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10 Best Data Processing Stocks to Buy in 2026

Data-driven analysis of 30 data processing stocks ranked by Tradestie Score

Updated
30 stocks analyzed
5 min read
30
Stocks Analyzed
51.9
Avg. Score
$348B
Total Market Cap
68.0
Top Score
Sep 04, 2026
Last Updated
The Data Processing sector is attracting investor focus due to accelerating enterprise demand for scalable data handling amid AI adoption and digital transformation, with top names like FA posting a Tradestie Score of 68.0. Companies across background screening, location services, and billing platforms are capturing value from rising data volumes and regulatory compliance needs. The sector's mix of $0.8B to $37.9B market caps offers exposure to both specialized operators and high-growth platforms.

Top 3 Picks

2
LIF
Life360, Inc. Common Stock
66.1
Tradestie
Score
View Analysis
3
CSGS
CSG Systems International
63.8
Tradestie
Score
View Analysis

2026 Outlook

Sector trends point to sustained 2026 growth from quantum processing advancements and data center expansion, alongside recurring-revenue models in customer management software. Firms with Tradestie Scores above 60 are positioned to benefit as annual data creation continues to rise sharply. Margin pressure from competition and integration costs remains a key variable for smaller players.

Complete Rankings

Rank Stock Score Price Market Cap
1
FA
First Advantage Corporation Common Stock
68.0 $21.38 $2.7B
2
LIF
Life360, Inc. Common Stock
66.1 $44.17 $8.2B
3
CSG Systems International
63.8 $80.69 $1.9B
4
Reddit, Inc.
60.4 $154.46 $37.9B
5
Applied Digital Corporation Common Stock
60.3 $26.37 $6.7B
6
D-Wave Quantum Inc.
59.1 $16.58 $8.8B
7
LiveRamp Holdings, Inc. Common Stock
59.1 $37.75 $1.8B
8
Cars.com Inc. Common Stock
58.9 $11.73 $758M
9
Verisk Analytics, Inc. Common Stock
58.0 $185.79 $34.9B
10
Innodata Inc.
57.1 $55.66 $2.6B
11
GoodRx Holdings, Inc. Class A Common Stock
56.9 $3.48 $1.7B
12
EVERTEC, INC.
56.5 $30.35 $2.2B
13
Clarivate Plc
53.2 $2.07 $2.5B
14
IBEX Limited Common Shares
52.0 $39.17 $542M
15
TaskUs, Inc. Class A Common Stock
50.7 $7.91 $1.6B

In-Depth Analysis: Top Data Processing Stocks

1

FA

First Advantage Corporation Common Stock
68.0
Score
$21.38
$2.7B
Company Overview

First Advantage Corp is a provider of global software and data in the Human Resources technology industry. The company leverages proprietary technology and AI across its platforms, data, and APIs to deliver comprehensive background screening, digital identity, and verification solutions driven by innovation, automation, and customer success. Its reportable segments are First Advantage Americas, First Advantage International, and Sterling. Maximum …

Why This Matters

First Advantage Corporation matters in the Data Processing sector as a specialized provider of AI-driven background screening, digital identity, and verification solutions that process global HR data through proprietary platforms and APIs.

Profitability Analysis

First Advantage shows limited profitability with a 1.5% profit margin and 1.9% ROE despite 14.9% revenue growth, while the 131.4 P/E ratio reflects a high valuation relative to current earnings.

1.5%
Profit Margin
1.9%
ROE
14.9%
Revenue Growth
131.4
P/E Ratio
Why It's a Buy in 2026

Investors should consider FA for 2026 as 14.9% revenue growth and a 68.0/100 Tradestie Score position the company to capture expanding demand for AI-enabled HR data processing. Scaling operations could lift margins above the current 1.5% level, supporting earnings growth that narrows the 131.4 P/E multiple. The sector tailwinds in global identity verification further enhance the case for multiple expansion if ROE improves from 1.9%.

