NEW YORK (TheStreet) -- It is broadly understood that chip stocks have become one of the best derivative plays on the market -- and for good reason. The growing popularity of smartphones and mobile devices from Apple (AAPL) and Google (GOOG) have made household names out of once-obscure players such as TriQuint (TQNT) and Cirrus Logic (CRUS) while also sending dominant names such as
When analyzing the report I took some good with some bad. For a stock that is priced for perfection as is ARM, any sign of weakness will draw a red flag. So I have no shame in admitting that I also scoured for "less than perfect" examples on its report. One such discovery was the fact that although the company logged a 13% increase in revenue from the previous year, that was still 4% below the previous quarter. It's far too early to suggest what that might mean, but I was also unimpressed by its paltry 6% growth in royalties.