Core Viewpoint - The article discusses an investigation into Universal Display Corporation (OLED) regarding potential securities fraud allegations, highlighting the importance of transparency and accountability in the company’s financial practices [1]. Group 1: Investigation Details - The investigation is being conducted by Levi & Korsinsky, focusing on whether Universal Display Corporation misled investors about its business and financial performance [1]. - Allegations suggest that the company may have engaged in practices that could constitute securities fraud, impacting shareholder value and trust [1]. Group 2: Implications for Shareholders - Shareholders are reminded to stay informed about the investigation's progress, as it may affect their investment decisions and the company's stock performance [1]. - The outcome of the investigation could lead to significant legal and financial repercussions for Universal Display Corporation, influencing its market position [1].

Company Overview - Universal Display Corporation (OLED) is experiencing significant activity in the options market, particularly with the Jan 17, 2025 $50 Call option showing high implied volatility, indicating expectations of a substantial price movement in the stock [1][2]. Analyst Sentiment - The company currently holds a Zacks Rank of 3 (Hold) within the Electronics - Miscellaneous Components industry, which is positioned in the top 20% of the Zacks Industry Rank [2]. - Over the past 60 days, there have been no upward revisions in earnings estimates for the current quarter, while three analysts have lowered their estimates, resulting in a decrease of the Zacks Consensus Estimate from $1.29 per share to $1.09 [2]. Options Market Insights - High implied volatility in options suggests that traders anticipate a significant price movement, potentially due to an upcoming event that could lead to either a rally or a sell-off [3]. - Options traders often seek out high implied volatility options to sell premium, aiming to benefit from the decay of the option's value if the underlying stock does not move as much as expected [5].

Universal Display Corp. (OLED) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of a ...

Core Insights - Universal Display Corp. reported revenue of $161.63 million for Q3 2024, a year-over-year increase of 14.6% and an EPS of $1.40 compared to $1.08 a year ago [1] - The revenue fell short of the Zacks Consensus Estimate of $167.45 million, resulting in a surprise of -3.48%, while the EPS exceeded expectations by 16.67% against a consensus estimate of $1.20 [1] Revenue Breakdown - Material sales revenue was $83.43 million, below the average estimate of $95.97 million, reflecting a year-over-year decline of 9.8% [3] - Contract research services generated $3.61 million, compared to the average estimate of $4.08 million, marking a year-over-year increase of 35.2% [3] - Royalty and license fees amounted to $74.59 million, surpassing the average estimate of $66.64 million, with a year-over-year growth of 62.5% [3] Stock Performance - Universal Display shares have returned +5.1% over the past month, outperforming the Zacks S&P 500 composite's +1.8% change [4] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [4]

Universal Display Corp. (OLED) came out with quarterly earnings of $1.40 per share, beating the Zacks Consensus Estimate of $1.20 per share. This compares to earnings of $1.08 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 16.67%. A quarter ago, it was expected that this organic light-emitting diode technology company would post earnings of $1.14 per share when it actually produced earnings of $1.10, delivering a surprise of ...

