Qualcomm Inc. (QCOM): 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

Qualcomm ( QCOM) pushed the Technology sector higher today making it today's featured technology winner. The sector as a whole closed the day up 0.2%. By the end of trading, Qualcomm rose $0.65 (1.0%) to $64.58 on average volume. Throughout the day, 10,821,018 shares of Qualcomm exchanged hands as compared to its average daily volume of 11,336,900 shares. The stock ranged in a price between $63.58-$64.59 after having opened the day at $64.09 as compared to the previous trading day's close of $63.93. Other companies within the Technology sector that increased today were: Power-One ( PWER), up 56.7%, Webmedia Brands ( WEBM), up 24.6%, Voltari ( VLTC), up 20.0% and Performance Technologies ( PTIX), up 18.3%.
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QUALCOMM Incorporated designs, develops, manufactures, and markets digital telecommunications products and services. It operates in four segments: QCT, QTL, QWI, and QSI. Qualcomm has a market cap of $109.3 billion and is part of the telecommunications industry. The company has a P/E ratio of 19.1, above the S&P 500 P/E ratio of 17.7. Shares are up 2.9% year to date as of the close of trading on Friday.

TheStreet Ratings rates Qualcomm 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, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself.

On the negative front, Intelsat ( I), down 62.6%, Deltathree ( DDDC), down 30.0%, Affymetrix ( AFFX), down 9.4% and Park City Group ( PCYG), down 9.4% , were all laggards within the technology sector with Red Hat ( RHT) 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).

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