On August 1, Keith Lerner, the Co-Chief Investment Officer at Truist Wealth, and Alan McKnight, the CIO at Regions Wealth Management, appeared on CNBC’s Worldwide Exchange to discuss the markets. They noted that the markets may pull back amid tariff uncertainty, but long-term tech trends remain solid. About the recent tariff situation, where a new rate was announced for the August 1 deadline, giving markets a few days to adjust, McKnight responded by saying that it felt like Groundhog Day and that the market was trying to react and work through the new circumstances. He expressed hope that a resolution similar to what was seen with Japan, the Eurozone, and South Korea would be reached with Mexico and Canada, bringing the tariff rate down from 35%. In the interim, he believes companies will try to navigate the situation to avoid bearing the full cost of the new tariffs.
It’s important to note that there’s continued strength in the tech sector, with big bets on AI from companies within the MAG7, which are being rewarded by Wall Street. Lerner confirmed that his firm still likes tech, calling the underlying theme of the current bull market AI and tech, or the big T. He contrasted this with the other T, which is tariffs, and noted that the AI theme was pushed back earlier in the year due to tariffs. Despite a potential economic slowdown or more tariff-related news, he believes the secular themes for tech remain positive. He did caution that tech stocks are a bit extended on a short-term basis but would look to add to the sector on any pullback. He recommended staying overweight in tech, communication services, and industrials.
That being said, we’re here with a list of the 11 cheap technology stocks to buy now.
An executive in a suit checking a bank of computers symbolizing the technology of the financial services industry.
Our Methodology
We sifted through the Finviz stock screener to compile a list of the top cheap tech stocks with a forward P/E ratio under 20 as of August 5. We then selected the 11 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q1 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
11 Cheap Technology Stocks to Buy Now
11. EPAM Systems Inc. (NYSE:EPAM)
Forward P/E Ratio as of August 5: 14.06
Number of Hedge Fund Holders: 46
EPAM Systems Inc. (NYSE:EPAM) is one of the cheap technology stocks to buy now. Earlier on July 16, EPAM Systems announced that its open-source GenAI enterprise platform, called DIAL, is now available in the new AI Agents and Tools category of AWS Marketplace. The new availability allows customers to use their existing AWS accounts to find, purchase, and deploy EPAM’s DIAL platform.
DIAL is an agentic AI orchestration platform that enables businesses to integrate powerful LLMs, such as Anthropic Claude from AWS Bedrock, into their existing workflows. It supports agentic workflows and data-native reasoning, while also addressing key challenges of deploying AI at scale in production across different business functions.
The platform also introduces new methods for working with both structured and unstructured data using AI, and promotes collaboration throughout entire organizations. EPAM recently announced the DIAL 3.0 Platform, which emphasizes a modular, open-source approach to enterprise AI adoption, balancing innovation speed with long-term control, interoperability, and responsible governance.
EPAM Systems Inc. (NYSE:EPAM) provides digital platform engineering and software development services worldwide.
10. Cognizant Technology Solutions Corporation (NASDAQ:CTSH)
Forward P/E Ratio as of August 5: 13.68
Number of Hedge Fund Holders: 49
Cognizant Technology Solutions Corporation (NASDAQ:CTSH) is one of the cheap technology stocks to buy now. On July 30, Cognizant and WRITER, which is a global leader in agentic AI for the enterprise, announced a partnership to accelerate AI-driven transformation for businesses. The partnership aims to help global enterprises, particularly those in highly regulated sectors, deploy secure and specialized AI agents at scale.
The platform is built on WRITER’s proprietary Palmyra models, which are fine-tuned for business and industry-specific use cases, and includes an enterprise-grade knowledge retrieval system to ensure accuracy and context-rich information.
The collaboration will allow Cognizant to offer clients use cases powered by WRITER’s pre-built industry agents and custom-created agents through WRITER’s Agent Builder. The offering will also include services for enablement, change management, and responsible AI adoption. The partnership complements Cognizant’s existing AI strategy, including its Cognizant Agent Foundry framework.
Cognizant Technology Solutions Corporation (NASDAQ:CTSH) is a professional services company that provides consulting and technology, and outsourcing services in North America, Europe, and internationally.
9. NXP Semiconductors (NASDAQ:NXPI)
Forward P/E Ratio as of August 5: 18.02
Number of Hedge Fund Holders: 49
NXP Semiconductors (NASDAQ:NXPI) is one of the cheap technology stocks to buy now. On August 1, NXP Semiconductors announced the release of its i.MX 95 series, the latest addition to its i.MX 9 family of application processors. The new series is designed to support the increasing demands of next-generation applications in sectors like automotive, industrial automation, networking, connectivity, and Human-Machine Interfaces/HMI.
Key features of the i.MX 95 include high-performance computing, immersive 3D graphics with Arm Mali, a new machine learning accelerator, and ultra-fast data throughput. It is the first in the i.MX 9 lineup to incorporate NXP’s eIQ Neutron Neural Processing Unit/NPU and a next-generation Image Signal Processor/ISP.
In response to this launch, Advantech introduced two new compact Computer-on-Modules based on the NXP i.MX 95 platform: the AOM-5521/SMARC and the AOM-2521/OSM. These modules are engineered for next-gen edge AI applications, featuring a multi-domain architecture with up to six Arm Cortex-A55 cores running at up to 2.0 GHz.
NXP Semiconductors (NASDAQ:NXPI) provides semiconductor products in China, the US, Germany, Japan, Singapore, South Korea, Mexico, the Netherlands, Taiwan, and internationally.
Advantech is a company that provides IoT intelligent systems and embedded platforms
8. SS&C Technologies Holdings Inc. (NASDAQ:SSNC)
Forward P/E Ratio as of August 5: 14.73
Number of Hedge Fund Holders: 54
SS&C Technologies Holdings Inc. (NASDAQ:SSNC) is one of the cheap technology stocks to buy now. On August 5, SS&C Technologies Holdings announced the launch of SS&C Black Diamond Wealth Solutions, which unifies the company’s wealth management offerings. The solution combines the Black Diamond Wealth Platform with SS&C’s range of wealth and trust management technologies and services and provides a single-source platform for wealth managers to manage technology and operational needs.
The unified platform aims to provide a more connected and modern experience, which allows advisors to manage the entire client lifecycle from a single ecosystem. SS&C Black Diamond Wealth Solutions currently serves over 800,000 active users across more than 3,000 firms, who collectively manage over $3.6 trillion in assets.
The suite includes various capabilities, such as portfolio management and reporting, alternative investments, client portals, CRMs, trust and retirement services, compliance and surveillance, investment management, trading and rebalancing, and business intelligence and billing. Current clients will not experience any disruption to their existing systems, logins, or support relationships.
SS&C Technologies Holdings Inc. (NASDAQ:SSNC) provides software products and software-enabled services to the financial services and healthcare industries.
7. Seagate Technology Holdings (NASDAQ:STX)
Forward P/E Ratio as of August 5: 15.06
Number of Hedge Fund Holders: 55
Seagate Technology Holdings (NASDAQ:STX) is one of the cheap technology stocks to buy now. On August 5, Baird raised its price target for Seagate from $120 to $188, while maintaining an Outperform rating on the shares. The firm’s decision was based on new company fundamentals that they believe are not yet reflected in the stock price.
In Q2 2025, Seagate Technology’s sales of ~$2.4 billion showed an improvement of 29.5% year-on-year increase. Non-GAAP profit was $2.59 per share, exceeding consensus estimates by 6%. Seagate’s guidance for Q3 revenue is ~$2.5 billion, which is 2.5% below analyst estimates of $2.56 billion.
The adjusted EPS guidance for Q3 is $2.30 at the midpoint, which is also slightly below analyst estimates of $2.32.
Seagate Technology Holdings (NASDAQ:STX) provides data storage technology and infrastructure solutions in Singapore, the US, the Netherlands, and internationally.
6. Fidelity National Information Services Inc. (NYSE:FIS)
Forward P/E Ratio as of August 5: 12.53
Number of Hedge Fund Holders: 56
Fidelity National Information Services Inc. (NYSE:FIS) is one of the cheap technology stocks to buy now. On July 22, a Truist analyst, Matthew Coad, raised the firm’s price target for Fidelity National Information Services to $85 from $84, while maintaining a Hold rating. The analyst has a positive outlook for the FinTech sector and anticipates solid overall earnings despite recent underperformance.
Following this sentiment, Fidelity National Information Services released its Q2 2025 earnings, with the revenue growing 5% to $2.6 billion. Adjusted EBITDA also grew by 5% and surpassed the top end of the company’s outlook range, with a margin that improved sequentially by ~2%. Adjusted EPS was $1.36.
The company also acquired a global payments issuer business and the sale of a minority stake in Worldpay, which are expected to strengthen its financial profile and improve free cash flow. FIS is also focusing on AI innovation with the planned launch of “Banker Assist,” an AI platform for commercial banking, and has multiple AI pilots underway.
Fidelity National Information Services Inc. (NYSE:FIS) provides financial services technology solutions for financial institutions, businesses, and developers worldwide.
5. Global Payments Inc. (NYSE:GPN)
Forward P/E Ratio as of August 5: 6.51
Number of Hedge Fund Holders: 65
Global Payments Inc. (NYSE:GPN) is one of the cheap technology stocks to buy now. On August 5, Global Payments announced two key developments regarding its stadium and venue partnerships. The company entered into a multi-year partnership to become the official payments technology provider for the Minnesota Twins and their home, Target Field. In this role, Global Payments will handle payments for food and beverage concessions.
In a separate announcement, the company extended its multi-year partnership with the Dallas Cowboys and AT&T Stadium. As part of this extension, Global Payments will continue to provide payment processing for food and beverage, retail, and ticketing services.
Both the Twins and the Cowboys chose Global Payments for its ability to deliver innovative payment solutions that improve speed, efficiency, and the overall fan experience in high-traffic stadium environments. Global Payments currently provides commerce solutions to ~160 stadiums and venues globally.
