In the video below, Fool analyst Austin Smith takes a look at some potential worries for investors in Corning (GLW +11.05%).
Austin own shares of Corning, but there are some things about the company that make him a bit uneasy. The first is that LCD TV panels are not what they once were and are now giving up some ground to more expensive OLED panels. The general consensus is that OLED panels are more superior. Should they become less expensive, which often happens with technologies over time, it could hurt Corning.
Another worry is that Gorilla Glass, one of the most compelling reasons to buy Corning, still makes up only about 20% of the company's revenue, and almost none of its earnings.
Smaller panels for smartphones and tablets have not offered the same profit potential as the large TV panels, so it would need to sell significantly more of the products to offset the losses in earnings, Austin says.
