Universal Display Corporation (OLED) AI Stock Analysis

Universal Display Corporation specializes in the research, development, and commercialization of organic light emitting diode technologies and materials for display and solid-state lighting applications. The company supplies proprietary UniversalPHOLED materials and holds exclusive licenses and rights to sublicense approximately 5,500 patents across the globe. Its technological offerings include FOLED flexible OLED technology for bendable substrates, OVJP printing technology for fabrication, and thin-film encapsulation barrier film solutions. In addition, the firm offers technology development partnerships and contract research services in chemical materials synthesis.

Universal Display grew annual revenue from $553.5M in FY2021 to $650.6M in FY2025, reflecting a 5-year revenue CAGR of 8.7%. Net income rose to $242.1M in FY2025, generating EPS of $5.07 with a 37.2% net margin. Operating margin was 38.2% in FY2025, compared to 41.1% in FY2021. For the trailing twelve months ended June 30, 2026, revenue stood at $606.9M and EPS was $4.14. In the latest quarter, revenue fell 11.4% year-over-year, while quarterly earnings declined 24.9% year-over-year.

As of June 30, 2026, Universal Display held $471.3M in cash and short-term investments against $16.9M in total debt, resulting in net cash of $454.4M. Shareholders' equity was $1.68B, the current ratio stood at 8.50, and debt-to-equity was 0.01. In FY2025, the business produced $210.8M in operating cash flow and $144.4M in free cash flow. Capital expenditures absorbed $66.5M, while capital return included $85.5M in dividends paid and $32.9M in share buybacks.

Universal Display trades at a trailing P/E of 18.8x and a forward P/E of 14.9x, compared to 28.1x and 18.8x for the median of its US-listed Technology peers. Its enterprise value to EBITDA ratio is 12.2x, below the peer median of 16.6x, while its price-to-sales multiple is 5.9x versus the peer median of 2.8x. Over the past year, the stock dropped 47.0%, while the S&P 500 gained 16.8%. Over five years, the stock fell 53.2% compared to an 83.0% gain for the index.

Universal Display pays a quarterly dividend totaling $2.00 annualized, yielding 2.57% at the last close. The payout ratio is 47.2%, backed by 10 consecutive years of dividend payments. Over the past five years, the dividend has grown at an annualized rate of 24.6%. The last ex-dividend date was September 16, 2026.

Wall Street analysts covering OLED assign 5 Strong Buy, 1 Buy, 2 Hold, and 1 Strong Sell ratings. The mean price target is $113.82, representing a 46.0% premium over the last close of $77.95. For the fiscal year ending December 31, 2026, analysts estimate revenue of $630.5M and EPS of $4.20, down 17.4%. Universal Display beat EPS estimates in 2 of the last 4 quarters, and the next earnings date is October 28, 2026.

This page is an AI-written research summary of Universal Display Corporation (OLED). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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