5 Undervalued Defense and Military Stocks to Buy Now

3. Leidos Holdings Inc (NYSE:LDOS)

Number of Hedge Fund Holders: 28   

PE Ratio (as of March 10): 19.55

Then there’s Leidos Holdings Inc (NYSE:LDOS), an IT firm providing national security solutions and cyberspace systems to a list of clients including the US intelligence community, the Department of Defense, and NASA.

In February, Leidos Holdings Inc (NYSE:LDOS) was awarded the Defense Enclave Services contract by the Defense Information Systems Agency, worth an estimated $11.5 billion. Under this agreement, the firm will unify the DAFAs (Defense Agencies and Field Activities) on a common network architecture, to provide mission services focused on improved security, enhanced user experience, and network reliability.

On March 9, Leidos Holdings Inc (NYSE:LDOS) was awarded a seven-year, $545 million contract to support the National Institute of Allergy and Infectious Diseases (NIAID), by providing a range of biomedical, preclinical and development capabilities and capacity to the organization. In February, Goldman Sachs analyst Gavin Parsons gave Leidos Holdings Inc (NYSE:LDOS) a ‘Buy’ rating and a price target of $103.

Investors were seen piling into Leidos Holdings Inc (NYSE:LDOS) in Q4 2021, with 28 hedge funds bullish on the company shares, as compared to 14 hedge funds a quarter ago. Israel Englander’s Millennium Management was the top shareholder in Leidos Holdings Inc (NYSE:LDOS) by the end of the fourth quarter, with a stake comprising of roughly 362,000 shares worth $32.16 million.