What's wrong with top tech stocks?Angus Walker
By Peter Garnry
Three tech stocks to watch this week. First, IBM and Peter Garnry, Head of Equity Strategy at Saxo Bank, is negative on the stock. Although he thinks the company has a “brilliant” long term vision there's concern that the company isn't performing as well as other firms in the sector.
Now, Microsoft, although Office and Word perform well, the stock appears undervalued. That's mainly because the company has been failing to click with the consumer. Peter is concerned by the price being lower than it perhaps should be. Rather than see that as a bargain, he worries it may be a sign of trouble ahead.
Finally, Nokia, a firm which has changed direction in the past; remember it once made tyres before switching to mobile phones. Nokia’s still making the phones but now trying to break into providing network solutions. A tough market and it faces serious Chinese competition. Profit margins are getting lower. Peter is negative on Nokia.