OLED stock: buy or sell?

OLED stock price: $204.01 -3.60% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

3

Universal Display collapsed a terrifying -3.60% and closed at $204.01.

Universal Display Corporation engages in the research, development, and commercialization of organic light emitting diode (OLED) technologies and materials for use in flat panel displays and solid-state lighting applications.

Should I buy OLED stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. That's why is so important to define your own trading strategy that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

Currently, Universal Display stock doesn't match any of these trading strategies, so our recommendation is not to buy.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Universal Display stock a buy?

Banks and financial institutions post stock ratings everyday. At Stocks2.com, we detected 15 ratings published for OLED stock in the last 30 days.

The general sentiment of these ratings is bullish for OLED stock, with 7 positive ratings.
Is OLED a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-2Roth Capitaln/aNeutral
2019-8-2Needham & Company LLCBuyHold
2019-8-2Citigroupn/aNeutral
2019-7-24Berenberg BankHoldHold
2019-7-23Deutsche Bankn/aBuy
2019-7-22Roth CapitalBuyNeutral
2019-7-12Needham & Company LLCBuyBuy
2019-7-12Needham & Company LLCBuyBuy
2019-7-10OppenheimerOutperformMarket Perform
2019-5-6CitigroupBuyBuy
2019-5-10CitigroupBuyNeutral
2019-2-26Roth Capitaln/aBuy
2019-2-22UBS Groupn/aOutperform
2019-2-22Needham & Company LLCn/aBuy
2019-2-22Deutsche Bankn/an/a

OLED stock analysis

Daily outlook

Shares of Universal Display collapsed a terrifying -3.60% and closed at $204.01.

Universal Display shares collapsed -3.60% to $204.01 today. On Aug 2nd, OLED hit a new all time high, pushing higher than on Aug 1st tops. Check different trading setups that use ATHs as triggers. Since June when OLED stock price broke up the SMA50d line, it gained $42.34 (26.19%).

OLED stock chart (daily)

Weekly outlook

Universal Display shares slipped -3.21% this week, ending at $204.01.

Universal Display stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last all-time high Universal Display marked late July. Since mid March when SMA20w and SMA40w crossed up, OLED price gained $56.70 per share (38.49%). Since price and SMA40w lines crossed up late January, OLED climbed $104.12 (104.23%).

OLED stock chart (weekly)

OLED stock price history

OLED IPO was on April 11th, 1996 at $4.98 per share1. Since then, OLED stock grew a 3,996.60%, with a yearly average of 173.80%. If you had invested right after OLED's IPO a $1,000 in OLED stock in 1996, it would worth $39,966.00 today.

1: Adjusted price after possible price splits or reverse-splits.

OLED stock historical price chart

OLED stock reached all-time highs on Aug 2nd with a price of $218.28.

OLED stock price target is $184.80

Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' OLED stock price predictions in the hope that they will be met as they may be wrong and not met. We detected 11 price predictions for OLED stock published in the last 30 days:
OLED stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-2Roth CapitalRaises Target$172.00$206.0019.8%
2019-8-2CitigroupRaises Target$180.00$223.0023.9%
2019-7-24Berenberg BankInitiatesn/a$192.00-
2019-7-23Deutsche BankReiterates$190.00$220.0015.8%
2019-7-12Needham & Company LLCReiterates$200.00$210.005%
2019-7-12Needham & Company LLCRaises Target$200.00$210.005%
2019-5-6CitigroupRaises Target$140.00$180.0028.6%
2019-2-26Roth CapitalRaises Target$128.00$172.0034.4%
2019-2-22UBS GroupReiteratesn/a$140.00-
2019-2-22Needham & Company LLCRaises Target$105.00$140.0033.3%
2019-2-22Deutsche BankRaises Targetn/a$140.00-
(in average)$164.40$184.8012.0%
Moving in a range from $223.00 and $140.00, the price target for Universal Display stock is $184.80. In average, analysts' outlook on OLED price target is positive, improving the target by a 12.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

On February, Universal Display presented its financial report, posting an excellent climb for the Earnings per Share (EPS) ratio. Experts expected $0.34 per share, but Universal Display posted $0.40.
OLED earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a1.01n/a
2017-Q32017-11-020.120.28133.3%
2017-Q42018-02-220.820.9313.4%
2018-Q12018-05-030.150.13-13.3%
2018-Q22018-08-090.130.2376.9%
2018-Q32018-11-010.630.48-23.8%
2018-Q42019-02-210.340.417.6%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual turnover report draw a frightening correction of -26.28% to $247.41 million USD. However, its earnings margin (compared to sales) dropped to 23.78%, that is $58.84 million.

OLED annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$147 M-$74 M50.5%-
2014$191 M30.27%$42 M21.9%-43.48%
2015$191 M0.01%$15 M7.7%-64.93%
2016$199 M4.10%$48 M24.2%227.50%
2017$336 M68.75%$104 M31.0%116.11%
2018$247 M-26.28%$59 M23.8%-43.36%

Quarterly financial results

Universal Display reported $70.14 million in revenues for 2018-Q4, a -9.55% less compared to previous quarter. Reported quarter earnings marked $19.25 M with a profit margin of 27.44%. Profit margin declined a -1.98% compared to previous quarter when profit margin was 29.42%. When comparing turnover to same quarter last year, Universal Display sales marked a dreadful slide and plunged a -39.46%.
OLED quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$103 M-$46 M45.3%-
2017-Q3$62 M-39.83%$14 M21.9%-70.90%
2017-Q4$116 M87.84%$33 M28.3%142.70%
2018-Q1$44 M-62.39%$6 M13.7%-81.84%
2018-Q2$56 M28.86%$11 M19.3%81.47%
2018-Q3$78 M38.11%$23 M29.4%111.00%
2018-Q4$70 M-9.55%$19 M27.4%-15.64%
2019-Q1$88 M25.12%$31 M35.9%63.51%

Universal Display ownership

When you are planning to buy shares of a stock, it's worth to have a look its ownership structure.

Universal Display shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 10.17% of all shares.

Bearish positions for OLED stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Universal Display:

OLEDAUOKOPNLPLMVIS
Market cap$9.6 B$2.3 B$81.9 M$3.8 B$51.1 M
Total shares47.2 M962.4 M76.5 M715.6 M78.6 M
Float shares42.5 M893.3 M59.7 M444.3 M101.6 M
  - Institutional holdings (%)88.0%7.1%41.1%3.1%24.4%
  - Insider holdings (%)10.2%0.0%18.1%0.0%1.8%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

OLED summary

Friday, August 23rd, 2019
Open$209.96
Close$204.01
Day range$201.17 - $212.53
Previous close$211.63
Session gain-3.60%
Average true range$7.10
50d mov avg$200.29
100d mov avg$181.62
200d mov avg$147.13
Daily pattern
Weekly pattern lt06a

Universal Display performance

Stocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. For Universal Display, the comparison is made against AU Optronics, Kopin, LG Display, Microvision, Koninklijke Philips and .
Stock3m6m12m
OLEDUniversal Display35.85%40.13%67.61%
AUOAU Optronics-12.87%-30.29%-41.63%
KOPNKopin-15.08%-34.76%-53.07%
LPLLG Display-22.06%-42.83%-44.50%
MVISMicrovision-20.73%-44.44%-37.50%
PHGKoninklijke Phili...15.19%21.09%8.22%
SNE9.96%12.94%-0.61%

Universal Display competitors

One check before investing in any stock is to review a list of its competitors, in this case for Universal Display. We selected 6 companies as Universal Display competitors as they are in the same industry or have similar market objectives.