Advertisement
Canada markets open in 5 hours 54 minutes

  • S&P/TSX

    21,873.72
    -138.00 (-0.63%)
     

  • S&P 500

    5,071.63
    +1.08 (+0.02%)
     

  • DOW

    38,460.92
    -42.77 (-0.11%)
     

  • CAD/USD

    0.7308
    +0.0011 (+0.15%)
     

  • CRUDE OIL

    82.99
    +0.18 (+0.22%)
     

  • Bitcoin CAD

    87,906.45
    -3,504.19 (-3.83%)
     

  • CMC Crypto 200

    1,391.03
    +8.46 (+0.61%)
     

  • GOLD FUTURES

    2,334.80
    -3.60 (-0.15%)
     

  • RUSSELL 2000

    1,995.43
    -7.22 (-0.36%)
     

  • 10-Yr Bond

    4.6520
    +0.0540 (+1.17%)
     

  • NASDAQ futures

    17,440.25
    -224.25 (-1.27%)
     

  • VOLATILITY

    16.26
    +0.29 (+1.82%)
     

  • FTSE

    8,077.96
    +37.58 (+0.47%)
     

  • NIKKEI 225

    37,628.48
    -831.60 (-2.16%)
     

  • CAD/EUR

    0.6815
    -0.0004 (-0.06%)
     

Strength Seen in Universal Display (OLED): Can Its 8.0% Jump Turn into More Strength?

Zacks Equity Research
·2 min read

Universal Display Corp. (OLED) shares soared 8% in the last trading session to close at $125.08. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 0.2% gain over the past four weeks.

Strong end-market demand is fueling significant growth opportunity for Universal Display over the long term. OLED is suitable for commercial usage in a number of industries, including smartphones, television, virtual reality devices and automotive markets. The increasing proliferation of smartphones, wearables and tablets are increasingly driving adoption of small-area OLEDs.

This organic light-emitting diode technology company is expected to post quarterly earnings of $0.91 per share in its upcoming report, which represents a year-over-year change of -5.2%. Revenues are expected to be $148.28 million, up 1.4% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

ADVERTISEMENT

For Universal Display, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on OLED going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Universal Display is a member of the Zacks Electronics - Miscellaneous Components industry. One other stock in the same industry, Stoneridge (SRI), finished the last trading session 0.6% lower at $21.83. SRI has returned -3% over the past month.

Stoneridge's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.22. Compared to the company's year-ago EPS, this represents a change of +191.7%. Stoneridge currently boasts a Zacks Rank of #3 (Hold).

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Universal Display Corporation (OLED) : Free Stock Analysis Report

Stoneridge, Inc. (SRI) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research