Polycom Inc. (PLCM): Today's Featured Telecommunications 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.

Polycom ( PLCM) pushed the Telecommunications industry lower today making it today's featured Telecommunications laggard. The industry as a whole closed the day up 1.3%. By the end of trading, Polycom fell $0.11 (-1.0%) to $10.82 on light volume. Throughout the day, 1,297,413 shares of Polycom exchanged hands as compared to its average daily volume of 3,369,200 shares. The stock ranged in price between $10.75-$10.94 after having opened the day at $10.90 as compared to the previous trading day's close of $10.93. Other companies within the Telecommunications industry that declined today were: Gogo ( GOGO), down 15.7%, xG Technology ( XGTI), down 6.0%, Blonder Tongue Laboratories ( BDR), down 5.4% and Elephant Talk Communications ( ETAK), down 4.3%.

Polycom, Inc. provides standards-based unified communications and collaboration (UC&C) solutions for voice and video collaboration. Polycom has a market cap of $1.5 billion and is part of the technology sector. Shares are up 4.5% year to date as of the close of trading on Tuesday. Currently there are 2 analysts that rate Polycom a buy, 2 analysts rate it a sell, and 8 rate it a hold.

TheStreet Ratings rates Polycom 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 expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.

On the positive front, eOn Communications Corporation ( EONC), up 87.9%, iPass ( IPAS), up 14.0%, ARC Group Worldwide ( ARCW), up 9.6% and Net Element ( NETE), up 8.1% , were all gainers within the telecommunications industry with AT&T ( T) being today's featured telecommunications industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the telecommunications industry could consider iShares Dow Jones US Telecom ( IYZ) while those bearish on the telecommunications industry could consider ProShares Ult Sht Telecommunication ( TLL).

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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