Universal Display Corporation Common Stock (OLED)

FairStock Score: 71/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Universal Display is a high-quality but cyclical technology supplier, selling phosphorescent OLED materials and related technology for displays. The attraction is an asset-light licensing and materials model, with debt-to-equity of just 0.01 and trailing free cash flow of $170.0 million, a 4.9% FCF yield at the 2026-10-13 close. The balance sheet looks fortress-like: FairStock's Altman Z-Score is 11.78 and Piotroski F-Score is 7/9. Long term, filed results show progress: fiscal 2023 revenue was $576.4 million, fiscal 2024 revenue $647.7 million, and fiscal 2025 revenue $650.6 million, while net income rose from $203.0 million to $222.1 million to $242.1 million. But the latest filed quarter shows a pause: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $152.2 million and net income $49.4 million, down from fiscal Q2 2025 revenue of $171.8 million and net income of $67.3 million. FairStock's revenue growth is -11.43% and profit growth is -26.53%. The 32.48% net margin in fiscal Q2 2026 hints at pricing power, though ROCE of 6.77% is not exceptional. At $75.66, FairStock calculates a P/E of 18.28, P/B of 2.08, EV/EBITDA of 13.10, and a Graham Number of $58.25, leaving a -29.89% margin of safety. Return on equity is 11.52%. FairStock labels it a STALWART because profit grew 12.7% a year over five years on 8.7% revenue growth. My read: the franchise is financially strong and likely durable, but recent results are mixed and the price already reflects much of the quality. I would want evidence that fiscal Q2 2026's decline is temporary before calling it compelling value.

In plain English: Universal Display makes special light-emitting materials and technology used in screens, including flexible displays. The business is profitable, generates cash, and carries very little debt, but sales and profit in the most recent quarter fell from a year earlier. At $75.66 on 2026-10-13, the price looks above a simple value estimate based on earnings and book value, so it does not appear cheap versus its reported numbers.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer