The following video is part of senior technology analyst Eric Bleeker's "Top 25 Tech Stocks" series where he reveals 25 great tech companies for investors looking for new ideas across a sector.
In today's edition, Eric looks at Cirrus Logic. The company is best known for its close relationship with Apple, its audio chips stretch across Apple's product lines. That's a key opportunity and risk for the company. While it can grow with Apple, losing any slots in Apple products could be disastrous. However, its solutions are also highly customized, and the iPhone's marrying of a phone, browser, and iPod means that Apple has the most incentive of any smartphone maker to use a premium solution like Cirrus Logic's audio codecs.
Eric believes there's an opportunity after investors sold off the stock when the company missed earnings, but that earnings miss came from the company's energy unit, which is in turnaround. In the long run, a slight miss from that segment shouldn't affect a longer-term investor's view of the company, especially if you're buying in for Cirrus Logic's audio end markets.
Cirrus Logic is just one company that's part of the next generation of billion-dollar technology companies the mobile revolution is creating. The Motley Fool has a just released free report on mobile named "The Next Trillion Dollar Revolution" that details a "hidden" component play inside mobile phones that's also dominating the exploding tech market in China. Inside the report we not only describe why the mobile revolution will dwarf any other technology revolution seen before it, but also name the company at the forefront of the trend. Hundreds of thousands of people have requested access to previous reports, but you can be among the first to access this just-released report by clicking here -- it's free.
At the time thisarticle was published Eric Bleekerowns shares of Cirrus Logic. The Motley Fool owns shares of Cirrus Logic, Texas Instruments, and Apple.Motley Fool newsletter serviceshave recommended buying shares of Apple, Linear Technology, and NXP Semiconductors.Motley Fool newsletter serviceshave recommended creating a bull call spread position in Apple. Try any of our Foolish newsletter servicesfree for 30 days. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.