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Universal Display Corp. \Pa\ (OLED) Stock Fundamental Analysis & AI Rating 2026

OLED Nasdaq Electronic Components & Accessories PA CIK: 0001005284
Recently Updated • Analysis: Apr 13, 2026 • SEC Data: 2025-12-31
BUY
72% Conf
Pending
Analysis scheduled

📊 OLED Key Takeaways

Revenue: $650.6M
Net Margin: 37.2%
Free Cash Flow: $154.4M
Current Ratio: 10.06x
Debt/Equity: 0.00x
EPS: $5.08
AI Rating: BUY with 72% confidence
Universal Display Corp. \Pa\ (OLED) receives a BUY rating with 72% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $650.6M, net profit margin of 37.2%, and return on equity (ROE) of 13.7%, Universal Display Corp. \Pa\ demonstrates strong fundamentals in the Technology sector. Below is our complete OLED stock analysis for 2026.

Is Universal Display Corp. \Pa\ (OLED) a Good Investment?

Claude

Universal Display exhibits fortress-like financial fundamentals with exceptional profitability (76.3% gross margin, 37.2% net margin) and zero leverage, generating robust free cash flow of $154.4M annually. However, flat revenue growth (0.0% YoY) and EPS expansion driven primarily by share buybacks rather than organic growth indicate the business faces mature/stagnating market demand in its OLED/electronic components segments, limiting upside potential.

Why Buy Universal Display Corp. \Pa\ Stock? OLED Key Strengths

Claude
  • + Exceptional profitability with 76.3% gross margin and 37.2% net margin, indicating strong pricing power and operational excellence
  • + Fortress balance sheet with zero debt, 10.06x current ratio, and $138.4M cash providing significant financial flexibility
  • + High-quality earnings conversion with $154.4M free cash flow (23.7% FCF margin) demonstrating sustainable cash generation capability

OLED Stock Risks: Universal Display Corp. \Pa\ Investment Risks

Claude
  • ! Zero revenue growth (flat YoY) suggests mature or declining market demand in OLED/electronic components sector
  • ! Earnings per share growth (9.2% YoY) driven by financial engineering (buybacks) rather than organic business expansion
  • ! Intense competitive pressures from larger players (Samsung, LG) in display technology markets could erode margins

Key Metrics to Watch

Claude
  • * Revenue growth acceleration/deceleration trends and market share in OLED segment
  • * Gross margin sustainability amid component cost inflation and competitive pricing pressure
  • * Free cash flow conversion ratio and capital allocation strategy (buybacks vs. strategic investment)

Universal Display Corp. \Pa\ (OLED) Financial Metrics & Key Ratios

Revenue
$650.6M
Net Income
$242.1M
EPS (Diluted)
$5.08
Free Cash Flow
$154.4M
Total Assets
$2.0B
Cash Position
$138.4M

💡 AI Analyst Insight

The 23.7% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 10.06x current ratio provides a solid financial cushion.

OLED Profit Margin, ROE & Profitability Analysis

Gross Margin 76.3%
Operating Margin 38.2%
Net Margin 37.2%
ROE 13.7%
ROA 12.3%
FCF Margin 23.7%

OLED vs Technology Sector: How Universal Display Corp. \Pa\ Compares

How Universal Display Corp. \Pa\ compares to Technology sector averages

Net Margin
OLED 37.2%
vs
Sector Avg 18.0%
OLED Sector
ROE
OLED 13.7%
vs
Sector Avg 22.0%
OLED Sector
Current Ratio
OLED 10.1x
vs
Sector Avg 2.5x
OLED Sector
Debt/Equity
OLED 0.0x
vs
Sector Avg 0.5x
OLED Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Universal Display Corp. \Pa\ Stock Overvalued? OLED Valuation Analysis 2026

Based on fundamental analysis, Universal Display Corp. \Pa\ has mixed fundamental signals relative to the Technology sector in 2026.

