Universal Display Corp (OLED) Stock Analysis
Verdict: WATCH (do not buy)
Industry-leading 75.3% gross margins face execution headwinds from earnings misses and negative top-line growth near 52-week lows.
Investment score: 50/100
Analysis as of
Is Universal Display Corp stock worth reviewing? AI model thesis
The AI model rates OLED a HOLD. Outstanding profitability margins (75.3% gross, 32.2% net) and a pristine balance sheet are counterbalanced by negative top-line growth (-8.32%) and significant recent earnings execution misses.
7-factor investment score
- Valuation: 60/100 (weight 20%)
- Financial Health: 65/100 (weight 15%)
- Technical Momentum: 25/100 (weight 15%)
- Earnings Quality: 30/100 (weight 15%)
- Insider Sentiment: 55/100 (weight 10%)
- Analyst Consensus: 75/100 (weight 10%)
- Risk-Adjusted Return: 45/100 (weight 15%)
Universal Display Corp opportunities and risks
What speaks for OLED
- Blue OLED commercialization trajectory
What speaks against OLED
- Top-line contraction and customer concentration
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| OLED | 18.5x | 5.8x | 13.3x | 75.3% | 32.2% | 4.8% |
| ALGM | 422.3x | 6.7x | 62.6x | 47.2% | 1.5% | 1.4% |
| CRUS | 14.0x | 2.9x | 9.7x | 52.8% | 21.0% | 9.6% |
| PI | n/a | 15.0x | n/a | 52.7% | -7.3% | 1.1% |
| RGTI | n/a | 384.7x | n/a | -2.7% | -1787.4% | -1.7% |
| DIOD | 48.9x | 2.6x | 18.2x | 31.7% | 5.3% | 3.4% |
| Peer median | 14.0x | 6.7x | 9.7x | 47.2% | 1.5% | 1.4% |
Frequently asked questions about Universal Display Corp (OLED)
Is OLED stock a good investment?
The cached TradeMates AI model rates Universal Display Corp as WATCH (do not buy) with an investment score of 50/100. The AI model rates OLED a HOLD. Outstanding profitability margins (75.3% gross, 32.2% net) and a pristine balance sheet are counterbalanced by negative top-line growth (-8.32%) and significant recent earnings execution misses. This is algorithmic model output, not personal investment advice.
Is OLED stock a buy?
The TradeMates model verdict for OLED is WATCH (do not buy) with an investment score of 50/100. Treat this as a model signal to review, not a personal buy recommendation.