Global Payments Inc. (NYSE:GPN) provides payment technology and software solutions for card, check, and digital-based payments in the Americas, Europe, and the Asia-Pacific.
4. Fiserv Inc. (NYSE:FI)
Forward P/E Ratio as of August 5: 13.24
Number of Hedge Fund Holders: 72
Fiserv Inc. (NYSE:FI) is one of the cheap technology stocks to buy now. On August 1, Linker Finance, which is a modular platform for community banks, announced its availability on the Fiserv AppMarket. The integration was made possible through Fiserv’s Communicator Open platform, and the solution has been fully certified by Fiserv’s rigorous validation process.
This pre-integration allows community banks that use Fiserv core platforms to configure Linker Finance’s solution instantly. The certification is expected to benefit community banks by accelerating their speed-to-market, reducing integration costs by up to 50%, and significantly minimizing integration risks.
The inclusion in the Fiserv AppMarket via Communicator Open makes it easy for banks to enable the platform with just a few clicks. This announcement extends Linker Finance’s capabilities to thousands of Fiserv-powered institutions. These institutions can now evaluate, purchase, and deploy Linker Finance’s modules directly through the AppMarket interface.
Fiserv Inc. (NYSE:FI) provides payments and financial services technology solutions in the US, Europe, the Middle East and Africa, Latin America, the Asia-Pacific, and internationally.
3. Western Digital Corporation (NASDAQ:WDC)
Forward P/E Ratio as of August 5: 11.31
Number of Hedge Fund Holders: 78
Western Digital Corporation (NASDAQ:WDC) is one of the cheap technology stocks to buy now. On August 1, Argus raised its price target on Western Digital to $90 from $65 and maintained a Buy rating on the shares. Argus noted that the company’s new fundamentals were not fully priced into the shares. Analysts project a 10.3% revenue increase for the company over the next 12 months, driven by new products and services.
In Q2 2025, Western Digital’s revenue of $2.61 billion marked a 30% year-over-year increase, beating Wall Street estimates by approximately 5%. Non-GAAP EPS of $1.66 exceeded the anticipated $1.48 by 12.1%.
The results suggest a turnaround for the company, which had experienced a 10.7% annual revenue decline over the past 5 years. The latest quarter marks the fourth consecutive quarter of growth for Western Digital.
Western Digital Corporation (NASDAQ:WDC) develops, manufactures, and sells data storage devices and solutions based on hard disk drive/HDD technology in the Americas, Asia, Europe, the Middle East, and Africa.
2. Qualcomm Incorporated (NASDAQ:QCOM)
Forward P/E Ratio as of August 5: 12.22
Number of Hedge Fund Holders: 82
Qualcomm Incorporated (NASDAQ:QCOM) is one of the cheap technology stocks to buy now. On July 31, Mizuho lowered the firm’s price target on Qualcomm to $185 from $190 while keeping an Outperform rating on the shares.
In FQ3 2025, the company reported total revenues of $10.4 billion, which was a 10% year-over-year increase. The combined revenues from the QCT (Qualcomm CDMA Technologies) Automotive and IoT (Internet of Things) segments grew by 23% year-over-year to reach $2.7 billion.
The Automotive segment, in particular, recorded its highest quarterly revenues ever at $984 million, a 21% increase year-over-year. The IoT segment also saw strong growth, with revenues climbing 24% to $1.68 billion. While Handset revenues still constitute the largest portion of the QCT business, they also grew by 7% year-over-year to $6.3 billion.
Qualcomm Incorporated (NASDAQ:QCOM) develops and commercializes foundational technologies for the wireless industry worldwide.
1. Micron Technology Inc. (NASDAQ:MU)
Forward P/E Ratio as of August 5: 8.96
Number of Hedge Fund Holders: 96
Micron Technology Inc. (NASDAQ:MU) is one of the cheap technology stocks to buy now. On July 29, Micron Technology announced 3 new data center SSDs, all built with its new G9 NAND, marking the company’s 9th-generation 3D NAND node. The expansion of its storage portfolio is designed to meet the demands of AI workloads with enhanced performance, capacity, and energy efficiency.
The new products include the Micron 9650 SSD, the world’s first PCIe Gen6 NVMe SSD. It delivers up to 28 GB/s sequential read and 14 GB/s sequential write speeds, and up to 5.5 million random read IOPS. The Micron 6600 ION SSD is a high-capacity E3.S SSD that sets a new industry standard for density. The 122TB version is shipping for sampling in Q3 of calendar year 2025, with a 245TB version planned for H1 2026. The Micron 7600 SSD is a mainstream PCIe Gen5 SSD that offers class-leading performance, low latency, and high reliability.
Micron’s integration ensures that these SSDs are developed with its own controller, NAND, DRAM, and firmware. The company collaborated with ecosystem partners like Dell and NVIDIA to ensure seamless integration.
Micron Technology Inc. (NASDAQ:MU) designs, develops, manufactures, and sells memory and storage products in the US, Taiwan, Singapore, Japan, Malaysia, China, India, and internationally.
While we acknowledge the potential of MU to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MU and that has 100x upside potential, check out our report about this cheapest AI stock.
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