LG Display / LPL - Undervalued gem
P/E of around 5 and dividend yield at 2%, $8.21b Mcap and revenue of $25.7b. Total cash $3.13b or 4.4 bucks per stock, 15% dividend payout, P/B 0.56. Great, modern product in high demand. Read that few times, double-checked it and decided it is a great addition to the portfolio.
Now, the recent news, it was supposed to take-over Samsung's deal for construction of OLED screens for new iPhones, however it fell short and couldn't quite deliver the amount of screens necessary which made AAPL reconsider this deal, bad news - yes, however it never really jumped significantly when the first news of the collaboration came out, so really not much of the hope was priced it. Secondly, it posted first Q loss since 2016...and back then the prices fell to historic supports I think we will see again.
In other news they expect increase in demand and stabilization in material costs so the outlook is bright and their OLED is something market looks forward to massively adopt in their homes, therefore I will be patient and look to enter when this slide reaches critical supports. Keep in mind the fundamentals from the first paragraph and it will all makes sense.
To be continued...
Now, the recent news, it was supposed to take-over Samsung's deal for construction of OLED screens for new iPhones, however it fell short and couldn't quite deliver the amount of screens necessary which made AAPL reconsider this deal, bad news - yes, however it never really jumped significantly when the first news of the collaboration came out, so really not much of the hope was priced it. Secondly, it posted first Q loss since 2016...and back then the prices fell to historic supports I think we will see again.
In other news they expect increase in demand and stabilization in material costs so the outlook is bright and their OLED is something market looks forward to massively adopt in their homes, therefore I will be patient and look to enter when this slide reaches critical supports. Keep in mind the fundamentals from the first paragraph and it will all makes sense.
To be continued...
Trade active:
Entering today near 9$ levels.
Aim: 13$
Upcoming earnings report may make it shaky short term, but long term: we have AAPL returning to LG for it to make OLED screens for new iPhones that are yet to come.
Aim: 13$
Upcoming earnings report may make it shaky short term, but long term: we have AAPL returning to LG for it to make OLED screens for new iPhones that are yet to come.
Trade active:
Doubled the position just now. The price seems so right somehow.