TIBCO Software Inc. (TIBX): Today's Featured Computer Software & Services 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

TIBCO Software ( TIBX) pushed the Computer Software & Services industry higher today making it today's featured computer software & services winner. The industry as a whole closed the day down 0.6%. By the end of trading, TIBCO Software rose $0.31 (1.5%) to $21.55 on light volume. Throughout the day, 1,814,099 shares of TIBCO Software exchanged hands as compared to its average daily volume of 3,335,000 shares. The stock ranged in a price between $21.16-$21.75 after having opened the day at $21.23 as compared to the previous trading day's close of $21.24. Other companies within the Computer Software & Services industry that increased today were: Bridgeline Digital ( BLIN), up 26.7%, Image Sensing Systems ( ISNS), up 6.4%, Commtouch Software ( CTCH), up 6.2% and E2open ( EOPN), up 4.0%.
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TIBCO Software Inc. provides middleware and infrastructure software worldwide. It offers products in the areas of service-oriented architecture (SOA) and core infrastructure; business optimization; and process automation and collaboration. TIBCO Software has a market cap of $3.4 billion and is part of the technology sector. The company has a P/E ratio of 31.4, above the S&P 500 P/E ratio of 17.7. Shares are down 3.4% year to date as of the close of trading on Thursday. Currently there are 12 analysts that rate TIBCO Software a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates TIBCO Software as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures 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, Webmedia Brands ( WEBM), down 13.6%, Intelligent Systems ( INS), down 7.6%, China Mobile Games and Entertainment Group ( CMGE), down 6.5% and Marketo ( MKTO), down 5.5% , were all laggards within the computer software & services industry with Fidelity National Information Services ( FIS) being today's computer software & services industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the computer software & services industry could consider iShares S&P NA Tech Software Idx ( IGV) while those bearish on the computer software & services industry could consider ProShares Ultra Short Technology ( REW).

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