NasdaqGS:OLED

Stock Analysis Report

Executive Summary

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.

Rewards

Earnings are forecast to grow 28.34% per year

Earnings grew by 82% over the past year

Risk Analysis

No risks detected for OLED from our risk checks.


Snowflake Analysis

Exceptional growth potential with flawless balance sheet.


Similar Companies

Share Price & News

How has Universal Display's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: OLED has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.0%

OLED

-1.1%

US Semiconductor

-0.3%

US Market


1 Year Return

103.1%

OLED

41.1%

US Semiconductor

18.6%

US Market

Return vs Industry: OLED exceeded the US Semiconductor industry which returned 41.1% over the past year.

Return vs Market: OLED exceeded the US Market which returned 18.6% over the past year.


Shareholder returns

OLEDIndustryMarket
7 Day-2.0%-1.1%-0.3%
30 Day-2.6%0.4%2.2%
90 Day-13.8%8.6%5.6%
1 Year103.6%103.1%43.9%41.1%21.1%18.6%
3 Year214.8%213.3%82.3%72.0%45.6%36.2%
5 Year631.7%628.1%134.4%111.4%71.1%52.2%

Price Volatility Vs. Market

How volatile is Universal Display's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Universal Display undervalued compared to its fair value and its price relative to the market?

69.95x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: OLED ($193.75) is trading above our estimate of fair value ($137.02)

Significantly Below Fair Value: OLED is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: OLED is poor value based on its PE Ratio (69.9x) compared to the Semiconductor industry average (30.8x).

PE vs Market: OLED is poor value based on its PE Ratio (69.9x) compared to the US market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: OLED is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: OLED is overvalued based on its PB Ratio (11.7x) compared to the US Semiconductor industry average (2.9x).


Next Steps

Future Growth

How is Universal Display forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

28.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OLED's forecast earnings growth (28.3% per year) is above the savings rate (1.7%).

Earnings vs Market: OLED's earnings (28.3% per year) are forecast to grow faster than the US market (14.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: OLED's revenue (22.1% per year) is forecast to grow faster than the US market (7.4% per year).

High Growth Revenue: OLED's revenue (22.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OLED's Return on Equity is forecast to be high in 3 years time (21.3%)


Next Steps

Past Performance

How has Universal Display performed over the past 5 years?

25.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OLED has high quality earnings.

Growing Profit Margin: OLED's current net profit margins (34.8%) are higher than last year (24.4%).


Past Earnings Growth Analysis

Earnings Trend: OLED's earnings have grown significantly by 25.6% per year over the past 5 years.

Accelerating Growth: OLED's earnings growth over the past year (82%) exceeds its 5-year average (25.6% per year).

Earnings vs Industry: OLED earnings growth over the past year (82%) exceeded the Semiconductor industry -15.8%.


Return on Equity

High ROE: OLED's Return on Equity (16.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Universal Display's financial position?


Financial Position Analysis

Short Term Liabilities: OLED's short term assets ($731.0M) exceed its short term liabilities ($148.4M).

Long Term Liabilities: OLED's short term assets ($731.0M) exceed its long term liabilities ($127.6M).


Debt to Equity History and Analysis

Debt Level: OLED is debt free.

Reducing Debt: OLED has not had any debt for past 5 years.

Debt Coverage: OLED has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: OLED has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: OLED has a low level of unsold assets or inventory.

Debt Coverage by Assets: OLED's debt is covered by short term assets (assets are 4.1152542315022E+17x debt).


Next Steps

Dividend

What is Universal Display's current dividend yield, its reliability and sustainability?

0.21%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Universal Display before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company0.2%marketbottom25%1.4%markettop25%3.7%industryaverage2.0%forecastin3Years0.2%

Current dividend yield vs market & industry

Notable Dividend: OLED's dividend (0.21%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.42%).

High Dividend: OLED's dividend (0.21%) is low compared to the top 25% of dividend payers in the US market (3.7%).


Stability and Growth of Payments

Stable Dividend: OLED is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: OLED is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: OLED is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of OLED's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Universal Display's salary, the management and board of directors tenure and is there insider trading?

17.5yrs

Average management tenure


CEO

Steve Abramson (67yo)

11.9yrs

Tenure

US$6,879,849

Compensation

Mr. Steven V. Abramson, also known as Steve, has been the Chief Executive Officer and President of Universal Display Corporation since January 2008 and May 1996 respectively. Mr. Abramson served as the Chi ...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD6.88M) is about average for companies of similar size in the US market ($USD6.81M).

