Three analysts have raised their earnings estimates for this tech company in the past month, and Wall Street is predicting double-digit growth for the next five years.
Universal Display (OLED)
From Cabot Growth Investor
Universal Display (OLED) has acted very well since its earnings gap in early May, first tightening up for three weeks, and then pushing to new highs on excellent volume this week. It has shown no willingness to go down. That can always change, but so far, the evidence is bullish, and all signs point toward booming demand for OLED’s materials and licenses going forward.
As we’ve written before, there’s definitely boom and bust potential with OLED, so we’ll be looking for any updates (possibly during next month’s earnings season) regarding plans and capacity expansions from display manufacturers going forward. As it stands now, the odds favor Universal’s materials and licensing business surging for the next few years as the display industry moves to organic light emitting diodes.
You could nibble here or look for dips toward the 25-day line (now at 114 and rising quickly).
Michael Cintolo, Cabot Growth Investor, www.cabotwealth.com, 978-745-5532, May 31 and June 7, 2017