Updated from 12:56 p.m. EDT

Tech stocks edged lower Wednesday but fell more softly than the wider market.

Check Point Software Technologies

(CHKP) - Get Report

gained 2.1% after Friedman Billings upgraded the security software stock to outperform, from market perform. Shares gained 50 cents to close at $24.15.

Check Point's gain tempered losses by computer peripheral maker

Logitech International

(LOGI) - Get Report

, which slid 2.6% to close at $26.78, and chipmaker

Applied Materials

(AMAT) - Get Report

, which shed 2.2% to close at $21.30, on the Nasdaq 100. The index was off more than 26 points to about 1994.

Bigger tech movers existed outside of the Nasdaq 100 index components.

Finisar

(FNSR) - Get Report

plummeted 21.5% after the computer networking company was downgraded to buy from strong buy by Needham & Co. The downgrade comes a day after the company posted preliminary first-quarter earnings results that disappointed investors. Finisar sees revenue of $105.7 million for its fiscal 2008 first quarter -- $500,000 less than the comparable period last year and below the $108.2 million consensus estimate recorded by Thomson Financial. Shares fell 81 cents to close at $2.95.

Shares of

OSI Systems

(OSIS) - Get Report

sank 19.6% after beating estimates for fiscal 2007 earnings but issuing disappointing revenue guidance for the first quarter and fiscal 2008. The company, which provides electronics to the security and health care industries, reported loss of $18.8 million, or $1.12 a share, for the year ended June 30. That compared with a loss of $2.4 million, or 17 cents a share, in the prior year. Revenue increased to $532.3 million from $452.7 million. Analysts polled by Thomson Financial expected a loss of $1.17 a share on revenue of $532.2 million.

For 2008, OSI sees net sales of between $580 million and $595 million, or year-over-year growth of between 9% and 12%. Analysts polled by Thomson Financial expect sales of $605.6 million. For the first quarter, the company sees net sales of between $125 million and $130 million, or year-over-year growth of between 8% and 13%, with a net loss per share "significantly reduced" from the loss of 36 cents per share reported in the first quarter of fiscal 2007. Analysts expect sales of $138.2 million and a loss of 9 cents a share.

OSI shares sank $5 to close at $20.56.

Business software maker

Applix

(APLX)

gained 22.3%, after Canadian software provider

Cognos

( COGN) agreed to buy it for $306 million in cash, or $17.87 a share. The offer represents a 24% premium to Applix's closing price Tuesday. Shares gained $3.21 to $17.58.