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The Three New Rules for Tech-Stock Investing

Stock quotes in this article: NOK , MOT , AAPL , CLRK , RIG , STO , TS , HYDL , JCI  

Tech stocks are dead. Long live technology investing.

The three great rules for finding a highly profitable technology stock still work as well as they did back in the days when Microsoft(MSFT Quote), Intel(INTC Quote), Dell(DELL Quote) and Cisco Systems(CSCO Quote) were the kind of stocks that set an investor's blood racing and produced lip-smacking profits for portfolios.

I just don't think the rules work very well for mainstream technology stocks anymore.

That's because, first, the technology sector has changed so radically since the good ol' days before the bear market that began in March 2000. And second, because changes in the energy sector -- yes, the energy sector -- have created stocks in that part of the market that show all the traits of technology stocks in the 1990s.

Sales, Apps and Margins

What are the three great rules of technology investing? ...

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