10 Best Cheap Technology Stocks To Buy According to Analysts

2. CACI International Inc. (NYSE:CACI)

Forward P/E Ratio: 14.27

Average Upside Potential: 58.54%

Number of Hedge Fund Holders: 38

CACI International Inc. (NYSE:CACI) provides expertise and technology solutions for national security across intelligence, defense, and federal civilian sectors. Operating through Domestic and International segments, it offers digital modernization, C4ISR, cyber, space, logistics, engineering, IT, and mission support solutions to government and commercial clients.

Its core business is serving national security clients, primarily the DoD (Department of Defense), the intelligence community, and DHS (Department of Homeland Security). This segment makes up about 90% of the company’s revenue, which is why FQ2 2025 saw strong year-over-year revenue growth of 14.5%.

CACI International Inc. (NYSE:CACI) excels in modernizing software, networks, and mission systems. It highlighted agile software development programs with government agencies, which demonstrated its ability to deliver results quickly and efficiently. The work of modernizing networks and developing advanced systems for the military further strengthens its position. Its IT service program for the Air Force and Space Force is also a key contributor, which improves efficiency and frees up personnel for other duties. This focus on technology aligns well with government priorities. As a result, the company has raised its revenue guidance for FY25.

Meridian Contrarian Fund remains highly bullish on the company, which is their largest holding. The fund cites its essential role in US defense IT infrastructure and consistent growth over a 10+ year investment period. It stated the following in its Q3 2024 investor letter:

“CACI International Inc (NYSE:CACI) is an IT consultant and provider of mission-critical technology to the U.S. Government and its agencies, which account for nearly 95% of its sales. CACI plays a vital role in modernizing IT infrastructure, systems, and other essential defense needs for the U.S. We have held CACI for over 10 years as the company has consistently grown into a larger supplier to the U.S., and increasingly, to our allies. The company’s stable growth and role as an essential provider of U.S. defense infrastructure were recognized by the market, delivering a solid return for shareholders in the quarter. We maintained our position throughout the period and, as of quarter-end, CACI was the Fund’s largest holding.”