Core Insights - Science Applications International Corporation (SAIC) is identified as one of the most undervalued tech stocks to buy in 2026, with a recent price target increase from Citi from $122 to $133, while UBS maintains a $113 target [1][2]. Financial Performance - In fiscal Q3 2026, SAIC reported an EPS of $2.58, exceeding estimates by $0.43, although revenue decreased by 5.57% year-over-year to $1.87 billion, falling short of expectations by $1.88 million [3]. - The revenue contraction was attributed primarily to the government shutdown, but it was noted that the revenue was slightly above the company's guidance [3]. Backlog and Market Outlook - SAIC's fiscal Q3 2026 backlog showed a 6% growth year-over-year, with a book-to-bill ratio of 1.2X over the last twelve months, indicating positive momentum in the aerospace and defense sector [2]. - Despite the growth in backlog, UBS pointed out that the company's funded backlog has continued to decline year-over-year [2]. Company Overview - SAIC operates as a technology integrator, providing full lifecycle engineering, IT, and professional services primarily to US government clients across defense, intelligence, space, and civilian sectors [4].