5 Stocks Pushing The Electronics Industry Lower

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

All three major indices are trading up today with the Dow Jones Industrial Average ( ^DJI) trading up 83 points (0.6%) at 13,218 as of Monday, Dec. 17, 2012, 11:50 AM ET. The NYSE advances/declines ratio sits at 1,927 issues advancing vs. 999 declining with 148 unchanged.

The Electronics industry currently sits up 0.2% versus the S&P 500, which is up 0.8%. On the negative front, top decliners within the industry include Cubic Corporation ( CUB), down 3.8%, Micron Technology ( MU), down 2.4% and Advanced Semiconductor Engineering ( ASX), down 0.7%. Top gainers within the industry include Geospace Technologies ( GEOS), up 29.6%, Dolby Laboratories ( DLB), up 6.3%, Cirrus Logic ( CRUS), up 4.4%, Cepheid ( CPHD), up 3.2% and AU Optronics Corporation ( AUO), up 2.4%.

TheStreet Ratings group would like to highlight 5 stocks pushing the industry lower today:

5. Nam Tai Electronics ( NTE) is one of the companies pushing the Electronics industry lower today. As of noon trading, Nam Tai Electronics is down $1.53 (-10.6%) to $12.96 on heavy volume Thus far, 1.3 million shares of Nam Tai Electronics exchanged hands as compared to its average daily volume of 716,600 shares. The stock has ranged in price between $12.65-$14.49 after having opened the day at $14.48 as compared to the previous trading day's close of $14.49.

Nam Tai Electronics, Inc. provides electronics manufacturing and design services to the original equipment manufacturers of telecommunication and consumer electronic products. Nam Tai Electronics has a market cap of $657.3 million and is part of the technology sector. The company has a P/E ratio of 17.5, below the S&P 500 P/E ratio of 17.7. Shares are up 176.3% year to date as of the close of trading on Friday. Currently there are no analysts that rate Nam Tai Electronics a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Nam Tai Electronics as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins. Get the full Nam Tai Electronics Ratings Report now.

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4. As of noon trading, Cavium ( CAVM) is down $1.46 (-4.3%) to $32.43 on heavy volume Thus far, 686,898 shares of Cavium exchanged hands as compared to its average daily volume of 833,000 shares. The stock has ranged in price between $31.96-$33.80 after having opened the day at $33.80 as compared to the previous trading day's close of $33.89.

Cavium, Inc. designs, develops, and markets semiconductor processors for intelligent and secure networks. Its semiconductor products enable customers to develop networking, wireless, storage, and electronic equipment. Cavium has a market cap of $1.8 billion and is part of the technology sector. Shares are up 22.8% year to date as of the close of trading on Friday. Currently there are 12 analysts that rate Cavium a buy, 1 analyst rates it a sell, and 5 rate it a hold.

TheStreet Ratings rates Cavium as a hold. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, expanding profit margins and increase in stock price during the past year. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow. Get the full Cavium Ratings Report now.

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3. As of noon trading, Mellanox Technologies ( MLNX) is down $2.66 (-4.0%) to $63.30 on average volume Thus far, 435,534 shares of Mellanox Technologies exchanged hands as compared to its average daily volume of 1.1 million shares. The stock has ranged in price between $62.74-$65.89 after having opened the day at $65.38 as compared to the previous trading day's close of $65.96.

Mellanox technologies, Ltd., a fabless semiconductor company, produces and supplies interconnect products for computing, storage, and communication applications in the computing, Web 2.0, storage, financial services, database, and cloud markets. Mellanox Technologies has a market cap of $2.9 billion and is part of the technology sector. The company has a P/E ratio of 22.1, above the S&P 500 P/E ratio of 17.7. Shares are up 108.0% year to date as of the close of trading on Friday. Currently there are 6 analysts that rate Mellanox Technologies a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Mellanox Technologies as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full Mellanox Technologies Ratings Report now.

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2. As of noon trading, NVIDIA Corporation ( NVDA) is down $0.18 (-1.5%) to $12.40 on average volume Thus far, 5.2 million shares of NVIDIA Corporation exchanged hands as compared to its average daily volume of 11.0 million shares. The stock has ranged in price between $12.35-$12.63 after having opened the day at $12.56 as compared to the previous trading day's close of $12.59.

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 $7.8 billion and is part of the technology sector. The company has a P/E ratio of 15.7, below the S&P 500 P/E ratio of 17.7. Shares are down 9.6% year to date as of the close of trading on Friday. Currently there are 8 analysts that rate NVIDIA Corporation a buy, 1 analyst rates it a sell, and 19 rate it a hold.

TheStreet Ratings rates NVIDIA Corporation as a hold. 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 and attractive valuation levels. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, weak operating cash flow and a generally disappointing performance in the stock itself. Get the full NVIDIA Corporation Ratings Report now.

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1. As of noon trading, First Solar ( FSLR) is down $0.62 (-1.9%) to $31.94 on light volume Thus far, 1.5 million shares of First Solar exchanged hands as compared to its average daily volume of 5.5 million shares. The stock has ranged in price between $31.40-$32.71 after having opened the day at $32.57 as compared to the previous trading day's close of $32.56.

First Solar, Inc. engages in the design, manufacture, and sale of solar modules using a thin-film semiconductor technology in the United States and internationally. The company is also involved in the design, construction, and sale of photovoltaic solar power systems. First Solar has a market cap of $2.8 billion and is part of the technology sector. Shares are down 5.9% year to date as of the close of trading on Friday. Currently there are 3 analysts that rate First Solar a buy, 1 analyst rates it a sell, and 19 rate it a hold.

TheStreet Ratings rates First Solar as a sell. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share. Get the full First Solar Ratings Report now.

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If you are interested in one of these 5 stocks, 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).

A reminder about TheStreet Ratings group: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

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