Compensation vs Earnings: Steve's compensation has increased by more than 20% in the past year.


Management Age and Tenure

17.5yrs

Average Tenure

64.5yo

Average Age

Experienced Management: OLED's management team is seasoned and experienced (17.5 years average tenure).


Board Age and Tenure

20.2yrs

Average Tenure

70yo

Average Age

Experienced Board: OLED's board of directors are seasoned and experienced ( 20.2 years average tenure).


Insider Trading

Insider Buying: OLED insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$4,000,00006 Nov 19
Lawrence Lacerte
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares20,000
Max PriceUS$200.00
SellUS$29,52004 Oct 19
C. Hartley
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares185
Max PriceUS$159.57
SellUS$2,255,79512 Aug 19
C. Hartley
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares10,528
Max PriceUS$216.32
SellUS$6,175,05108 Aug 19
Lawrence Lacerte
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares30,000
Max PriceUS$208.98
SellUS$2,085,45110 May 19
Lawrence Lacerte
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares12,500
Max PriceUS$168.74
SellUS$757,25409 May 19
Rosemarie Greco
EntityIndividual
Shares4,425
Max PriceUS$171.13
SellUS$191,73007 Mar 19
Richard Elias
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,250
Max PriceUS$153.38
SellUS$909,49928 Feb 19
Lawrence Lacerte
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares6,250
Max PriceUS$145.52

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Sherwin Seligsohn (83yo)

    Founder & Chairman

    • Tenure: 24.5yrs
    • Compensation: US$1.32m
  • Steve Abramson (67yo)

    President

    • Tenure: 11.9yrs
    • Compensation: US$6.88m
  • Sidney Rosenblatt (71yo)

    Executive VP

    • Tenure: 23.6yrs
    • Compensation: US$6.20m
  • Julia Brown (58yo)

    Senior VP & CTO

    • Tenure: 17.5yrs
    • Compensation: US$3.45m
  • Mike Hack (62yo)

    Vice President of Business Development

    • Tenure: 20.2yrs
    • Compensation: US$1.07m
  • Mauro Premutico (53yo)

    VP of Legal and GM of Patents & Licensing

    • Tenure: 7.7yrs
    • Compensation: US$1.85m
  • Darice Liu

    Director of Investor Relations & Corporate Communications

    • Tenure: 0yrs

Board Members

  • Sherwin Seligsohn (83yo)

    Founder & Chairman

    • Tenure: 24.5yrs
    • Compensation: US$1.32m
  • Steve Abramson (67yo)

    President

    • Tenure: 11.9yrs
    • Compensation: US$6.88m
  • Sidney Rosenblatt (71yo)

    Executive VP

    • Tenure: 23.6yrs
    • Compensation: US$6.20m
  • Elizabeth Gemmill (73yo)

    Lead Independent Director

    • Tenure: 1.8yrs
    • Compensation: US$270.04k
  • C. Hartley (76yo)

    Independent Director

    • Tenure: 19.3yrs
    • Compensation: US$262.54k
  • Larry Lacerte (66yo)

    Independent Director

    • Tenure: 20.2yrs
    • Compensation: US$257.54k
  • Stephen Forrest (69yo)

    Member of the Scientific Advisory Board

    • Tenure: 0yrs
  • Rick Elias (65yo)

    Independent Director

    • Tenure: 5.7yrs
    • Compensation: US$252.54k
  • Mark Thompson

    Member of the Scientific Advisory Board

    • Tenure: 0yrs

Company Information

Universal Display Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Universal Display Corporation
  • Ticker: OLED
  • Exchange: NasdaqGS
  • Founded: 1985
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$9.024b
  • Shares outstanding: 47.11m
  • Website: https://oled.com

Number of Employees


Location

  • Universal Display Corporation
  • 375 Phillips Boulevard
  • Ewing
  • New Jersey
  • 8618
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OLEDNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDApr 1996
UVDDB (Deutsche Boerse AG)YesCommon StockDEEURApr 1996
0LJELSE (London Stock Exchange)YesCommon StockGBUSDApr 1996

Biography

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 li ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/06 23:56
End of Day Share Price2019/12/06 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.