• Google’s (GOOG) share inched up to 65.5%, from 65.4% in January, and 63.3% a year ago.
• Yahoo (YHOO) fell to 16.8%, from 17% in January, and 20.6% a year ago.
• Ask.com (IACI) had 3.7% share, down from 3.8% in January, and 4.1% a year ago.
• AOL (AOL) had 2.5% share, flat with January, and down from 3.9% a year ago.

• Digi, he writes in a research note, is a leading supplier of wireless modules for machine-to-machine communications; he contends the company is poised to share in that market. He also notes that with over $3 a share in net cash, and a business that has consistently operated in the black, the company has the financial strength to consolidate the M2M industry and withstand economic downturns. He says DGII is “one of the few publicly traded companies that providers investors with a way to invest in a company heavily exposed to M2M communications,” an area he expects to be “one of the primary drivers of wireless industry growth over the next 20-30 years.”
• Trimble, he asserts, is well positioned in its core vertical markets, and has ample opportunity to grow both within those markets and into new markets. He thinks the GPS technology company should return to double-digit growth in 2010 -dgii but he considers the stock to be appropriately valued.

In Tuesday’s trading:

• DGII fell 4 cents to $11.
• TRMB rose 6 cents to $27.

“NetApp is one of an increasingly scarce breed of large-cap technology growth stories and a focused way to play the data center transformation trends,” he writes in a research note. “We expect superior execution, a best-of-breed product offering and expanding distribution to drive share gains for NetApp in the storage market.”

Ader maintains his Outperform rating on the stock.

NTAP today rose 4 cents, to $32.55.

The company also said it plans to increase its production capacity by 200 megawatt-hours, increasing total capacity to 560 megawatt-hours when construction is completed.

Meanwhile, the company also announced a deal with Navistar (NAV) to develop batteries for electric trucks to be built by the Navistar Modec Electric Vehicle Alliance.

AONE in late trading is up 25 cents, or 1.5%, to $17.

The company said results were hut by “unexpected difficulties” in implementing a Microsoft Dynamics AX ERP system.

For Q1, BIDZ sees revenue of $26 million to $28 million, with gross margin of 24%-26%, down from 29.6% in the fourth quarter, “as the company will push for market share to get back on a growth curve.” The company expects to break-even in the quarter on a pre-tax basis. The Street has been expecting profits of a nickel a share.

In late trading, BIDZ is up 4 cents, at $2.19.

“We expect PLT to benefit from accelerating adoption of wireless headsets and unified communication as the economic climate improves,” he writes. But the analyst adds that with the stock trading at 22x his FY 2010 estimates of $1.47 a share, the stock now reflects the turnaround he expects for 2010.

PLT is down 11 cents, or 0.4%, to $31.72.

PRST is down 22 cents, or 6.7%, to $3.07.

QLGC is up 37 cents, or 2%, to $19.39; volume is 3.9 million shares, well above the daily average of 2.4 million.

WBMD has about $800 million in cash and investments, and will use a portion of that to fund the tender offer.

The company said its board “believes that purchasing shares of WebMD’s common stock in the tender offer represents a superior alternative” to other potential uses of the funds.

WBMD is up $1.96, or 4.5%, to $45.74.

The Boston-based research firm contends that the global solar market will expand to $77 billion by 2015, growing at a 23% compounded rate from an estimated $39 billion in 2010. The industry, Lux analyst Ted Sullivan contends, will “wildly beat” current long-term expectations for the industry, with 2015 shipments increasing to an estimated 26.4 GW, from 9.3 GW in 2010.

So that’s the good news.

The problem is, before the industry enjoys the fruits of that growth, it’s going to have to suffer.

Sullivan sees a period of significant over-capacity ahead, and expects to see :”violent changes” in the industry, with “widespread company failures throughout the value chain.” He contends that the “continuing glut threatens low-quality and high-cost players alike,” and particularly singles out Evergreen Solar (ESLR) and the Uni-Solar brand from Energy Conversion Devices (ENER) as companies at risk, due to “high operating costs and insufficient scale.”

