UNIVERSAL DISPLAY CORP (OLED)
US91347P1057 - Common Stock
Overall OLED gets a fundamental rating of 7 out of 10. We evaluated OLED against 107 industry peers in the Semiconductors & Semiconductor Equipment industry. OLED has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. OLED is valued quite expensively, but it does show have an excellent growth rating. With these ratings, OLED could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year OLED was profitable.
In the past year OLED had a positive cash flow from operations.
In the past 5 years OLED has always been profitable.
Each year in the past 5 years OLED had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 13.01%, OLED belongs to the top of the industry, outperforming 82.24% of the companies in the same industry.
OLED has a better Return On Equity (14.75%) than 73.83% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.90%, OLED is in the better half of the industry, outperforming 78.50% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for OLED is above the industry average of 10.93%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.01% | ||
| ROE | 14.75% | ||
| ROIC | 11.9% |
ROA(3y)12.74%
ROA(5y)12.18%
ROE(3y)15.66%
ROE(5y)15.68%
ROIC(3y)13.67%
ROIC(5y)13.16%
1.3 Margins
The Profit Margin of OLED (35.83%) is better than 96.26% of its industry peers.
OLED's Profit Margin has improved in the last couple of years.
OLED's Operating Margin of 38.38% is amongst the best of the industry. OLED outperforms 95.33% of its industry peers.
In the last couple of years the Operating Margin of OLED has grown nicely.
OLED has a better Gross Margin (76.84%) than 95.33% of its industry peers.
OLED's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.38% | ||
| PM (TTM) | 35.83% | ||
| GM | 76.84% |
OM growth 3Y0.86%
OM growth 5Y10.45%
PM growth 3Y4.32%
PM growth 5Y8.3%
GM growth 3Y-0.46%
GM growth 5Y0.23%
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.
OLED has less shares outstanding than it did 1 year ago.
The number of shares outstanding for OLED remains at a similar level compared to 5 years ago.
There is no outstanding debt for OLED. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
OLED has an Altman-Z score of 27.27. This indicates that OLED is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 27.27, OLED belongs to the top of the industry, outperforming 90.65% of the companies in the same industry.
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 | 27.27 |
ROIC/WACC0.95
WACC12.55%
2.3 Liquidity
OLED has a Current Ratio of 9.70. This indicates that OLED is financially healthy and has no problem in meeting its short term obligations.
OLED's Current ratio of 9.70 is amongst the best of the industry. OLED outperforms 93.46% of its industry peers.
OLED has a Quick Ratio of 7.88. This indicates that OLED is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 7.88, OLED belongs to the best of the industry, outperforming 94.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.7 | ||
| Quick Ratio | 7.88 |
3. Growth
3.1 Past
OLED shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.05%, which is quite good.
Measured over the past years, OLED shows a very strong growth in Earnings Per Share. The EPS has been growing by 27.88% on average per year.
The Revenue has been growing slightly by 2.44% in the past year.
The Revenue has been growing by 18.43% on average over the past years. This is quite good.
EPS 1Y (TTM)10.05%
EPS 3Y14.83%
EPS 5Y27.88%
EPS Q2Q%43.37%
Revenue 1Y (TTM)2.44%
Revenue growth 3Y10.36%
Revenue growth 5Y18.43%
Sales Q2Q%26.67%
3.2 Future
OLED is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.82% yearly.
Based on estimates for the next years, OLED will show a quite strong growth in Revenue. The Revenue will grow by 17.44% on average per year.
EPS Next Y15.27%
EPS Next 2Y15.48%
EPS Next 3Y24.23%
EPS Next 5Y20.82%
Revenue Next Year14.16%
Revenue Next 2Y13.74%
Revenue Next 3Y15.47%
Revenue Next 5Y17.44%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 38.20, OLED can be considered very expensive at the moment.
Based on the Price/Earnings ratio, OLED is valued a bit cheaper than 61.68% of the companies in the same industry.
OLED is valuated rather expensively when we compare the Price/Earnings ratio to 28.05, which is the current average of the S&P500 Index.
OLED is valuated quite expensively with a Price/Forward Earnings ratio of 31.08.
OLED's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.07, OLED is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.2 | ||
| Fwd PE | 31.08 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OLED indicates a somewhat cheap valuation: OLED is cheaper than 65.42% of the companies listed in the same industry.
OLED's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 151.9 | ||
| EV/EBITDA | 26.22 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of OLED may justify a higher PE ratio.
OLED's earnings are expected to grow with 24.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.5
PEG (5Y)1.37
EPS Next 2Y15.48%
EPS Next 3Y24.23%
5. Dividend
5.1 Amount
With a yearly dividend of 0.92%, OLED is not a good candidate for dividend investing.
OLED's Dividend Yield is rather good when compared to the industry average which is at 1.79. OLED pays more dividend than 81.31% of the companies in the same industry.
With a Dividend Yield of 0.92, OLED pays less dividend than the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
5.2 History
The dividend of OLED is nicely growing with an annual growth rate of 42.42%!
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)42.42%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
OLED pays out 31.71% 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.
DP31.71%
EPS Next 2Y15.48%
EPS Next 3Y24.23%
UNIVERSAL DISPLAY CORP
NASDAQ:OLED (5/31/2024, 7:00:02 PM)
After market: 175.7 0 (0%)175.7
-0.09 (-0.05%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap8.34B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.2 | ||
| Fwd PE | 31.08 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.5
PEG (5Y)1.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.01% | ||
| ROE | 14.75% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 38.38% | ||
| PM (TTM) | 35.83% | ||
| GM | 76.84% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 9.7 | ||
| Quick Ratio | 7.88 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)10.05%
EPS 3Y14.83%
EPS 5Y
EPS Q2Q%
EPS Next Y15.27%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.44%
Revenue growth 3Y10.36%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y