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Corning (GLW -2.2%) trades lower after Morgan Stanley reiterates an Underwight, noting downbeat...

Corning (GLW -2.2%) trades lower after Morgan Stanley reiterates an Underwight, noting downbeat remarks made by CFO James Flaws at a conference. Flaws mentioned his company's Samsung Corning JV (SCP) has chosen not to match a price cut from rival Nippon Electric, and has thus lost share at customer LG Display (LPL). As a result, SCP is now expected to see a "low-double-digit" shipment decline. (previously)
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Comments (1)
  • mikeurl
    , contributor
    Comments (444) | Send Message
     
    Anyone long GLW frankly deserves what they get. The CEO has told everyone to expect several quarters of underperfomance.

     

    They may find a footing in their business but right now it is straight down as big glass gets hammered. They let themselves get far too dependent on the giant margins in SCP and now that is going away.

     

    It doesn't make GLW a bad company but it does mean the earnings are going to compress for at least 2 more quarters, if not longer.
    29 Feb 2012, 03:28 PM Reply Like
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