Mastech Digital, based outside Pittsburgh, PA is an IT staffing business with a data and analytics, consulting, and project management service serving blue-chip customers in the US. Both businesses have been affected by the rapid decline in the economy and IT hiring as customers pull back. The company trades well below its peers and we expect stock price appreciation when it returns to growth aided by stock buybacks. It also plans to grow through acquisition. The potential for a recession, the banking crisis, interest rates, and inflation have hurt the staffing industry and lowering sales and valuations, but there are solid signs of improvement.
