NVIDIA Corporation (NVDA): Today's Featured Electronics Loser

NVIDIA Corporation ( NVDA) pushed the Electronics industry lower today making it today's featured Electronics loser. The industry as a whole was unchanged today. By the end of trading, NVIDIA Corporation fell 38 cents (-2.9%) to $12.85 on average volume. Throughout the day, 17 million shares of NVIDIA Corporation exchanged hands as compared to its average daily volume of 13.3 million shares. The stock ranged in price between $12.78-$13.23 after having opened the day at $13.18 as compared to the previous trading day's close of $13.23. Other company's within the Electronics industry that declined today were: CEVA ( CEVA), down 22.3%, Silicon Image ( SIMG), down 12.4%, Cavium ( CAVM), down 10.1%, and Giga-tronics ( GIGA), down 9.8%.

NVIDIA Corporation provides graphics chips for use in smartphones, personal computers (PC), tablets, and professional workstations markets worldwide. It operates in three segments: Graphic Processing Unit (GPU), Professional Solutions Business (PSB), and Consumer Products Business (CPB). NVIDIA Corporation has a market cap of $8.03 billion and is part of the technology sector. The company has a P/E ratio of 13.8, equal to the average electronics industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are down 4.5% year to date as of the close of trading on Tuesday. Currently there are 12 analysts that rate NVIDIA Corporation a buy, one analyst rates it a sell, and 16 rate it a hold.

TheStreet Ratings rates NVIDIA Corporation as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the positive front, Standard Microsystems Corporation ( SMSC), up 38.8%, FormFactor ( FORM), up 16.5%, Winland Electronics ( WEX), up 14%, and A123 Systems ( AONE), up 11.9%, were all gainers within the electronics industry with Texas Instruments ( TXN) being today's featured electronics industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the electronics industry could consider iShares Dow Jones US Technology ( IYW) while those bearish on the electronics industry could consider ProShares Ultra Short Semiconductor ( SSG).
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