) achieved a new 52-week high, touching $20.75 on Mar 27. The
stock closed the session at $20.46, reflecting a solid return of
nearly 54% over the past one year. The trading volume for the
session was 11.8 million shares.
Despite the strong price appreciation, this Zacks Rank #3 (Hold)
stock still has further upside because of its innovations,
particularly in the Gorilla Glass (GG) category.
In October last year, Corning announced the acquisition of
Samsung's stake in Samsung Corning Precision Materials Co., Ltd.
(SCP), now called Corning Precision Materials Co., Ltd. (CPM).
With the help of this agreement Corning recently announced the
transfer of GG production from Japan to Korea by 2015. The better
utilization of its now fully-owned Korean facility will help
improve margins at Corning. The lower costs will enable the
company to price its products more competitively, thus
strengthening GG versus the competing sapphire glass. This should
help the company score additional wins for tablets.
The introduction of new ultra-high definition televisions with
flat and larger screens will also boost the demand for Corning's
liquid crystal display (LCD) glass.
Recently, Corning announced that it has signed an accelerated
share repurchase agreement (ASR) with Citibank, N.A. as a part of
its $2 billion share repurchase program. This will offset the
dilutive impact of the SCP acquisition.
Corning has seen rising earnings and mixed revenue figures over
the last four quarters. It reported fourth quarter and full-year
2013 earnings results on Jan 28, 2014. Earnings beat the Zacks
Consensus Estimate by a couple of cents or 7.4% and were up to 30
cents compared with 28 cents in the previous quarter and 10 cents
in the year-ago quarter.
Also, when compared to its peers, Corning has shown relatively
better year-to-date performance.
Other Stocks to Consider
Some better-ranked stocks in the sector include
). While AudioCodes sports a Zacks Rank #1 (Strong Buy), ClearOne
and Plantronics carry a Zacks Rank #2 (Buy).
AUDIOCODES LTD (AUDC): Free Stock Analysis
CLEARONE INC (CLRO): Free Stock Analysis
CORNING INC (GLW): Free Stock Analysis Report
PLANTRONICS INC (PLT): Free Stock Analysis
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