Despite the Nasdaq Composite hitting all-time highs earlier this week, not all stocks in the technology sector are performing as well. When stocks are missing out on the rally, value investors should get more interested in them, if only to kick the tires and see if the problems are even curable.
If the issues are fixable through management change or improvements in operations, then investors should consider those companies. If the headwinds are permanent and business is deteriorating, however, investors should avoid them like “WannaCry.”
Going on the aforementioned criteria, the following seven stocks to buy are criminally underrated, with the markets pricing them at such low forward price-earnings ratios they might as well be free.
What’s more, each tech stock in this list has returns lower than their corresponding sectors. I know, I know, it sounds ominous. But poor returns aren’t always indicative of negative fundamentals — investors may very well sell a stock after one bad quarter. If you’re in it for the long game, then a single quarter shouldn’t matter to you.
That said, here are seven tech stocks to buy that are underloved by the Street.