Mellanox Technologies Ltd. (MLNX): Today's Featured Electronics Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Mellanox Technologies ( MLNX) pushed the Electronics industry lower today making it today's featured Electronics laggard. The industry as a whole closed the day up 1.6%. By the end of trading, Mellanox Technologies fell $2.09 (-5.0%) to $39.80 on average volume. Throughout the day, 845,405 shares of Mellanox Technologies exchanged hands as compared to its average daily volume of 715,900 shares. The stock ranged in price between $39.62-$42.45 after having opened the day at $42.16 as compared to the previous trading day's close of $41.89. Other companies within the Electronics industry that declined today were: Sequans Communications ( SQNS), down 7.4%, Aetrium Incorporated ( ATRM), down 7.3%, Netlist ( NLST), down 6.1% and China Sunergy ( CSUN), down 5.9%.

Mellanox Technologies, Ltd., a fabless semiconductor company, produces and supplies semiconductor interconnect products for computing, storage, and communications applications in the high-performance computing, Web 2.0, storage, financial services, database, cloud, and embedded markets. Mellanox Technologies has a market cap of $1.5 billion and is part of the technology sector. Shares are down 41.1% year to date as of the close of trading on Thursday. Currently there are 3 analysts that rate Mellanox Technologies a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Mellanox Technologies 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 and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, unimpressive growth in net income and disappointing return on equity.

On the positive front, CSR ( CSRE), up 196.2%, Vimicro International Corporation ( VIMC), up 21.7%, Altair Nanotechnologies ( ALTI), up 19.7% and Quicklogic Corporation ( QUIK), up 13.8% , were all gainers within the electronics industry with Broadcom Corporation ( BRCM) being today's featured electronics industry leader.

For investors not wanting singular stock exposure, 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).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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