Nuance Communications Inc. (NUAN): Today's Featured Technology 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.

Nuance Communications ( NUAN) pushed the Technology sector lower today making it today's featured Technology laggard. The sector as a whole closed the day up 0.8%. By the end of trading, Nuance Communications fell $2.89 (-18.1%) to $13.10 on heavy volume. Throughout the day, 64,025,490 shares of Nuance Communications exchanged hands as compared to its average daily volume of 4,879,200 shares. The stock ranged in price between $13.00-$14.91 after having opened the day at $14.90 as compared to the previous trading day's close of $15.99. Other companies within the Technology sector that declined today were: JA Solar Holdings Co. ADR ( JASO), down 10.2%, 21Vianet Group ( VNET), down 8.8%, Nam Tai Electronics ( NTE), down 8.4% and Inteliquent ( IQNT), down 8.2%.

Nuance Communications, Inc. provides voice and language solutions for businesses and consumers worldwide. Nuance Communications has a market cap of $5.1 billion and is part of the computer software & services industry. The company has a P/E ratio of 148.8, above the S&P 500 P/E ratio of 17.7. Shares are down 26.7% year to date as of the close of trading on Monday. Currently there are 4 analysts that rate Nuance Communications a buy, no analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Nuance Communications as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and notable return on equity. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year.

On the positive front, Eltek ( ELTK), up 26.0%, GigOptix ( GIG), up 25.5%, LiveDeal ( LIVE), up 25.1% and Elephant Talk Communications ( ETAK), up 15.6% , were all gainers within the technology sector with Baidu ( BIDU) 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).

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

null

More from Markets

Dow Drops Over 100 Points on Trade War Worries

Dow Drops Over 100 Points on Trade War Worries

Video: Athens Stock Exchange CEO on What's Next for Greece's Debt Woes

Video: Athens Stock Exchange CEO on What's Next for Greece's Debt Woes

What Angela Merkel's Uncertain Political Future Means for Greece's Debt Woes

What Angela Merkel's Uncertain Political Future Means for Greece's Debt Woes

3 Must Reads on the Market From TheStreet's Top Columnists

3 Must Reads on the Market From TheStreet's Top Columnists

Goldman Is Bullish on Oil, Sees Demand Outweighing Inventory Concern

Goldman Is Bullish on Oil, Sees Demand Outweighing Inventory Concern