OLED provider Universal Display (NASDAQ:OLED) will be reporting earnings this Thursday after market close. Here’s what investors should know.
Universal Display missed analysts’ revenue expectations by 15.9% last quarter, reporting revenues of $139.6 million, down 13.6% year on year. It was a disappointing quarter for the company, with a significant miss of analysts’ revenue estimates and a significant miss of analysts’ adjusted operating income estimates.
Is Universal Display a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Universal Display’s revenue to grow 6.8% year on year to $173.4 million, improving from the 2.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.26 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Universal Display has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Universal Display’s peers in the analog semiconductors segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Skyworks Solutions’s revenues decreased 3.1% year on year, beating analysts’ expectations by 3.4%, and Power Integrations reported a revenue decline of 1.9%, in line with consensus estimates. Skyworks Solutions traded up 5.5% following the results while Power Integrations’s stock price was unchanged.
Read our full analysis of Skyworks Solutions’s results here and Power Integrations’s results here.
There has been positive sentiment among investors in the analog semiconductors segment, with share prices up 8.4% on average over the last month. Universal Display is up 1.7% during the same time and is heading into earnings with an average analyst price target of $163.11 (compared to the current share price of $118.51).
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