7 Telecom Stocks to Switch Off

Some communications stocks are just not keeping pace with rivals

   
7 Telecom Stocks to Switch Off

Communications and technology are obviously growth industries. Smartphones are ubiquitous in the West, and emerging markets continue to get more wired every day — or wireless, as it were, through modern communications technology.

But some high-tech communications stocks are just not keeping pace with competitors.

I watch more than 5,000 publicly traded companies with my Portfolio Grader tool, ranking companies by a number of fundamental and quantitative measures. And this week, seven communications-equipment stocks to sell.

Here they are, in alphabetical order. Each one of these stocks gets a “D” or “F” according to my research, meaning it is a “sell” or “strong sell.”

Alcatel-Lucent ADS (NYSE:ALU) works with mobile, fixed, Internet Protocol, optics technologies and other applications. In the last year, Alcatel-Lucent stock has dipped nearly 58%, compared to a 6% gain for the Dow Jones in the same time. ALU stock gets an “F” grade for sales growth, a “D” grade for earnings momentum and a “D” grade for the magnitude in which earnings projections have increased over the past months in my Portfolio Grader tool. For more information, view my complete analysis of ALU stock.

Ericsson ADR (NASDAQ:ERIC) is a communications-technology company based in Sweden. Ericsson is down 26% since this time last March. ERIC stock gets an “F” grade for sales growth, a “D” grade for earnings growth, an “F” grade for earnings momentum, an “F” grade for its ability to exceed the consensus earnings estimates on Wall Street and an “F” grade for the magnitude in which earnings projections have increased over the past months in my Portfolio Grader tool. For more information, view my complete analysis of ERIC stock.

JDS Uniphase Corp. (NASDAQ:JDSU) works with various communications customers and provides communications test and measurement solutions and optical products. While the broader markets have posted gains in the last year, JDSU has reported a significant loss of 50% in that time. JDSU stock gets an “F” grade for sales growth, an “F” grade for earnings growth, an “F” grade for earnings momentum and a “D” grade for return on equity in my Portfolio Grader tool. For more information, view my complete analysis of JDSU stock.

Juniper Networks Inc. (NYSE:JNPR) provides the networking requirements for global service providers, enterprises and public sector organizations. In the last year, JNPR stock is down 52%. Juniper stock gets an “F” grade for sales growth, a “D” grade for operating margin growth, a “D” grade for earnings growth, a “D” grade for earnings momentum, a “D” grade for its ability to exceed the consensus earnings estimates on Wall Street, an “F” grade for the magnitude in which earnings projections have increased over the past months and a “D” grade for return on equity in my Portfolio Grader tool. For more information, view my complete analysis of JNPR stock.

Nokia Corp. (NYSE:NOK) provides digital map information and related location-based content and services for a variety of applications. NOK is down 39% in the last 12 months. Nokia stock gets an “F” grade for sales growth, an “F” grade for operating margin growth, an “F” grade for earnings growth, an “F” grade for earnings momentum, an “F” grade for the magnitude in which earnings projections have increased over the past months and a “D” grade for return on equity in my Portfolio Grader tool. For more information, view my complete analysis of NOK stock.

Research in Motion Ltd. (NASDAQ:RIMM) is best known as the developer of the BlackBerry smartphone but is also becoming known for poor stock performance. In just the last year, Research in Motion has lost 80%. RIMM stock gets an “F” grade for sales growth, a “D” grade for operating margin growth, an “F” grade for earnings growth, an “F” grade for earnings momentum and a “D” grade for the magnitude in which earnings projections have increased over the past months in my Portfolio Grader tool. For more information, view my complete analysis of RIMM stock.

Riverbed Technology Inc. (NASDAQ:RVBD) troubleshoots problems that are common in IT and across wide-area networks. RVBD finds a spot on the list with a yearly loss of 36%. RVBD stock gets a “D” grade for earnings momentum and a “D” grade for the magnitude in which earnings projections have increased over the past months in my Portfolio Grader tool. For more information, view my complete analysis of RVBD stock.

Get more analysis of these picks and other publicly-traded stocks with Louis Navellier’s Portfolio Grader tool, a 100% free stock-rating tool that measures both quantitative buying pressure and eight fundamental factors.


Article printed from InvestorPlace Media, http://investorplace.com/2012/03/7-telecom-stocks-to-switch-off/.

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