Revenue Performance - Total revenue for Q3 2024 was $161.6 million, up from $141.1 million in Q3 2023, representing a year-over-year increase of 14.0%[3] - Revenue from material sales decreased to $83.4 million in Q3 2024 from $92.5 million in Q3 2023, a decline of 9.5%[3] - Revenue from royalty and license fees increased to $74.6 million in Q3 2024, compared to $45.9 million in Q3 2023, marking a significant increase of 62.8%[3] - For the first nine months of 2024, total revenue was $485.4 million, up from $418.1 million in the same period of 2023, a growth of 16.1%[6] - Total revenue for Q3 2024 was $161.6 million, a 14.6% increase from $141.1 million in Q3 2023[17] Income and Profitability - Operating income for Q3 2024 was $67.0 million, up from $48.4 million in Q3 2023, reflecting a growth of 38.4%[3] - Net income for Q3 2024 was $66.9 million, or $1.40 per diluted share, compared to $51.5 million, or $1.08 per diluted share in Q3 2023, an increase of 29.8% in net income[3] - Gross margin for Q3 2024 was $125.8 million, compared to $106.8 million in Q3 2023, reflecting a 17.8% increase[17] - Net income for the nine months ended September 30, 2024, was $176,060,000, an increase from $141,033,000 in the same period of 2023, representing a growth of approximately 25%[18] Cash Flow and Dividends - Cash and cash equivalents decreased to $79.6 million as of September 30, 2024, down from $92.0 million at the end of 2023[16] - Cash dividends declared per common share increased to $0.40 in Q3 2024, compared to $0.35 in Q3 2023[17] - Cash dividends paid amounted to $57,837,000, compared to $50,083,000 in the previous year, indicating an increase of approximately 15.5%[18] - The company announced a fourth quarter cash dividend of $0.40 per share, payable on December 31, 2024[10] Tax and Guidance - The effective income tax rate increased to 17.9% in Q3 2024 from 4.4% in Q3 2023, primarily due to changes in IRS regulations[3] - The company revised its 2024 revenue guidance to a range of $625 million to $645 million, reflecting a more modest growth expectation[9] Assets and Equity - Total assets increased to $1.81 billion as of September 30, 2024, compared to $1.67 billion at the end of 2023, a growth of 8.5%[16] - Shareholders' equity rose to $1.59 billion as of September 30, 2024, up from $1.45 billion at the end of 2023, an increase of 9.7%[16] Operational Changes - Universal Display is positioned to benefit from a new OLED adoption cycle in medium-sized displays, particularly in IT and automotive sectors[2] Cash Flow Activities - Net cash provided by operating activities increased to $219,027,000 from $117,707,000, reflecting a significant rise of about 86%[18] - Net cash used in investing activities was $167,141,000, a notable increase from $75,368,000, highlighting a rise of about 121%[18] - Proceeds from the sale and maturity of investments totaled $200,768,000, down from $346,407,000, showing a decrease of approximately 42%[18] - The company reported a decrease in cash and cash equivalents of $12,426,000, compared to a decrease of $14,107,000 in the prior year[18] Other Financial Metrics - Stock-based compensation increased to $23,812,000 from $18,623,000, representing a growth of approximately 27.5%[18] - Accounts receivable saw a significant increase of $52,157,000, compared to a decrease of $29,528,000 in the previous year[18] - The company reported a net change in accounts payable and accrued expenses related to purchases of property and equipment of $(5,573,000), compared to $887,000 in the prior year[18] - Unrealized gain on available-for-sale securities was $4,117,000, up from $3,304,000, reflecting an increase of about 24.5%[18]

Universal Display Corporation (OLED) reported relatively modest second-quarter 2024 results, with both the top and bottom lines falling short of the Zacks Consensus Estimate. However, the company reported a top-line expansion year over year, backed by solid demand for emitter materials. The company is witnessing strong OLED proliferation from leading manufacturers. The introduction of new OLED PC products and healthy traction in the IT landscape acted as a tailwind. Management is undertaking several measure ...

Core Insights - Universal Display Corp. reported revenue of $158.51 million for the quarter ended June 2024, reflecting an 8.1% increase year-over-year, but fell short of the Zacks Consensus Estimate by 1.01% [1] - The company's EPS was $1.10, up from $1.04 in the same quarter last year, but also missed the consensus estimate of $1.14 by 3.51% [1] Revenue Breakdown - Material sales revenue was $95.44 million, exceeding the average estimate of $91.55 million by analysts, with a year-over-year increase of 23.8% [3] - Contract research services generated $3.51 million, slightly above the average estimate of $3.28 million, but showed a significant year-over-year decline of 30.6% [4] - Royalty and license fees amounted to $59.55 million, below the average estimate of $65.30 million, representing a year-over-year decrease of 7.5% [5] Stock Performance - Over the past month, Universal Display shares have returned 2.1%, outperforming the Zacks S&P 500 composite's return of 1.1% [5] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [5]

Universal Display Corp. (OLED) came out with quarterly earnings of $1.10 per share, missing the Zacks Consensus Estimate of $1.14 per share. This compares to earnings of $1.04 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -3.51%. A quarter ago, it was expected that this organic light-emitting diode technology company would post earnings of $1.05 per share when it actually produced earnings of $1.19, delivering a surprise of ...