2

LIF

Life360, Inc. Common Stock
66.1
Score
$44.17
$8.2B
Company Overview

Life360 is the world's largest family-focused social network, with nearly 100 million monthly active users. Security-conscious families use the Life360 app to track each other's whereabouts and to track the location of their pets and personal belongings. Life360 also offers a suite of additional security features, such as driver safety monitoring, roadside assistance, and emergency dispatching. In the US, the …

Why This Matters

Life360 processes real-time location data for nearly 100 million monthly active users in the family tracking segment, positioning it as a leader in scalable data processing for consumer location services.

Profitability Analysis

A 25.7% profit margin and 30.1% ROE reflect strong operational efficiency, while 37.8% revenue growth signals sustained financial health in a high-margin data environment.

25.7%
Profit Margin
30.1%
ROE
37.8%
Revenue Growth
25.5
P/E Ratio
Why It's a Buy in 2026

With a P/E of 25.5 and Tradestie Score of 66.1, the stock offers attractive entry for 2026 amid continued user expansion and data monetization. Revenue growth of 37.8% supports further margin expansion as scale increases in location data processing. Investors gain exposure to a dominant network effect in family security applications with proven 30.1% ROE.

3

CSGS

CSG Systems International
63.8
Score
$80.69
$1.9B
Company Overview

CSG Systems International Inc is a purpose-driven, SaaS platform company that enables companies in a wide variety of industry verticals to tackle the growing complexity of business in the digital age. The company's cloud-first architecture and customer-centric approach empower companies to deliver unforgettable experiences for B2B (business-to-business), B2C (business-to-consumer), and B2B2X (business-to-business-to-consumer) customers, making it easier for people and businesses …

Why This Matters

CSG Systems International provides SaaS platforms with cloud-first architecture that process complex billing and customer data for telecom, finance, and utilities verticals, addressing rising digital transaction volumes in the Data Processing sector.

Profitability Analysis

CSG's 5.1% profit margin paired with 22.1% ROE shows efficient equity utilization despite thin margins, while 4.8% revenue growth and a 36.0 P/E reflect modest top-line expansion priced for future profitability gains.

5.1%
Profit Margin
22.1%
ROE
4.8%
Revenue Growth
36.0
P/E Ratio
Why It's a Buy in 2026

CSG's SaaS transition and cloud architecture position it to capture data-processing demand growth through 2026, with 22.1% ROE supporting potential margin expansion above the current 5.1% level. The 63.8/100 Tradestie Score and 4.8% revenue trajectory offer entry at a 36.0 P/E ahead of sector digitalization tailwinds.

4

RDDT

Reddit, Inc.
60.4
Score
$154.46
$37.9B
Company Overview

Reddit is a social media platform where users can engage in conversations, explore, and create communities centered around their interests. Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit has evolved into a vast network of user-generated content organized into specialized forums known as "subreddits." The platform's unique community-driven model relies on volunteer moderators to manage content and maintain …

Why This Matters

Reddit processes and structures vast volumes of user-generated content across specialized communities, supplying high-quality datasets critical for analytics, AI training, and data-driven applications in the Data Processing sector.

Profitability Analysis

Reddit exhibits strong financial health with a 31.4% profit margin and 30.7% ROE, backed by 61.1% revenue growth that signals efficient scaling and operational leverage.

31.4%
Profit Margin
30.7%
ROE
61.1%
Revenue Growth
36.3
P/E Ratio
Why It's a Buy in 2026

Investors should consider RDDT for 2026 given its 61.1% revenue growth and 31.4% margins that support sustained profitability expansion. The platform's unique data assets position it for additional monetization in AI and analytics, potentially justifying the 36.3 P/E multiple through continued sector leadership.

5

APLD

Applied Digital Corporation Common Stock
60.3
Score
$26.37
$6.7B
Company Overview

Applied Digital Corp is a designer, developer, and operator of next-generation digital infrastructure across North America. It provides digital infrastructure solutions and cloud services to industries like High-Performance Computing (HPC) and Artificial Intelligence (AI). The company operates in the following business segments: Data Center Hosting Business and HPC Hosting Business. The majority of its revenue is generated from the Data …

Why This Matters

Applied Digital Corp operates next-generation digital infrastructure for High-Performance Computing and AI across North America, directly supporting the data processing sector's shift toward specialized cloud and colocation services amid surging AI workloads.

