120.1 USD
+1.41 (+1.19%)
120.1 USD
0 (0%)
Overall OLED gets a fundamental rating of 7 out of 10. We evaluated OLED against 113 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 has a correct valuation and a medium growth rate. This makes OLED very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- In the past year OLED was profitable.
- OLED had a positive operating cash flow in the past year.
- OLED had positive earnings in each of the past 5 years.
- Each year in the past 5 years OLED had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 11.38%, OLED belongs to the best of the industry, outperforming 83.19% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 12.70%, OLED is in the better half of the industry, outperforming 76.99% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 10.45%, OLED belongs to the top of the industry, outperforming 80.53% of the companies in the same industry.
- OLED had an Average Return On Invested Capital over the past 3 years of 12.91%. This is above the industry average of 10.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.38% | ||
| ROE | 12.7% | ||
| ROIC | 10.45% |
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
- The Profit Margin of OLED (34.62%) is better than 93.81% of its industry peers.
- OLED's Profit Margin has been stable in the last couple of years.
- Looking at the Operating Margin, with a value of 36.54%, OLED belongs to the top of the industry, outperforming 93.81% of the companies in the same industry.
- OLED's Operating Margin has been stable in the last couple of years.
- Looking at the Gross Margin, with a value of 76.45%, OLED belongs to the top of the industry, outperforming 95.58% 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 | 36.54% | ||
| PM (TTM) | 34.62% | ||
| GM | 76.45% |
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.
- OLED has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, OLED has about the same amount of shares outstanding.
- 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
- An Altman-Z score of 18.95 indicates that OLED is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 18.95, OLED belongs to the top of the industry, outperforming 85.84% of the companies in the same industry.
- 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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 18.95 |
ROIC/WACC0.97
WACC10.83%
2.3 Liquidity
- A Current Ratio of 9.55 indicates that OLED has no problem at all paying its short term obligations.
- OLED has a better Current ratio (9.55) than 93.81% of its industry peers.
- A Quick Ratio of 7.59 indicates that OLED has no problem at all paying its short term obligations.
- With an excellent Quick ratio value of 7.59, OLED belongs to the best of the industry, outperforming 90.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 9.55 | ||
| Quick Ratio | 7.59 |
3. Growth
3.1 Past
- OLED shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.83%.
- The Earnings Per Share has been growing by 9.75% on average over the past years. This is quite good.
- Looking at the last year, OLED shows a very negative growth in Revenue. The Revenue has decreased by -20.89% in the last year.
- OLED shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.83% yearly.
EPS 1Y (TTM)-6.83%
EPS 3Y6.4%
EPS 5Y9.75%
EPS Q2Q%-34.29%
Revenue 1Y (TTM)-20.89%
Revenue growth 3Y5.38%
Revenue growth 5Y9.83%
Sales Q2Q%-13.62%
3.2 Future
- Based on estimates for the next years, OLED will show a very strong growth in Earnings Per Share. The EPS will grow by 20.56% on average per year.
- OLED is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.13% yearly.
EPS Next Y8.8%
EPS Next 2Y9.45%
EPS Next 3Y12.23%
EPS Next 5Y20.56%
Revenue Next Year2.47%
Revenue Next 2Y6.37%
Revenue Next 3Y9.02%
Revenue Next 5Y11.13%
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.
- 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
- The Price/Earnings ratio is 25.88, which means the current valuation is very expensive for OLED.
- Based on the Price/Earnings ratio, OLED is valued cheaply inside the industry as 86.73% of the companies are valued more expensively.
- OLED is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 21.56 indicates a rather expensive valuation of OLED.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of OLED indicates a rather cheap valuation: OLED is cheaper than 84.96% of the companies listed in the same industry.
- OLED is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.88 | ||
| Fwd PE | 21.56 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OLED indicates a rather cheap valuation: OLED is cheaper than 80.53% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, OLED is valued cheaply inside the industry as 80.53% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.39 | ||
| EV/EBITDA | 16.55 |
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.
- The excellent profitability rating of OLED may justify a higher PE ratio.
- OLED's earnings are expected to grow with 12.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.94
PEG (5Y)2.65
EPS Next 2Y9.45%
EPS Next 3Y12.23%
5. Dividend
5.1 Amount
- OLED has a Yearly Dividend Yield of 1.52%.
- Compared to an average industry Dividend Yield of 0.50, OLED pays a better dividend. On top of this OLED pays more dividend than 87.61% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, OLED has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.52% |
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
- 37.26% of the earnings are spent on dividend by OLED. This is a low number and sustainable payout ratio.
- The dividend of OLED is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP37.26%
EPS Next 2Y9.45%
EPS Next 3Y12.23%
UNIVERSAL DISPLAY CORP / OLED FAQ
What is the fundamental rating for OLED stock?
ChartMill assigns a fundamental rating of 7 / 10 to OLED.
What is the valuation status for OLED stock?
ChartMill assigns a valuation rating of 6 / 10 to UNIVERSAL DISPLAY CORP (OLED). This can be considered as Fairly Valued.
What is the profitability of OLED stock?
UNIVERSAL DISPLAY CORP (OLED) has a profitability rating of 8 / 10.
How financially healthy is UNIVERSAL DISPLAY CORP?
The financial health rating of UNIVERSAL DISPLAY CORP (OLED) is 9 / 10.
Can you provide the expected EPS growth for OLED stock?
The Earnings per Share (EPS) of UNIVERSAL DISPLAY CORP (OLED) is expected to grow by 8.8% in the next year.