Revenue Performance - Total revenue for the three months ended June 30, 2024, was $158.5 million, an increase of 8.1% from $146.6 million in the same period of 2023[146]. - Total revenue for the six months ended June 30, 2024, was $323.8 million, an increase of 17% from $277.0 million for the same period in 2023[158]. - Material sales increased by 24% to $95.4 million for the three months ended June 30, 2024, compared to $77.1 million in the same period of 2023, with unit material volume increasing by 23%[147]. - Material sales reached $188.7 million for the six months ended June 30, 2024, up 28% from $147.3 million in the prior year, with a 30% increase in unit material volume[159]. - Revenue from royalty and license fees decreased by 8% to $59.6 million for the three months ended June 30, 2024, down from $64.4 million in the same period of 2023[148]. - Royalty and license fees increased by 7% to $127.8 million for the six months ended June 30, 2024, compared to $119.6 million for the same period in 2023[160]. Expenses and Income - Research and development expenses increased to $36.8 million for the three months ended June 30, 2024, compared to $32.3 million in the same period of 2023, primarily due to higher operating costs[151]. - Research and development expenses rose to $74.8 million for the six months ended June 30, 2024, from $63.7 million in the same period in 2023, marking a 17% increase[163]. - Selling, general and administrative expenses increased to $39.1 million for the six months ended June 30, 2024, compared to $32.5 million for the same period in 2023, reflecting a rise of 20%[164]. - Operating income for the three months ended June 30, 2024, was $56.4 million, a decrease from $58.6 million in the same period of 2023[146]. - Net income for the three months ended June 30, 2024, was $52.3 million, compared to $49.7 million in the same period of 2023, reflecting an increase of 5.4%[146]. Margins and Financial Ratios - Gross margin for the three months ended June 30, 2024, was $120.2 million, with a gross margin percentage of 76%, down from 78% in the same period of 2023[150]. - Gross margin for the six months ended June 30, 2024, increased to 77% from 76% in the prior year, driven by higher revenue from material sales and royalty and license fees[162]. - The effective income tax rate decreased to 19.3% for the six months ended June 30, 2024, from 22.6% in the same period in 2023, with income tax expense recorded at $26.2 million for both periods[169]. Cash Flow and Liquidity - Cash provided by operating activities for the six months ended June 30, 2024, was $139.2 million, significantly higher than $57.4 million for the same period in 2023[171]. - As of June 30, 2024, the company had total liquidity of $879.0 million, up from $799.6 million as of December 31, 2023[170]. - Interest income, net was $19.5 million for the six months ended June 30, 2024, compared to $13.2 million for the same period in 2023, reflecting a 48% increase[168]. Manufacturing and Operational Insights - The new manufacturing site in Shannon, Ireland, is expected to double production capacity and diversify the manufacturing base for phosphorescent emitters[145]. - The company anticipates fluctuations in annual and quarterly results due to various factors, including sales timing and customer demand[145]. Risk Management - The company prepares its Consolidated Financial Statements in accordance with U.S. generally accepted accounting principles, which involve critical accounting policies related to revenue recognition, deferred revenue, inventories, and income taxes[177]. - As of June 30, 2024, the company had no off-balance sheet arrangements that could expose it to credit, liquidity, or market risk[180]. - The company does not utilize financial instruments for trading purposes and holds no derivative financial instruments that could expose it to significant market risk, primarily facing interest rate changes[181]. - Substantially all of the company's revenue is derived from outside of North America, primarily denominated in U.S. dollars, mitigating significant foreign exchange risk[182].