Trimble Navigation Limited (TRMB): Today's Featured Technology Laggard

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

Trimble Navigation ( TRMB) pushed the Technology sector lower today making it today's featured Technology laggard. The sector as a whole closed the day down 1.4%. By the end of trading, Trimble Navigation fell $2.31 (-8.0%) to $26.43 on heavy volume. Throughout the day, 5,634,409 shares of Trimble Navigation exchanged hands as compared to its average daily volume of 1,448,500 shares. The stock ranged in price between $26.04-$27.60 after having opened the day at $26.54 as compared to the previous trading day's close of $28.74. Other companies within the Technology sector that declined today were: SemiLEDs ( LEDS), down 20.8%, Accelrys ( ACCL), down 19.0%, Cray ( CRAY), down 17.0% and Faro Technologies ( FARO), down 14.8%.
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Trimble Navigation Limited designs and distributes positioning products and applications enabled by global positioning system (GPS), optical, laser, and wireless communications technology. Trimble Navigation has a market cap of $7.2 billion and is part of the electronics industry. The company has a P/E ratio of 38.2, above the S&P 500 P/E ratio of 17.7. Shares are down 5.5% year to date as of the close of trading on Tuesday. Currently there are 6 analysts that rate Trimble Navigation a buy, no analysts rate it a sell, and 4 rate it a hold.

TheStreet Ratings rates Trimble Navigation as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, expanding profit margins, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.

On the positive front, MetroPCS Communications ( PCS), down 112.0%, Inteliquent ( IQNT), down 52.0%, Brightcove ( BCOV), down 24.8% and Kingtone Wirelessinfo Solution ( KONE), down 23.1% , were all gainers within the technology sector with Sourcefire ( FIRE) being today's featured technology sector leader.

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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