10 Most Undervalued Long Term Stocks to Buy Right Now

9. Leidos Holdings, Inc. (NYSE:LDOS)

Forward P/E: ~10.1x

3-Year Diluted EPS Growth: ~30.8%

Number of Hedge Fund Holders: 44

Leidos Holdings, Inc. (NYSE:LDOS) is one of the Most Undervalued Long Term Stocks to Buy Right Now. On June 5, Jefferies downgraded Leidos Holdings, Inc. (LDOS)’s stock to “Hold” from “Buy” and reduced the price objective to $140 from $185. The firm highlighted limited organic growth prospects, along with concerns related to the company’s health business. The analyst lowered the EPS estimate for 2027.

As per the firm, the earnings revisions seem to be limited, and the stock’s multiple remains dependent on the sentiments associated with the health business. The new price objective is based on a ~11x P/E ratio for 2027.

The firm applied more conservative assumptions on the Veterans Benefits Administration health contract in the estimates, while noting that management was creative with capital allocation, including the security joint venture. However, this doesn’t incorporate meaningful changes to Leidos Holdings, Inc. (NYSE:LDOS)’s defense technology portfolio.

Notably, the company raised its revenue, earnings, and cash guidance for FY 2026, with non-GAAP diluted EPS now expected between $12.10 – $12.50 as compared to the previous expectation of $12.05 – $12.45.

Leidos Holdings, Inc. (NYSE:LDOS) offers services and solutions for government and commercial customers.

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