Profitability Analysis

The company posted 406.6% revenue growth yet maintains a -39.9% profit margin and -8.4% ROE, reflecting heavy infrastructure investment and ongoing operating losses that pressure near-term financial health.

-39.9%
Profit Margin
-8.4%
ROE
406.6%
Revenue Growth
Why It's a Buy in 2026

Explosive top-line expansion positions APLD to capture AI-driven demand in data processing as capacity comes online in 2026. Scaling operations could narrow the -39.9% margin toward breakeven, while the 60.3/100 Tradestie Score signals improving execution relative to peers. Investors targeting HPC infrastructure growth may find entry attractive before sustained profitability materializes.

6

QBTS

D-Wave Quantum Inc.
59.1
Score
$16.58
$8.8B
Company Overview

D-Wave Quantum Inc is in the development and delivery of quantum computing systems, software, and services, and it is the commercial supplier of quantum computers and the only company building both annealing quantum computers and gate-model quantum computers. It delivers customer value with practical quantum applications for problems as diverse as logistics, artificial intelligence, materials sciences, drug discovery, scheduling, cybersecurity, …

Why This Matters

D-Wave Quantum Inc. is the sole commercial supplier of both annealing and gate-model quantum computers, positioning it as a key innovator in the Data Processing sector for solving complex optimization and simulation problems beyond classical limits.

Profitability Analysis

The company's ROE of -28.0% and revenue growth of -0.6% reflect persistent net losses and contracting top-line performance, signaling weak financial health and ongoing cash burn in its early commercialization phase.

-28.0%
ROE
-0.6%
Revenue Growth
Why It's a Buy in 2026

QBTS offers upside for 2026 investors through its dual quantum architecture leadership, which could capture enterprise data processing contracts as annealing systems scale to practical workloads. A Tradestie Score of 59.1/100 combined with potential revenue inflection from software and services expansion supports re-rating potential if quantum adoption accelerates.

7

RAMP

LiveRamp Holdings, Inc. Common Stock
59.1
Score
$37.75
$1.8B
Company Overview

LiveRamp Holdings Inc is a technology company that helps companies build enduring brand and business value by collaborating responsibly with data. A groundbreaking leader in consumer privacy, data ethics, and foundational identity, LiveRamp offers a connected customer view with clarity and context while protecting brand and consumer trust. The Company provides a data collaboration platform, essentially acting as a data …

Why This Matters

LiveRamp matters in the Data Processing sector as a foundational provider of privacy-compliant identity resolution and data collaboration, delivering connected customer views that help enterprises manage ethical data use amid rising regulatory demands.

Profitability Analysis

LiveRamp shows solid financial health with an 18.7% profit margin and 16.1% ROE, backed by 9.8% revenue growth, while its 15.8 P/E ratio reflects efficient operations without excessive valuation.

18.7%
Profit Margin
16.1%
ROE
9.8%
Revenue Growth
15.8
P/E Ratio
Why It's a Buy in 2026

Investors should consider RAMP for 2026 as its leadership in data ethics positions it for sustained demand in privacy-focused data processing. The combination of 18.7% margins, 16.1% ROE, and 9.8% revenue growth supports margin expansion and earnings growth. At a 15.8 P/E, the stock offers potential multiple re-rating as data collaboration volumes increase.

8

CARS

Cars.com Inc. Common Stock
58.9
Score
$11.73
$758M
Company Overview

Cars.com Inc is an online destination for buying and selling new and used vehicles. It is an audience-driven technology company empowering the automotive industry. The company brands include Dealer Inspire, DealerRater, FUEL, Accu-Trade, PickupTrucks.com, CreditIQ, and NewCars.com., websites directed towards different consumer segments.

