10 Cheap IT Stocks Hedge Funds Are Buying

2. Science Applications International Corporation (NASDAQ:SAIC)

Forward P/E Ratio as of July 9: 12.41

Number of Hedge Fund Holders: 39

Science Applications International Corporation (NASDAQ:SAIC) is one of the cheap IT stocks hedge funds are buying. On June 25, Science Applications International was awarded a significant contract, called the Hyper-Innovative Operational Prototype Engineering/HOPE 2.0, which is valued at $928 million.

The contract supports the US Air Force Tactical Exploitation of National Capabilities/AF TENCAP and is set to begin this July, spanning a 5-year performance period. AF TENCAP operates as a congressionally mandated rapid-acquisition organization. Its primary function is to use existing air, space, cyber, national, and global Intelligence, Surveillance, and Reconnaissance/ISR systems.

The aim is to expedite the delivery of innovative and secure warfighting capabilities across Air Force and Joint military missions for the Department of Defense/DoD. Under this agreement, SAIC will provide Research, Development, Test, and Evaluation/RDT&E mission engineering services. These services are intended to assist AF TENCAP in developing prototypes that are near-ready for formal programs of record.

Science Applications International Corporation (NASDAQ:SAIC) provides technical, engineering, and enterprise IT services in the US.