Sullivan asserts that solar is essentially an energy and construction business - not a consumer-driven sector like semiconductors, despite similarities in technology. The result, he says, is that solar has an adoption cycle determined by the replacement cycles for residential and commercial roofs - 15-20 years - and for natural gas power plants - up to 30 years.

Earlier: FSLR, ESLR, ENER: J.P. Morgan Downgrades On Supply Glut

“We believe various news articles and competitor notes calling for a build delay were just false alarms,” he writes. The company, of course, has now set an April 3 launch for Wi-Fi versions of the iPad, with 3G versions to ship toward the end of April. Berger, who tracks the chip industry, thinks many iPhone component suppliers will also sell into the iPad, including Infineon (IFX), Skyworks (SWKS), Triquint (TQNT), Broadcom (BRCM) and Texas Instruments (TXN).  Production in the 4-5 million unit range would “drive some material revenues” for these companies, he says, “particularly BRCM.”

Meanwhile, Berger has revised his estimates on iPod, iPhone, notebook and desktop builds.

Berger now sees Apple building 9.3 million iPods in the March quarter, up from his previous estimate of 4 million, with desktop units increasing to 1 million from 500,000, and notebooks now at 1.7 million, up from 1 million. By contrast, he has reduced his iPhone build forecast for the quarter to 6 million, from 7.5 million. The lower build level reflects Apple’s desire to cut channel inventory, he writes.

For Q2, he expects Apple to build 7.3 million iPhones, 7.2 million iPods, 500,000 notebooks and 100,000 desktops.

Berger stresses that short-term fluctuations in Apple’s production orders “are not highly correlated” with actual sales, due to inventory shifts up and down, the impact of new product launches and seasonal factors.

Moreover, Berger says that “secular growth at Apple seems intact, a positive for chip suppliers.”

AAPL today is up $5.23, or 2.4%, to $224.31; the stock earlier today hit a new high at $224.48.

Zelnick’s view is that the software company’s current valuation “merely reflects the financial value of the company’s recurring revenue streams,” and that the assets could be worth more to a strategic acquirer, either in whole or part. He lists CA (CA), BMC (BMC) and Microsoft (MSFT) as the most likely buyers, with potential interest as well from Oracle (ORCL) and IBM (IBM). I would note that Zelnick’s view runs counter to some other analysts who doubt there are any likely strategic buyers for the whole collection of Novell assets.

NOVL today is up 14 cents, or 2.4%, to $5.95, a modest premium to Elliott’s bid.

The magic today has been unveiled: it’s a new router.

Cisco this morning announced the CRS-3 “carrier routing system,” a new router intended to be “the foundation of the next-generation Internet,” to address “the astonishing growth of video transmission, mobile devices and new online services.” Cisco says the CRS-3 can handle more than 12x the traffic of the nearest competing system. A few other details:

• The CRS-3 has triple the capacity of its predecessor, the CRS-1, with up to 322 terabits per second, which Cisco says is enough capacity to download the entire print collection of the Library of Congress in just over a second - or to download every movie ever made in under four minutes.
• The CRS-3 is now in field trials. Pricing starts at $90,000. Launch is expected in calendar Q3 2010.
• The company also said the CRS-3 can save up to 60% on power consumption versus competitive platforms.
• The router is powered  by the Cisco QuantumFlow Array Processor, which it says “unifies the combined power of six chips to work as one, enabling unprecedented levels of service capabilities and processing power.”

AT&T (T) announced that it conducted a 100-Gigabit field trial of the the CRS-3.

CSCO is down 20 cents, or 0.8%, to $25.93.

“We believe wind industry fundamentals are nearing a bottom and expect Broadwind’s business fundamentals to begin to improve” starting in the 2010 second half “once excess inventory of turbines/towers have been drawn down,” he writes.

Blansett thinks the outlook is better for wind than for solar; today he downgraded the solar sector in anticipation of a supply glut in the 2010 second half.

BWEN today is up 35 cents, or 6.9%, to $5.46.

