I will always have a soft spot for companies like Corning (NYSE:GLW).
I'm a science geek at heart, and what Corning has accomplished time and
time again in materials science is impressive to say the very least.
But then there's the other side of the equation – brutal competition and
capital spending cycles that create boom/bust cash flows and returns on
capital. Although I do see some risks to the handset and TV markets,
and the free cash flow model doesn't scream “cheap”, I wouldn't bet
against this stock for the long term.
Please read more:
http://www.investopedia.com/stock-analysis/082013/cornings-alwaysfrustrating-mix-opportunity-and-risk-glw-aapl-auo.aspx
Showing posts with label AU Optronics. Show all posts
Showing posts with label AU Optronics. Show all posts
Tuesday, August 20, 2013
Friday, April 27, 2012
Seeking Alpha: Corning May Be Chipped And Scratched, But It Can Be Polished
It's probably cliché now to talk about how former high-flying tech stocks like Alcatel-Lucent (ALU), Ciena (CIEN), and Corning (GLW)
now trade at fractions of their former highs. Corning has never fallen
out of the groove in terms of technology or R&D, but instead found
itself in situations where high capex investments, industry
overcapacity, and price erosion crushed its ability to sustainably earn
its cost of capital.
Although Corning is not out of the woods yet, it's more diverse now than it has been in a very long time, and the company may finally be in position to see some positive economic leverage.
Continue reading here:
Corning May Be Chipped And Scratched, But It Can Be Polished
Although Corning is not out of the woods yet, it's more diverse now than it has been in a very long time, and the company may finally be in position to see some positive economic leverage.
Continue reading here:
Corning May Be Chipped And Scratched, But It Can Be Polished
Monday, November 21, 2011
Investopedia: Applied Materials Still Digging For Bottom
Right up there with "it's different this time" in the lexicon of dangerous Wall Street sayings, is "how much worse can it get?" When it comes to Applied Materials (Nasdaq:AMAT) and its solar and flat panel businesses, apparently the answer is "a whole lot worse." Although recovery in semiconductors is arguably in sight, it seems likely that analysts and institutional investors are going to be more interested in names like KLA-Tencor (Nasdaq:KLAC), Novellus Systems (Nasdaq:NVLS) and ASML (Nasdaq:ASML), until Applied Materials proves convincingly that it can pull out of this nose-dive.
To read more, follow this link:
http://stocks.investopedia.
To read more, follow this link:
http://stocks.investopedia.
Monday, October 24, 2011
Investopedia: How Did Intel Do This?
The word "surprise" is a given whenever it's time to talk about earnings season, but Intel (Nasdaq:INTC) went above and beyond this quarter. Is Intel's robust growth, in spite of sluggish shipment data from leading PC makers, a sign that U.S. computer companies are more significant than ever before, is it a sign that Intel is gaining shares or is it a sign that dangerous levels of inventory may be building up in the channel? While Intel looks too cheap, no matter what the answer may be, the degree of volatility in this stock may hinge on the answer.
Click the link for the full piece:
http://stocks.investopedia.
Click the link for the full piece:
http://stocks.investopedia.
Friday, May 27, 2011
Investopedia: Good Luck Figuring Out Applied Materials' Course
It's common knowledge that the semiconductor industry is cyclical and that any company selling equipment for this industry is going to have its ups and downs. Even so, it almost feels like investors considering Applied Materials (Nasdaq: AMAT) would be better served with a Ouija board or tarot deck. Nobody questions that AMAT is a key player in the equipment used to make chips, solar panels, flat panel displays and so on, but it seems no two analysts or investors can agree on where we are in this cycle and how low the next bottom will be.
A Solid Fiscal Second Quarter
What is certain is that Applied Materials had a solid second quarter. Revenue rose almost 7% on a sequential basis and surpassed the high end of its analyst range. Growth was led by the services and solar businesses, while the core semiconductor business was down about 3% from the prior quarter. Orders were also solid - climbing 7% - with growth everywhere but the solar business and the core chip equipment business matching that overall growth rate.
Going with straight-up GAAP reported results, AMAT saw gross margin improve more than a full point from last year, but come off about 70 basis points sequentially. Operating income was stronger on a year-over-year basis (up 75%), and up strongly on a sequential basis. To the extent that looking at cash flow can help resolve some of the non-cash items that complicate earnings reports, AMAT reported that year-to-date operating cash flow was up almost 26% from the year-ago period. (For more, see Strategies For Quarterly Earnings Season.)
Continue reading at the link below:
http://stocks.investopedia.
A Solid Fiscal Second Quarter
What is certain is that Applied Materials had a solid second quarter. Revenue rose almost 7% on a sequential basis and surpassed the high end of its analyst range. Growth was led by the services and solar businesses, while the core semiconductor business was down about 3% from the prior quarter. Orders were also solid - climbing 7% - with growth everywhere but the solar business and the core chip equipment business matching that overall growth rate.
Going with straight-up GAAP reported results, AMAT saw gross margin improve more than a full point from last year, but come off about 70 basis points sequentially. Operating income was stronger on a year-over-year basis (up 75%), and up strongly on a sequential basis. To the extent that looking at cash flow can help resolve some of the non-cash items that complicate earnings reports, AMAT reported that year-to-date operating cash flow was up almost 26% from the year-ago period. (For more, see Strategies For Quarterly Earnings Season.)
Continue reading at the link below:
http://stocks.investopedia.
Wednesday, November 24, 2010
Everything Has Caught Up To Analog Devices
It was not all that long ago when Analog Devices (NYSE:ADI) looked like a relatively undervalued play in the chip sector and good candidate for more conservative investors wanting tech exposure. When I last wrote on Analog in mid-August, I was positive on the stock and shares have jumped about five points (nearly 20%) since then. While a lot of the easy short-term money may already be in the bank, there are still solid reasons for investors to keep a careful eye on this name.
As Expected, A Solid Quarter
Analog delivered yet another solid quarter to close out its fiscal year. Revenue jumped 35% from the year-ago level, and rose 7% on a sequential basis. Growth was led once again by strong results in communications, where revenue rose 19% sequentially on the back of demand in applications like base stations (likely good news as well for Powerwave (Nasdaq:PWAV)). Auto sales were also strong, with a 12% sequential improvement, while industrial and consumer were up 3% and 2% respectively.
To continue on:
http://stocks.investopedia.
As Expected, A Solid Quarter
Analog delivered yet another solid quarter to close out its fiscal year. Revenue jumped 35% from the year-ago level, and rose 7% on a sequential basis. Growth was led once again by strong results in communications, where revenue rose 19% sequentially on the back of demand in applications like base stations (likely good news as well for Powerwave (Nasdaq:PWAV)). Auto sales were also strong, with a 12% sequential improvement, while industrial and consumer were up 3% and 2% respectively.
To continue on:
http://stocks.investopedia.
Wednesday, August 11, 2010
Cree Not Burning Out Yet
Judging by the early reaction in the market, LED specialist Cree (Nasdaq:CREE) is going to take a hit in the wake of its fiscal fourth-quarter earnings and forward guidance. At first blush this may look like a case of Wall Street saying that nothing is ever good enough, but a quick glance at the valuation reveals a more typical growth stock profile. This, then, is the tradeoff for investors - the ride up from below $15 in late 2008 to the recent high near $80 was a blast, but with that moves comes extremely aggressive expectations and hair triggers on the sell orders at the first hint of trouble.
The Quarter That Was
Simply put, there just are not very many companies growing like Cree right now. Revenue jumped 79% this quarter to $265 million, with XLamp LED components once again proving to be a strong driver. Impressive as that growth is, it was basically spot-on for what analysts had forecast for the company. Once again, this is a company that is doing great, but where the expectations are so high that a lot of institutional investors are going to turn around and ask "what else ya got?"
To read the complete piece, please continue to:
http://stocks.investopedia.
The Quarter That Was
Simply put, there just are not very many companies growing like Cree right now. Revenue jumped 79% this quarter to $265 million, with XLamp LED components once again proving to be a strong driver. Impressive as that growth is, it was basically spot-on for what analysts had forecast for the company. Once again, this is a company that is doing great, but where the expectations are so high that a lot of institutional investors are going to turn around and ask "what else ya got?"
To read the complete piece, please continue to:
http://stocks.investopedia.
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