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Technology stocks are able to cope with economic distress. The industry has performed solidly against all odds, as they offer a wide variety of diverse products, which enables tech to spread out its risk across many markets.

In this article, I will discuss four stocks in the technology sector that offer deep value and growth to investors. I have chosen these stocks because they have exhibited excellent revenue and earning growth and have bright future prospects, as evidenced below.

Nuance Communications Inc. (NUAN)

Nuance Communications has garnered considerable attention as the technology provider for the most exciting feature of Apple's iPhone 4S. Yes, I'm talking about Siri, and this has put NUAN as a good bet for investors, as Apple is all set to release iPad 3 and iTV this year. The success of Siri guarantees that Apple will surely have it implemented in their latest offerings, and this has put NUAN at an enviable position to the competitors.

However, the increased recognition that the company enjoys was not able to help their earnings. Investors termed the performance of the company as lackluster when the earnings fell short of their expectations. The surge that the stock experienced was undone by the cumulative sold off of the short term investors.

During a recent conference, Nuance said that the increase in earnings from "Siri" can not be expected to come all at once and will be spread over the next quarters.

For the quarter, NUAN reported revenues of $382 million, and earnings of 34 cents per share. Its overall sales increased by 19%, and earnings rose by 21%. This beat the growth of all the other leading vendors of Apple like Omnivision (OVTI), Broadcom (BRCM), Triquint (TQNT), and Skyworks (SWKS). For the year, it is expected that the company will post revenues of around $1.7 billion for 2012 and earnings of nearly $1.6 per share.

This makes Nuance Communication an ultimate investment for the long term investors, as the drop in the price makes it the ultimate time to buy the stock. The company has high potential, and meticulous analysts have pointed out that the company has experienced a growth in sales in all segments of its business - healthcare, imaging and enterprise. Furthermore, NUAN has gained considerable economic moat with the uniqueness of their voice recognition technology that gives them a significant competitive edge over their competitors and supplier power in terms of negotiation of prices with Apple. The company is well-diversified in terms of their sources for revenue, and this serves as reducing reliance on Apple for their revenue growth. I will urge long-term investors to buy this stock.

Alcatel-Lucent ADS (ALU)

Alcatel-Lucent has been a major surprise package. The company left its investors extremely delighted when their reported earnings were much stronger than expected. The company intends to further improve their financial figures by seeking to monetize their extensive portfolio of 29,000 patents. The company will also benefit tremendously by the shift of the industry towards LTE and their own measures of increasing efficiency. The company has cut down fixed costs over the last 3 years by a total amount of €1 billion.

Alcatel-Lucent is confident for 2012, and so are its investors. The company said that it will achieve higher margins, and as a result, will have more cash at the end of the year. This expectation is justified when you consider the results of the recent quarter. The company reported an improving cash flow of €541 million, which was an improvement of 40% over the €360 million amount reported in the previous period. The stock of ALU is currently being traded around $2, and has hovered between $1 and $6 over the 52-week range. The trailing P/E of the company is around 8, which is highly impressive and means that investors are getting good value at the current price of the stock.

The aspect that makes ALU even more exciting is that they are all set to be awarded a contract by the Spanish company Telefonica to construct a high-speed wireless network throughout the nation. Hence, ALU is ready to conquer to Spain, and this means that investors are in for a highly profitable ride. I will strongly recommend investors to buy the stock of ALU.

IPG Photonics Corp. (IPGP)

IPG Photonics is the largest player of the laser sector and has a market capitalization of nearly $2.6 billion. The vertically integrated company develops and manufactures a vast variety of fiber lasers and amplifiers for a huge range of markets. The stock of IPGP is among the top performers of the laser sector, and its price has risen by more than 60% over the past 52-week period. This stock is currently trading at around $55, and if we consider the trends using technical analysis, there are two major breakouts that we can expect from the stock.

That first breakout is overcoming the overhead resistance level of $55.1, and that second breakout is moving above the 200-day moving average of 55.8. If the stock of IPGP is able to sustain its upwards momentum and overcome the two breakout levels, then there is a high probability of the stock to move even above its October high of around $58.

IPG is a stable company that is experiencing steady growth. The technical analysis suggests that it is a good buy for short term.

America Movil S.A.B. de C.V. (AMOV)

America Movil is regarded as the largest telecom provider in the region of Latin America and serves millions of customers across 18 countries. The Mexican giant commands more that 70% of the Mexican wireless market. The company operates in Mexico through a subsidiary, and this subsidiary is regarded as the most profitable wireless operator across the globe.

The company generates impressive cash flows and its global presence allows it to easily fund its growth. The excess cash flow generated is more than adequate to make new acquisitions, increase dividend, and repurchase stock. Furthermore, America Movil has recently introduced their first ever prepaid phone system and this will enable them to expand its service to many other markets. The stock of AMOV, which is at $23, is considered a deep value and growth stock. It is at the right price to invest and it is highly recommended as a buy.

Source: 4 Technology Stocks To Consider