Universal Display Stock Analysis, Valuation (NASDAQ:OLED)

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$116.2 $2.8 (2.35%) OLED stock closing price Aug 15, 2018 (Closing)

Take a look at Amigobulls Universal Display stock analysis video. Our analyst opinion covering the buy and sell arguments for OLED stock is shown in the video.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Universal Display Corporation Stock Rating 3.8/5

Amigobulls OLED stock analysis uses latest quarter 2018 Q2 financial data like Universal Display revenue growth, profit margins and cash flows. We also use relative valuation metrics like PE ratio and price to sales ratio for Universal Display valuation analysis. Based on a company's historical fundamentals we arrive at Universal Display stock rating which is indicative of the company's financial performance.

Should you buy OLED stock?

  • Long term revenue growth has been strong with a 5 year compounded annual growth of 30.5.
  • The TTM operating margin was good at 42.86 for Universal Display.
  • Net margins stood at a healthy 30.7% (average) for Universal Display in the Trailing Twelve Months.
  • Universal Display's return on invested capital of 36.6 is good.
  • The LTM ROE of 16.1 for Universal Display is attractive.
  • The company has a healthy free cash flow margin of 69.

Should you sell OLED stock?

  • The OLED stock currently trades at a PE of 75.8, which is expensive, compared to the sector average of 25.5.
  • The company is trading at a price to sales multiple of 20.1, which is higher in comparison to the Computer and Technology sector average of 3, making OLED stock expensive.

Comments on this video and Universal Display stock

Investors can make use of the Amigobulls Universal Display stock analysis to ascertain how OLED stock fares in fundamental analysis investment criteria. Fundamentals of a company give detailed information which helps in making invesment decisions.

Among the financials of the company, Universal Display revenue growth along with the profit or net income give a clear picture of the financial health. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.