Cerner Corporation (CERN): Today's Featured Technology Winner

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.

Cerner Corporation ( CERN) pushed the Technology sector higher today making it today's featured technology winner. The sector as a whole closed the day up 0.3%. By the end of trading, Cerner Corporation rose $1.80 (2.1%) to $87.18 on average volume. Throughout the day, 877,921 shares of Cerner Corporation exchanged hands as compared to its average daily volume of 844,700 shares. The stock ranged in a price between $85.59-$87.47 after having opened the day at $85.59 as compared to the previous trading day's close of $85.38. Other companies within the Technology sector that increased today were: China Mobile Games and Entertainment Group ( CMGE), up 65.3%, DynaVox ( DVOX), up 37.7%, Wireless Ronin Technologies ( RNIN), up 29%, and Novatel Wireless ( NVTL), up 14.4%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Cerner Corporation designs, develops, markets, installs, hosts, and supports healthcare information technology, healthcare devices, and content solutions for healthcare organizations and consumers worldwide. Cerner Corporation has a market cap of $15.08 billion and is part of the computer software & services industry. The company has a P/E ratio of 38.7, above the S&P 500 P/E ratio of 17.7. Shares are up 13% year to date as of the close of trading on Monday. Currently there are 11 analysts that rate Cerner Corporation a buy, one analyst rates it a sell, and six rate it a hold.

TheStreet Ratings rates Cerner Corporation 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, solid stock price performance and impressive record of earnings per share growth. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

On the negative front, Dialogic ( DLGC), down 14.9%, Dataram Corporation ( DRAM), down 11.4%, Pulse Electronics ( PULS), down 10.2%, and Vipshop Holdings Ltd ADR ( VIPS), down 10%, were all laggards within the technology sector with Teradata Corporation ( TDC) being today's technology sector laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the technology sector could consider Technology Select Sector SPDR ( XLK) while those bearish on the technology sector could consider ProShares Ultra Short Technology ( REW).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.

If you liked this article you might like

Cognizant Technology, Advanced Micro Devices: 'Mad Money' Lightning Round

Play Defense, Play the Dollar: Cramer's 'Mad Money' Recap (Tuesday 8/29/17)

These Stocks Are Ready to Reverse Course

Wall Street Weighs In on Athenahealth's Strategic Options

Trader's Daily Notebook: Staying on the Sidelines?