Why This Matters

Cars.com Inc. matters in the Data Processing sector as a digital platform that aggregates and processes vehicle listings, consumer ratings, and financing data through brands including DealerRater, CreditIQ, and Accu-Trade to connect automotive buyers and sellers.

Profitability Analysis

Cars.com reports a 4.7% profit margin and 7.4% ROE with a P/E of 21.1, reflecting moderate financial health, while 0.7% revenue growth signals constrained top-line momentum in data-driven automotive services.

4.7%
Profit Margin
7.4%
ROE
0.7%
Revenue Growth
21.1
P/E Ratio
Why It's a Buy in 2026

CARS offers investors exposure to automotive digitization with scalable data platforms that can lift margins beyond 4.7% as transaction volumes recover. Its 21.1 P/E provides entry at reasonable valuation relative to sector peers, and brands like Dealer Inspire position it for share gains in online vehicle sales by 2026. A Tradestie Score of 58.9/100 leaves room for re-rating if revenue growth accelerates from current 0.7% levels.

9

VRSK

Verisk Analytics, Inc. Common Stock
58.0
Score
$185.79
$34.9B
Company Overview

Verisk Analytics is a leading provider of data analytics and proprietary solutions supporting clients within the insurance ecosystem. Verisk operates under a single segment with two separate business units, underwriting and claims. Within underwriting, the company operates as both a statistical agent and advisory organization collecting and aggregating industrywide claims and policy data and providing insurers with pre-approved forms, rules, …

Why This Matters

Verisk Analytics matters in the Data Processing sector as a leading provider of proprietary data analytics and solutions for the insurance ecosystem, functioning as a statistical agent across its underwriting and claims business units.

Profitability Analysis

Verisk's 28.2% profit margin and 43.8% ROE reflect strong profitability and efficient capital deployment, while its 4.4% revenue growth and 29.3 P/E indicate a mature, high-margin profile with disciplined financial health.

28.2%
Profit Margin
43.8%
ROE
4.4%
Revenue Growth
29.3
P/E Ratio
Why It's a Buy in 2026

Investors should consider VRSK in 2026 for its 43.8% ROE and 28.2% margins that support consistent value creation in insurance data analytics. The company's single-segment focus on underwriting and claims positions it for stable demand growth, with the 29.3 P/E offering reasonable entry relative to returns.

10

INOD

Innodata Inc.
57.1
Score
$55.66
$2.6B
Company Overview

Innodata Inc is a data engineering company. It is helping companies deploy and integrate AI into their operations and products and providing AI-enabled industry platforms. The Company's operations are classified in three reporting segments: Digital Data Solutions (DDS), Synodex and Agility. Key revenue is generated from DDS segment provides AI data preparation services, collecting or creating training data, annotating training …

Why This Matters

Innodata Inc. matters in the Data Processing sector by supplying data engineering services that enable enterprise AI deployment and integration, with operations segmented across Digital Data Solutions, Synodex, and Agility to deliver AI-enabled industry platforms.

Profitability Analysis

Innodata reports a 14.7% profit margin alongside a 37.8% ROE, reflecting efficient capital deployment and operational leverage, while 57.8% revenue growth underscores rapid top-line expansion in AI data processing.

14.7%
Profit Margin
37.8%
ROE
57.8%
Revenue Growth
42.0
P/E Ratio
Why It's a Buy in 2026

Investors should consider INOD in 2026 as its 57.8% revenue growth positions the company to capture sustained demand for AI data infrastructure. The 37.8% ROE signals potential for continued earnings expansion as AI integration scales across clients. A P/E of 42.0 embeds growth expectations that align with sector tailwinds in data engineering.

Methodology

Stocks are ranked using the Tradestie Score, a proprietary 0-100 rating that combines fundamental quality (profitability, balance sheet strength), growth metrics (revenue and earnings growth), valuation (P/E, PEG ratio), and momentum factors. Scores are updated daily based on the latest market data. Learn more about our methodology.