UNIVERSAL DISPLAY CORP (OLED) Stock Fundamental Analysis
NASDAQ:OLED - Nasdaq - US91347P1057 - Common Stock - Currency: USD
OLED gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 109 industry peers in the Semiconductors & Semiconductor Equipment industry. OLED scores excellent points on both the profitability and health parts. This is a solid base for a good stock. OLED is not overvalued while it is showing excellent growth. This is an interesting combination. This makes OLED very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
OLED had positive earnings in the past year.
In the past year OLED had a positive cash flow from operations.
In the past 5 years OLED has always been profitable.
In the past 5 years OLED always reported a positive cash flow from operatings.
1.2 Ratios
OLED has a Return On Assets of 15.18%. This is amongst the best in the industry. OLED outperforms 88.07% of its industry peers.
OLED's Return On Equity of 17.21% is amongst the best of the industry. OLED outperforms 81.65% of its industry peers.
OLED has a Return On Invested Capital of 14.53%. This is amongst the best in the industry. OLED outperforms 88.07% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for OLED is in line with the industry average of 11.16%.
The last Return On Invested Capital (14.53%) for OLED is above the 3 year average (12.91%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.18% | ||
| ROE | 17.21% | ||
| ROIC | 14.53% |
ROA(3y)12.61%
ROA(5y)12.15%
ROE(3y)14.68%
ROE(5y)15.04%
ROIC(3y)12.91%
ROIC(5y)13.02%
1.3 Margins
OLED's Profit Margin of 34.22% is amongst the best of the industry. OLED outperforms 94.50% of its industry peers.
OLED's Profit Margin has been stable in the last couple of years.
OLED's Operating Margin of 37.11% is amongst the best of the industry. OLED outperforms 96.33% of its industry peers.
OLED's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 76.74%, OLED belongs to the best of the industry, outperforming 96.33% of the companies in the same industry.
OLED's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.11% | ||
| PM (TTM) | 34.22% | ||
| GM | 76.74% |
OM growth 3Y-3.57%
OM growth 5Y-1.15%
PM growth 3Y1.12%
PM growth 5Y0.2%
GM growth 3Y-0.99%
GM growth 5Y-0.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), OLED is creating some value.
Compared to 1 year ago, OLED has more shares outstanding
OLED has about the same amout of shares outstanding than it did 5 years ago.
OLED has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
OLED has an Altman-Z score of 17.25. This indicates that OLED is financially healthy and has little risk of bankruptcy at the moment.
OLED's Altman-Z score of 17.25 is amongst the best of the industry. OLED outperforms 90.83% of its industry peers.
OLED has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 17.25 |
ROIC/WACC1.32
WACC10.99%
2.3 Liquidity
OLED has a Current Ratio of 7.18. This indicates that OLED is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of OLED (7.18) is better than 90.83% of its industry peers.
A Quick Ratio of 5.72 indicates that OLED has no problem at all paying its short term obligations.
OLED's Quick ratio of 5.72 is amongst the best of the industry. OLED outperforms 89.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 7.18 | ||
| Quick Ratio | 5.72 |
3. Growth
3.1 Past
OLED shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.67%, which is quite good.
The Earnings Per Share has been growing by 9.75% on average over the past years. This is quite good.
OLED shows a strong growth in Revenue. In the last year, the Revenue has grown by 41.01%.
The Revenue has been growing by 9.83% on average over the past years. This is quite good.
EPS 1Y (TTM)9.67%
EPS 3Y6.4%
EPS 5Y9.75%
EPS Q2Q%-25.58%
Revenue 1Y (TTM)41.01%
Revenue growth 3Y5.38%
Revenue growth 5Y9.83%
Sales Q2Q%2.51%
3.2 Future
The Earnings Per Share is expected to grow by 20.56% on average over the next years. This is a very strong growth
Based on estimates for the next years, OLED will show a quite strong growth in Revenue. The Revenue will grow by 17.10% on average per year.
EPS Next Y6.49%
EPS Next 2Y13.54%
EPS Next 3Y23.03%
EPS Next 5Y20.56%
Revenue Next Year6.02%
Revenue Next 2Y10.43%
Revenue Next 3Y12.42%
Revenue Next 5Y17.1%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
OLED is valuated rather expensively with a Price/Earnings ratio of 23.86.
Based on the Price/Earnings ratio, OLED is valued a bit cheaper than 63.30% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.29. OLED is around the same levels.
Based on the Price/Forward Earnings ratio of 22.41, the valuation of OLED can be described as rather expensive.
OLED's Price/Forward Earnings ratio is in line with the industry average.
OLED's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.86 | ||
| Fwd PE | 22.41 |
4.2 Price Multiples
OLED's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. OLED is cheaper than 73.39% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of OLED indicates a somewhat cheap valuation: OLED is cheaper than 72.48% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.95 | ||
| EV/EBITDA | 13.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates OLED does not grow enough to justify the current Price/Earnings ratio.
OLED has an outstanding profitability rating, which may justify a higher PE ratio.
OLED's earnings are expected to grow with 23.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.68
PEG (5Y)2.45
EPS Next 2Y13.54%
EPS Next 3Y23.03%
5. Dividend
5.1 Amount
OLED has a Yearly Dividend Yield of 1.58%.
The stock price of OLED dropped by -23.63% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
OLED's Dividend Yield is rather good when compared to the industry average which is at 2.98. OLED pays more dividend than 83.49% of the companies in the same industry.
