Universal Display Corporation (OLED) Sinks -7.61% Today: Breaking Down The Root Causes

Stay Ahead of Wall Street. Find out what is happening to Universal Display Corporation (NASDAQ:OLED) stock today? Its price is nose-diving -14.7 points, trading at $178.46 levels, and is down -7.61% from its previous close of $193.16. The shares seem to have an active trading volume day with a reported 198118 contracts so far this session. OLED shares had a relatively better volume day versus average trading capacity of 645.5 thousand shares, but with a 42.66 million float and a -7.9% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for OLED stock indicates that the average analyst price target is $211.64 per share. This means the stock has a potential increase of 18.59% from where the OLED share price has been trading recently which is between $187.365 and $197.23. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $130.

The shorts are running away from Universal Display Corporation (OLED) stock. The latest set of short interest data was released on 15 August 2019, and the numbers show a drop in short interest in OLED shares. While short interest still represents only 4.5% of OLED’s float, the number of shares shorted have fallen by -296825. The number of shares shorted fell to 1919385 shares, down from 2216210 shares during the preceding fortnight. With average daily trading volumes at 868280 shares, days to cover decreased to about 4.04618 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Universal Display stock falls after Susquehanna turns bearish” and dated September 12, 2019.

During the recent trading session for Universal Display Corporation (NASDAQ:OLED), the company witnessed their stock drop by $-43.6 over a week and tumble down $-28.27 from the price 20 days ago. When compared to their established 52-week high of $230.32, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 06/09/19. The recent low of $78.78 stood for a -22.52% since 03/01/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.49 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.

Looking at the current readings for Universal Display Corporation, the two-week RSI stands at 34.25. This figure suggests that OLED stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current OLED readings is similarly very revealing as it has a stochastic reading of 10.21% at this stage. This figure means that OLED share price today is being overbought.

Technical chart claims that Universal Display Corporation (OLED) would settle between $197.8/share to $202.45/share level. However, if the stock price goes below the $187.94 mark, then the market for Universal Display Corporation becomes much weaker. If that happens, the stock price might even plunge as low as $182.72 for its downside target. The stock is currently in the red zone of MACD, with the indicator reading -16.69. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.

Analysts at Needham lowered their recommendation on shares of OLED from Buy to Hold in their opinion released on August 02. Berenberg, analysts launched coverage of Universal Display Corporation (NASDAQ:OLED) stock with a Hold recommendation, according to their flash note issued to investors on July 24. Analysts at ROTH Capital lowered the stock to a Neutral call from its previous Buy recommendation, in a research note that dated back to July 22.

OLED equity has an average rating of 2.56, with the figure leaning towards a bullish end. 9 analysts who tracked the company were contacted by Reuters. Amongst them, 7 rated the stock as a hold while the remaining 2 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 2 analysts rated Universal Display Corporation (NASDAQ:OLED) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.

Moving on, OLED stock price is currently trading at 48.22X forward 12-month Consensus EPS estimates, and its P/E ratio is 78.52 while for the average stock in the same group, the multiple is 19.65. Universal Display Corporation current P/B ratio of 12.11 means it is trading at a premium against its industry’s 1.89.

Universal Display Corporation (OLED)’s current-quarter revenues are projected to climb by nearly 9.26% to hit $84.73 million, based on current Zacks Consensus Estimate. The firm’s full-year revenues are expected to expand by over 54.04% from $247410 to a noteworthy $381110. At the other end of the current quarter income statement, Universal Display Corporation is expected to see its adjusted earnings surge by roughly 18.75% to hit $0.57 per share. For the fiscal year, OLED’s earnings are projected to climb by roughly 116.13% to hit $2.68 per share.