The company, a development-stage producer of ultra-small projectors, reported just Q4 revenue of just $971,000, down from $1.5 million a year earlier, with a loss of $8.7 million, or 11 cents a share. The company said that “green laser supply has been unpredictable and limited our ability to ramp production to higher volumes and fulfill orders.”

MVIS is down 26 cents, or 9.2%, to $2.57.

He also lifted his 2010 EPS forecast to 96 cents, from 86 cents; for 2011 he goes to $1.11, from 96 cents.

Mesniaeff writes that “near-term business trends remain positive,” and that the company is in the early innings of a push by the cable industry into the voice and data markets for small businesses that is tracking better than expected. He also contends that valuation is compelling, with the stock down 7% since June 2009, and now trading at about 10x his 2011 EPS estimate.

ARRS today is up $1.15, or 10.1%, to $12.57.

“Our checks indicate that excess inventory of DTVs exist at Wal-Mart (WMT), as the retailer overbuilt on larger-sized DTVs during the holiday season,” he writes in a research note. “Additionally, we believe tightness in [LCD] panel supply is still impacting Toshiba’s [North America] DTV shipments, causing delays in the ramp of 2010 models. For Zoran, the implication is slowing orders for DTV components from Funai, in particular.

Vinh trims his Q1 forecast to $92 million in revenue and a loss of 5 cents, from $93 million a loss of 3 cents. For 2010, he goes to $432 million and 38 cents from $449 million and 53 cents. For 2011, he now sees profits of 61 cents, down from 79 cents.

ZRAN is down 85 cents, or 7.1%, to $11.06.

“We believe rumors of Palm as a potential buyout candidate for larger technology companies such as Microsoft (MSFT), Dell (DELL), Nokia (NOK) and Hewlett-Packard (HPQ) among others has little merit,” he writes, despite a 45% drop in the company’s shares since February 12. With the stock trading at 1x his calendar 2010 sales estimate of $948 million, he thinks the shares still reflect a potential takeover premium. That said, he thinks the company’s $590 million cash position gives it enough resources to make several more attempts at developing a new phone; ergo, he maintains a Hold rating on the shares.

Meanwhile, Piper Jaffray analyst T. Michael Walkley this morning repeated his Neutral rating on Palm, while cutting his price target to $7, from $8. He also chopped his FY May 2010 revenue forecast to $1.18 billion, from $1.37 billion, and now sees a loss of $1.38, down from a loss of 83 cents. For FY 2011, he expects a loss of 86 cents; previously, he had expected a profit of 6 cents.

Walkley says channel checks find “continued modest sell-through” of the Pre Plus and Pixi Plus at Verizon Wireless, despite increased marketing and in-store training of sales reps. Consumers “overwhelmingly” have been choosing instead to buy the Blackberry Tour and Motorola Droid, he reports.

PALM nonetheless is up 15 cents, or 2.7% to $5.70.

“This industry faces a number of supply and margin headwinds” in the second half of the year, he writes in a research note, which “are likely to cause many solar stocks to underperform what we feel are more attractive alternative energy investments in the LED and wind sectors which look to have better underlying fundamentals over the next 12 months.”

Blansett says demand strength in the first half will result from “demand pull-forward” in Germany ahead of subsidy reductions later in the year. But in the second half, he expects excess supply as module makers aggressively expand supply. He thinks the situation looks “eerily similar” to the late 2008-early 2009 period when the market was oversupplied by as much as 30%. He thinks oversupply could approach 3-4 GWs - even worse than that previous period.

The Morgan analyst expects module prices to fall by 20% or more in the second half.

• FSLR: He cut his rating to Underweight from Neutral, with a target of $85, down from $140.
• ENER: To Underweight, from Neutral; target $6, down from $15.
• ESLR: To Neutral from Overweight; no target.

In today’s trading:

• FSLR is down $3.07, or 2.8%, to $105.57.
• ENER is down 40 cents, or 4.7%, to $8.16.
• ESLR is down 6 cents, or 4.7%, to $1.22.