OLED's Dividend Yield is slightly below the S&P500 average, which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
The dividend of OLED is nicely growing with an annual growth rate of 32.14%!
OLED has been paying a dividend for over 5 years, so it has already some track record.
As OLED did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)32.14%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
OLED pays out 27.38% of its income as dividend. This is a sustainable payout ratio.
OLED's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP27.38%
EPS Next 2Y13.54%
EPS Next 3Y23.03%
NASDAQ:OLED (4/21/2025, 11:55:09 AM)
110.95
-3.03 (-2.66%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners83.75%
Inst Owner Change-0.17%
Ins Owners6.9%
Ins Owner Change1.26%
Market Cap5.27B
Analysts81.11
Price Target189.09 (70.43%)
Short Float %3.59%
Short Ratio2.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
Yearly Dividend1.61
Dividend Growth(5Y)32.14%
DP27.38%
Div Incr Years7
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.16%
Min EPS beat(2)-11.27%
Max EPS beat(2)15.59%
EPS beat(4)2
Avg EPS beat(4)1.59%
Min EPS beat(4)-11.27%
Max EPS beat(4)15.59%
EPS beat(8)5
Avg EPS beat(8)7.13%
EPS beat(12)8
Avg EPS beat(12)8.17%
EPS beat(16)9
Avg EPS beat(16)6.78%
Revenue beat(2)1
Avg Revenue beat(2)1.03%
Min Revenue beat(2)-4%
Max Revenue beat(2)6.06%
Revenue beat(4)2
Avg Revenue beat(4)1.75%
Min Revenue beat(4)-4%
Max Revenue beat(4)7.48%
Revenue beat(8)3
Avg Revenue beat(8)0.25%
Revenue beat(12)6
Avg Revenue beat(12)0.87%
Revenue beat(16)7
Avg Revenue beat(16)0.95%
PT rev (1m)-3%
PT rev (3m)-13.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-9.53%
EPS NY rev (1m)-7.53%
EPS NY rev (3m)-9.17%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.58%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)-4.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.86 | ||
| Fwd PE | 22.41 | ||
| P/S | 6.48 | ||
| P/FCF | 24.95 | ||
| P/OCF | 20.76 | ||
| P/B | 3.26 | ||
| P/tB | 3.46 | ||
| EV/EBITDA | 13.08 |
EPS(TTM)4.65
EY4.19%
EPS(NY)4.95
Fwd EY4.46%
FCF(TTM)4.45
FCFY4.01%
OCF(TTM)5.35
OCFY4.82%
SpS17.13
BVpS34.05
TBVpS32.06
PEG (NY)3.68
PEG (5Y)2.45
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.18% | ||
| ROE | 17.21% | ||
| ROCE | 17.67% | ||
| ROIC | 14.53% | ||
| ROICexc | 20.42% | ||
| ROICexgc | 22.15% | ||
| OM | 37.11% | ||
| PM (TTM) | 34.22% | ||
| GM | 76.74% | ||
| FCFM | 25.97% |
ROA(3y)12.61%
ROA(5y)12.15%
ROE(3y)14.68%
ROE(5y)15.04%
ROIC(3y)12.91%
ROIC(5y)13.02%
ROICexc(3y)20.07%
ROICexc(5y)25.04%
ROICexgc(3y)21.95%
ROICexgc(5y)29.41%
ROCE(3y)15.71%
ROCE(5y)15.84%
ROICexcg growth 3Y-20.27%
ROICexcg growth 5Y-23.51%
ROICexc growth 3Y-18.97%
ROICexc growth 5Y-17.23%
OM growth 3Y-3.57%
OM growth 5Y-1.15%
PM growth 3Y1.12%
PM growth 5Y0.2%
GM growth 3Y-0.99%
GM growth 5Y-0.44%
F-Score6
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 96.59% | ||
| Cap/Sales | 5.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.37% | ||
| Profit Quality | 75.88% | ||
| Current Ratio | 7.18 | ||
| Quick Ratio | 5.72 | ||
| Altman-Z | 17.25 |
F-Score6
WACC10.99%
ROIC/WACC1.32
Cap/Depr(3y)166.44%
Cap/Depr(5y)135.73%
Cap/Sales(3y)12.05%
Cap/Sales(5y)10.12%
Profit Quality(3y)49.16%
Profit Quality(5y)63.84%
High Growth Momentum
Growth
EPS 1Y (TTM)9.67%
EPS 3Y6.4%
EPS 5Y9.75%
EPS Q2Q%-25.58%
EPS Next Y6.49%
EPS Next 2Y13.54%
EPS Next 3Y23.03%
EPS Next 5Y20.56%
Revenue 1Y (TTM)41.01%
Revenue growth 3Y5.38%
Revenue growth 5Y9.83%
Sales Q2Q%2.51%
Revenue Next Year6.02%
Revenue Next 2Y10.43%
Revenue Next 3Y12.42%
Revenue Next 5Y17.1%
EBIT growth 1Y38.93%
EBIT growth 3Y1.61%
EBIT growth 5Y8.57%
EBIT Next Year23.24%
EBIT Next 3Y20.76%
EBIT Next 5YN/A
FCF growth 1Y642.75%
FCF growth 3Y12.69%
FCF growth 5Y5.26%
OCF growth 1Y63.94%
OCF growth 3Y9.91%
OCF growth 5Y5.53%