By Rex Crum

Technology stocks put in a mixed early trading performance Tuesday, as chip stocks got a lift following several upgrades by an analyst at Bank of America/Merrill Lynch, but the rest of the sector still struggled in the red due concerns about earnings reports set to begin next week.

The tech-heavy Nasdaq Composite Index (RIXF) fell 16 points to 1,771, and the Philadelphia Semiconductor Index (SOX) slipped into the red despite Bank of America's Sumit Dhanda raising his ratings on Intel Corp. (INTC), LSI Corp, (LSI), Marvell Technology Group Ltd. (MRVL), Maxim Integrated Products Inc. (MXIM) and National Semiconductor Corp. (NSM).

Dhanda raised his ratings on Intel and Marvell to buy from neutral, lifted his view of Maxim and National Semi to neutral from underperform and raised his rating on LSI to buy from underperform. In a research note, Dhanda said he made the moves following "favorable indications" in the chip demand and purchasing cycle.

"Recent macro data suggests definitive signs of a turn in end demand have begun to emerge, thus warranting a more constructive stance on the [semiconductor] group," Dhanda said.

Following Dhanda's upgrades, Intel rose 24 cents a share to $16.78; LSI was up 18 cents to $4.74 a share, Marvell rose 45 cents a share to $11.85, Maxim edged up by 4 cents to $15.76 a share and National Semi shares added 23 cents to trade at $12.50.

Still, the chip-sector gains didn't translate into a rally across the tech sector, as broad losses overtook the market due to more uncertainty about what the next round of earnings reports might look like. Among bellwether tech stocks, Intel and IBM Corp. (IBM) are set to report quarterly results next week.

IBM shares fell 78 cents Tuesday to trade at $100.88. Other declines came from Dell Inc. (DELL), Oracle Corp. (ORCL), EMC Corp. (EMC), Cisco Systems Inc. (CSCO), Microsoft Corp. (MSFT), Google Inc. (GOOG) and Apple Inc. (AAPL).

Hewlett-Packard Co. (HPQ) shares fell 48 cents to $37.27. The company is banking on new Web-connected printers and other initiatives to spur sales in its imaging and printing business.