Tech Winners & Losers: Motorola

Updated from 2:27 p.m. with new stock prices

Tech stocks were mostly flat Monday during a trading session marked by an analyst downgrade that crushed handset maker Motorola(MOT Quote).

Shares of Motorola were down 49 cents, or 6.2%, to $7.45 after T. Michael Walkley, an analyst at Piper Jaffray, cut his rating on the stock to sell from neutral and reduced the price target to $7 from $9.75. Motorola continues to lose market share in North America, which represents nearly half of the company's unit sales, Walker said.

Google(GOOG Quote) shares were down after reports of a delay until at least of the fourth quarter of the release of smartphones using the company's Android operating system. The phones were expected to be out by the second half of the year. Shares of Google were down 88 cents, or 0.2%, to $545.55.

Smartphone maker Palm(PALM Quote) was down 31 cents, or 4.6%, to $6.39. The company is expected to report its fourth-quarter results Thursday. Analysts expect Palm to report earnings of 18 cents a share on revenue of $302.1 billion, compared with earnings of 17 cents a share on revenue of $401.3 billion, a year ago.

Satellite radio maker Sirius(SIRI Quote) continued to trade lower as investors remained concerned about its $4.6 billion acquisition of rival XM Satellite Radio(XMSR Quote).

Nearly a year and a half later, Sirius is still waiting for the deal to close, even as last week a Goldman Sachs analyst slashed his price target on the two stocks. Shares of Sirius were down 6 cents, or 3%, to $1.93, while XM shed 20 cents, or 2.4%, to $8.10.

Semiconductor equipment maker Credence Systems(CMOS Quote) and rival LTX(LTXX Quote) said Monday they will merge in an all-stock deal estimated at $176.6 million. Credence shares were up 2 cents, or 1.6%, to $1.27, while LTX fell 46 cents, or 16.4%, to $2.35.