This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Top Tech Stocks for 2010: TheStreet's Mid-Year Report

Stock quotes in this article: AMZN, RHT, VMW, MSFT, EBAY, AAPL, NOVL, ORCL, EMC, CTXS

Updated with Red Hat's first-quarter results.

NEW YORK ( TheStreet) -- Six months ago TheStreet busted out its top tech stocks for 2010. Here's our mid-term report for three of them.

Internet behemoth Amazon (AMZN) made our list of the year's top tech stocks after leaving rivals like eBay (EBAY) trailing in its wake. After successfully navigating the recession, Amazon was seen as one of the few large-cap tech companies capable of major growth.

Investors, however, have been less than impressed with Amazon so far this year, although the market's expectations may have been over-inflated.

Even good first-quarter results were not enough to drive the company's stock upward, although disappointing guidance weighed on Amazon's shares. Overall, Amazon's share price has dipped 0.98% over the last six months.

There are certainly some big hurdles in Amazon's path. The strengthening dollar, for example, recently prompted Barclays Capital to trim its Amazon price target and EPS estimates. State taxation of Internet sales, the so-called Amazon Tax, could also prove a headache for online retailers.

Another threat looming on the horizon is Apple's (AAPL) iPad, touted as a potential Kindle-killer.

Still, there are plenty of positives in the Amazon story. As of last month, the retail giant had reportedly sold 3 million Kindle e-readers, although exact figures have not yet been released. Amazon also clinched a recent deal to sell Kindles at retail giant Target (TGT).

The company's acquisition of popular online shoe seller Zappos.com was also a shrewd move that bodes well for the future, and third-party sellers are expected to drive Amazon's overseas sales.

Thomas Weisel recently initiated its coverage of Amazon with a Market weight rating and $135 price target. Amazon now holds a significant portion -- 12% -- of the total U.S. e-commerce market, according to the analyst firm.

Currently trading around $126.49, Amazon's share dip could still spell longer-term upside for investors.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,804.71 -238.19 -1.40%
S&P 500 1,946.16 -26.13 -1.32%
NASDAQ 4,422.0850 -71.3050 -1.59%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs