The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Universal Display whiffed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share dropped to a loss.
Margins dropped across the board.
Universal Display logged revenue of $12.5 million. The 12 analysts polled by S&P Capital IQ foresaw revenue of $19.2 million on the same basis. GAAP reported sales were 43% lower than the prior-year quarter's $21.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at -$0.12. The nine earnings estimates compiled by S&P Capital IQ predicted $0.05 per share. GAAP EPS were -$0.12 for Q3 compared to $0.12 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 23.6%, 2,640 basis points worse than the prior-year quarter. Operating margin was -48.5%, 7,580 basis points worse than the prior-year quarter. Net margin was -43.7%, 7,120 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $37.5 million. On the bottom line, the average EPS estimate is $0.34.
Next year's average estimate for revenue is $99.8 million. The average EPS estimate is $0.62.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,213 members out of 1,284 rating the stock outperform, and 71 members rating it underperform. Among 298 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 275 give Universal Display a green thumbs-up, and 23 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Universal Display is outperform, with an average price target of $48.30.
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