Synaptics: 'Touchpad' star

While you may not be familiar with the name Synaptics (NASDAQ: SYNA), if you've ever used a notebook computer you're likely familiar with its products. The company's touchpads -- which are used to move the cursor -- are the standard on notebook computers, notes George Gilder and Charlie Burger.

Now, according to the editors of The Gilder Technology Report, the company is looking to put its touch interfaces "wherever you find buttons, switches, and LCD screens."

Synaptics reported a 39% sequential rise in revenue last quarter and the advisors point out that a fifth of total revenue were sales into non-PC products such as portable music players and cellphones.

They explain, "The company's quick-launch buttons enable easy access to multimedia functions such as music and messaging. In some phones, they note, Synaptics is replacing most of the mechanical buttons with a display that responds to a light touch or movement of the finger.

In another advance, they explain, "Synaptics now offers 'precision scrolling' which relates scrolling distance on the screen directly to the finger motion on a touchpad and allows users to accurately move both long and short distances."

As to the stock, they suggest, "Synaptics's ascent appears set to continue. The seasonally weaker March quarter, though forecast to be down sequentially, should exceed the year-ago quarter by almost half as the company drives toward record revenue of $252 million for fiscal year 2007 (ending June)."

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