Walker asserts that recent commentary that panel makers are constraining production “appears to have been hollow talk.” He notes that while panel makers are cutting cap ex budgets, “ongoing production increases in existing fabs continues to generate excess supply. The result will likely be soft glass volumes and pricing GLW in Q1-2.”
Nonetheless, he remains positive on the stock, with an Overweight rating. Writes Walker:
“The stock’s valuation appears to bake in even deeper estimate cuts, and we remain positive at these levels.”
Corning shares today are up 51 cents at $19.93.
GLW 1-yr chart