4 Electronics Stocks Pushing The Industry Higher
Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model
All three major indices are trading down today with the Dow Jones Industrial Average (^DJI) trading down 62 points (-0.4%) at 15,060 as of Wednesday, June 12, 2013, 12:50 PM ET. The NYSE advances/declines ratio sits at 760 issues advancing vs. 2,254 declining with 88 unchanged.
The Electronics industry currently sits down 0.64 versus the S&P 500, which is down 0.61. A company within the industry that increased today was Kyocera Corporation (KYO), up 0.56. On the negative front, top decliners within the industry include Freescale Semiconductor (FSL), down 3.86, First Solar (FSLR), down 3.84, Atmel Corporation (ATML), down 3.08, Broadcom Corporation (BRCM), down 2.37 and Maxim Integrated Products (MXIM), down 1.86.
TheStreet Ratings group would like to highlight 4 stocks pushing the industry higher today:
4. Mellanox Technologies (MLNX) is one of the companies pushing the Electronics industry higher today. As of noon trading, Mellanox Technologies is up $3.33 (7.07) to $50.44 on heavy volume Thus far, 916,461 shares of Mellanox Technologies exchanged hands as compared to its average daily volume of 635,100 shares. The stock has ranged in price between $46.15-$50.98 after having opened the day at $47.21 as compared to the previous trading day's close of $47.11.
Mellanox Technologies, Ltd., a fabless semiconductor company, produces and supplies semiconductor interconnect products for computing, storage, and communications applications in the high-performance computing, Web 2.0, storage, financial services, database, cloud, and embedded markets. Mellanox Technologies has a market cap of $2.2 billion and is part of the technology sector. The company has a P/E ratio of 24.4, above the S&P 500 P/E ratio of 17.7. Shares are down 15.8% year to date as of the close of trading on Tuesday. Currently there are 3 analysts that rate Mellanox Technologies a buy, no analysts rate it a sell, and 8 rate it a hold.
TheStreet Ratings rates Mellanox Technologies as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins and notable return on equity. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and weak operating cash flow. Get the full Mellanox Technologies Ratings Report now.
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