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Tech stocks are on the fast train down

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The financial crisis is hitting the technology sector hard. Apple (AAPL) is down 18 percent over the last 16 months and Google slipped below $400 a share for the first time in two years. Best Buy (BBY) hit its lowest mark of $35.64 since 2005 and Circuit City (CC) just hit .77 cents a share. Want more? RIM (RIM) is tumbling, Nokia (ADR) is down to 18.43 a share verse 38 at the beginning of the year, and Motorola (MOT) is back down to $7 a share after briefly spiking in August. The Nasdaq Composite Index (IXIC) is even working its way down to 2002 levels. We’re not financial advisors but when you look at the details, there might be some bargains out there for those with long term plans. 

Apple will rebound eventually and its press conferences tend to give a little bump – one is coming up too. Google might be down now but eventually they will rule the world. The first Android equipped phone is right around the corner too and if launch goes off well, it should boost the big blue G.

Best Buy is one of the largest electronic retailers in the world and they might experience some more down days if the credit market stays dry. Same thing for Circuit City as retailers small and large utilize lines of credit to purchase Christmas merchandise and pay employees. Therefore, if the credit isn’t available, sometime has to give and investors aren’t going to like whatever does. On the other hand, someone has to buy drowning Circuit City and the electronic retailers real estate portfolio alone has to be worth more than $.77 cents a share. 

As far as the other tech stocks go, the wireless biz isn’t fun sometime as any Motorola suit can tell you. But people love cell phones so as long as RIM and Nokia keep making killer handsets and not a re-hash of one successful model *cough*Motorola*cough* they should be fine. 

I’m not a Series 7 licensed banker so obviously you should listen to a word I am saying, but if long term is your goal, some tech stock might be for you. Check with a professional first though. 

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