NEW YORK (TheStreet) -- With the market now trading a near record highs, you'll have to roll the dice to find a tech stock with much runway for future share price growth. But it doesn't have to be a gamble, if you know where to look.
One name deserving consideration is Applied Materials (AMAT), a Santa Clara, California-based company that should succeed as long as mobile device and electronic sales remain robust. Better still, Applied comes with considerably less risk than other companies in the sector, given that its display manufacturing equipment business -- it's largest growth segment -- has exposure beyond smartphones; it's products are used in other areas, like manufacturing glass coatings for homes and buildings.
AMAT stock closed Thursday at $19.86, down 0.35%. The shares have lost more than 20% on the year, which makes no sense, given that the company has done nothing but execute. And with spending on smartphones and tablets projected to grow in 2015 by close to $500 billion, Applied Materials, which supplies equipment, services and software to the companies that make components for those devices, looks like a smart way to profit off of that growth.
After market close Thursday, Applied Materials reported a profit of $364 million, or 29 cents per share, topping last year's profit of $262 million, or 21 cents per share. That translates to year-over-year growth of 39% and 38%, respectively. Analysts were looking for EPS of 31 cents.