORP
AABCBBCBAAA
III
INFORMATION SERVICES GROUP INC
ACBBACBBAAC

Upgrade to Premium to View More

Use the proven Zen Ratings quant model to find stocks with high potential to beat the market. Stocks Zen-Rated "A" have beaten the market by +32.52% annually. Learn More

Already have a premium account? Sign In

Information Technology Service Stocks FAQ

What are the best information technology service stocks to buy right now in Apr 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 67 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: A, Growth: B, Momentum: B, Sentiment: B, Safety: C, Financials: B, and AI: B.

Ibex (NASDAQ:IBEX) has a Due Diligence Score of 60, which is 23 points higher than the information technology service industry average of 37.

IBEX passed 19 out of 33 due diligence checks and has strong fundamentals. Ibex has seen its stock return 72.08% over the past year, overperforming other information technology service stocks by 75 percentage points.

Ibex has an average 1 year price target of $25.00, an upside of 7.3% from Ibex's current stock price of $23.30.

Ibex stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Ibex, 0% have issued a Strong Buy rating, 50% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Magic Software Enterprises (NASDAQ:MGIC)


Magic Software Enterprises (NASDAQ:MGIC) is the #2 top information technology service stock out of 67 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 Magic Software Enterprises (NASDAQ:MGIC) is: Value: B, Growth: B, Momentum: C, Sentiment: C, Safety: B, Financials: B, and AI: B.

Magic Software Enterprises (NASDAQ:MGIC) has a Due Diligence Score of 57, which is 20 points higher than the information technology service industry average of 37.

MGIC passed 21 out of 38 due diligence checks and has strong fundamentals. Magic Software Enterprises has seen its stock return 15.1% over the past year, overperforming other information technology service stocks by 18 percentage points.

Magic Software Enterprises has an average 1 year price target of $16.00, an upside of 19.94% from Magic Software Enterprises's current stock price of $13.34.

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

3. Taskus (NASDAQ:TASK)


Taskus (NASDAQ:TASK) is the #3 top information technology service stock out of 67 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 Taskus (NASDAQ:TASK) is: Value: B, Growth: B, Momentum: C, Sentiment: C, Safety: A, Financials: B, and AI: B.

Taskus (NASDAQ:TASK) has a Due Diligence Score of 58, which is 21 points higher than the information technology service industry average of 37.

TASK passed 19 out of 33 due diligence checks and has strong fundamentals. Taskus has seen its stock return 18.59% over the past year, overperforming other information technology service stocks by 21 percentage points.

Taskus has an average 1 year price target of $20.25, an upside of 54.82% from Taskus's current stock price of $13.08.

Taskus stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Taskus, 50% have issued a Strong Buy rating, 25% have issued a Buy, 25% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the information technology service stocks with highest dividends?

Out of 20 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. Ttec Holdings (NASDAQ:TTEC)


Ttec Holdings (NASDAQ:TTEC) has an annual dividend yield of N/A, which is N/A percentage points lower than the information technology service industry average of 2.92%. Ttec Holdings's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Ttec Holdings's dividend has not shown consistent growth over the last 10 years.

Ttec Holdings's dividend payout ratio of -0.9% indicates that its dividend yield might not be sustainable for the long-term.

2. Xerox Holdings (NASDAQ:XRX)


Xerox Holdings (NASDAQ:XRX) has an annual dividend yield of 15.28%, which is 12 percentage points higher than the information technology service industry average of 2.92%. Xerox Holdings's dividend payout is not stable, having dropped more than 10% three 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 -9.3% indicates that its high dividend yield might not be sustainable for the long-term.

3. Clps (NASDAQ:CLPS)


Clps (NASDAQ:CLPS) has an annual dividend yield of 13.16%, which is 10 percentage points higher than the information technology service industry average of 2.92%.

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

Why are information technology service stocks up?

Information technology service stocks were up 2.09% in the last day, and down -0.26% over the last week. Leidos Holdings was the among the top gainers in the information technology services industry, gaining 2.18% yesterday.

Shares of companies in the broader industrial sector are trading higher amid overall market strength after President Trump said he had no intention of firing Fed Chair Powell. Additionally, Trump indicated the final tariff rate would be less than the current 145% but not 0%.

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. Concentrix (NASDAQ:CNXC)


Concentrix (NASDAQ:CNXC) 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.

Concentrix has a valuation score of 71, which is 41 points higher than the information technology service industry average of 30. It passed 5 out of 7 valuation due diligence checks.

Concentrix's stock has dropped -13.37% in the past year. It has underperformed other stocks in the information technology service industry by -11 percentage points.

2. Ibex (NASDAQ:IBEX)


Ibex (NASDAQ:IBEX) 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.

Ibex has a valuation score of 100, which is 70 points higher than the information technology service industry average of 30. It passed 7 out of 7 valuation due diligence checks.

Ibex's stock has gained 72.08% in the past year. It has overperformed other stocks in the information technology service industry by 75 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 57, which is 27 points higher than the information technology service industry average of 30. It passed 4 out of 7 valuation due diligence checks.

Science Applications International's stock has dropped -5.12% in the past year. It has underperformed other stocks in the information technology service industry by -3 percentage points.

Are information technology service stocks a good buy now?

43.75% of information technology service stocks rated by analysts are a strong buy right now. On average, analysts expect information technology service stocks to rise by 28.51% over the next year.

14.29% of information technology service stocks have a Zen Rating of A (Strong Buy), 21.43% of information technology service stocks are rated B (Buy), 53.57% are rated C (Hold), 8.93% 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 26.25x.
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.