Technology has been a very solid sector this year, up 5.77% through last Friday, which ranks third in S&P sector performance. In spite of this strength, many of the top stocks to buy in the sector are actually down year-to-date. A new research report from Stifel highlights some of the top tech stocks in the firm’s research coverage universe that are actually down for the year, but carry a rating of Buy at the firm.
With the economy improving, and currency headwinds troubling some companies that do a high percentage of business outside the United States, there has been a perfect storm for top technology stocks to underperform. We screened the Stifel list for Buy-rated companies that are down year-to-date.
This company is down almost 9% so far this year but is Buy-rated at Stifel. Cray Inc. (NASDAQ: CRAY) provides innovative systems and solutions enabling scientists and engineers in industry, academia and government to meet existing and future simulation and analytics challenges. Leveraging more than 40 years of experience in developing and servicing the world’s most advanced supercomputers, Cray offers a comprehensive portfolio of supercomputers and big data storage and analytics solutions delivering unrivaled performance, efficiency and scalability. Cray’s Adaptive Supercomputing vision is focused on delivering innovative next-generation products that integrate diverse processing technologies into a unified architecture.
The company recently announced that the Supercomputing Education and Research Center (SERC) at the Indian Institute of Science (IISc) in Bangalore, India, has put a new Cray XC40 supercomputer into production. With more than 1.4 petaflops of compute performance, the Cray supercomputer nicknamed “SahasraT” at SERC is the first petaflop system in India.
The Stifel price target for the stock is $40, the same as the Thomson/First Call consensus target. The stock closed on Monday at $31.08 per share.