Return on Equity
13.7%
Sector avg: 22%
Net Profit Margin
37.2%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.5x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Universal Display Corp. \Pa\ Balance Sheet: OLED Debt, Cash & Liquidity

Current Ratio
10.06x
Quick Ratio
7.83x
Debt/Equity
0.00x
Debt/Assets
10.3%
Interest Coverage
11,837.05x
Long-term Debt
N/A

OLED Revenue & Earnings Growth: 5-Year Financial Trend

OLED 5-year financial data: Year 2021: Revenue $553.5M, Net Income $138.3M, EPS $2.92. Year 2022: Revenue $616.6M, Net Income $133.4M, EPS $2.80. Year 2023: Revenue $616.6M, Net Income $184.2M, EPS $3.87. Year 2024: Revenue $647.7M, Net Income $210.1M, EPS $4.40. Year 2025: Revenue $650.6M, Net Income $203.0M, EPS $4.24.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Universal Display Corp. \Pa\'s revenue has grown significantly by 18% over the 5-year period, indicating strong business expansion. The most recent EPS of $4.24 reflects profitable operations.

OLED Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
23.7%
Free cash flow / Revenue

OLED Quarterly Earnings & Performance

Quarterly financial performance data for Universal Display Corp. \Pa\ including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $139.6M $44.0M $0.92
Q2 2025 $158.5M $52.3M $1.10
Q1 2025 $165.3M $56.9M $1.19
Q3 2024 $141.1M $51.5M $1.08
Q2 2024 $146.6M $49.7M $1.04
Q1 2024 $130.5M $39.8M $0.83
Q3 2023 $141.1M $51.5M $1.08
Q2 2023 $136.6M $41.5M $0.87

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Universal Display Corp. \Pa\ Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$210.8M
Cash generated from operations
Stock Buybacks
$32.9M
Shares repurchased (TTM)
Capital Expenditures
$56.5M
Investment in assets
Dividends Paid
$85.5M
Returned to shareholders

OLED SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Universal Display Corp. \Pa\ (CIK: 0001005284)

📋 Recent SEC Filings

Date Form Document Action
Apr 2, 2026 4 xslF345X06/ownership.xml View →
Apr 2, 2026 4 xslF345X06/ownership.xml View →
Apr 2, 2026 4 xslF345X06/ownership.xml View →
Apr 2, 2026 4 xslF345X06/ownership.xml View →
Apr 2, 2026 4 xslF345X06/ownership.xml View →

Frequently Asked Questions about OLED

What is the AI rating for OLED?

Universal Display Corp. \Pa\ (OLED) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.

What are OLED's key strengths?

Claude: Exceptional profitability with 76.3% gross margin and 37.2% net margin, indicating strong pricing power and operational excellence. Fortress balance sheet with zero debt, 10.06x current ratio, and $138.4M cash providing significant financial flexibility.

What are the risks of investing in OLED?

Claude: Zero revenue growth (flat YoY) suggests mature or declining market demand in OLED/electronic components sector. Earnings per share growth (9.2% YoY) driven by financial engineering (buybacks) rather than organic business expansion.

What is OLED's revenue and growth?

Universal Display Corp. \Pa\ reported revenue of $650.6M.

Does OLED pay dividends?

Universal Display Corp. \Pa\ pays dividends, with $85.5M distributed to shareholders in the trailing twelve months.

Where can I find OLED SEC filings?

Official SEC filings for Universal Display Corp. \Pa\ (CIK: 0001005284) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is OLED's EPS?

Universal Display Corp. \Pa\ has a diluted EPS of $5.08.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is OLED a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Universal Display Corp. \Pa\ has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.

Is OLED stock overvalued or undervalued?

Valuation metrics for OLED: ROE of 13.7% (sector avg: 22%), net margin of 37.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

Should I buy OLED stock in 2026?

Our dual AI analysis gives Universal Display Corp. \Pa\ a combined BUY rating for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.

What is OLED's free cash flow?

Universal Display Corp. \Pa\'s operating cash flow is $210.8M, with capital expenditures of $56.5M. FCF margin is 23.7%.

How does OLED compare to other Technology stocks?

Vs Technology sector averages: Net margin 37.2% (avg: 18%), ROE 13.7% (avg: 22%), current ratio 10.06 (avg: 2.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 13, 2026 | Data as of: 2025-12-31 | Powered by Claude AI