I am researching Manhattan Associates and Fabrinet, Inc. Both come up as technology sector. My portfolio is pretty heavy in tech, but everything that sounds like a good company because they provide a useful service or product is classified under tech. I am beginning to feel like any company that uses a computer is classified under tech. In considering these companies, can I quit worrying about the sector?

My club and my personal portfolio have a similar issue. It does seem like any company that uses computers or software in their service or product is classified as a tech company. One way we use to differentiate these "tech" companies is to look at the market they serve. Some serve specific industries while others have a broader base. For instance, Ellie Mae (ELLI) uses technology to streamline the mortgage application and acceptance process. It will be closely tied to the real estate industry. NIC, Inc (EGOV) is also considered a tech company but mainly helps governments use the internet by designing,monitoring and running government web sites including fee payment sites. A tech company but a much different market served.
Besides markets served tech companies can be differentiated by what they provide to customers. For example they may provide hardware, software, services or a combination of these.
By looking at market served and how a company serves its customers we avoid tech companies in our portfolio that directly compete with each other in large portions of their business.

Russell Malley