Oct. 22, 2013, 5:50 PM
Oct. 22, 2013, 4:29 PM
- Corning (GLW) is taking full control of the Samsung Corning LCD glass JV, currently 43%-owned by Samsung Display. Samsung, meanwhile, is buying $2.3B worth of Corning convertible preferred shares via two transactions.
- The deal will give Samsung Display a 7.4% stake in Corning on an as-converted basis. It also features a new display glass supply agreement between the firms that lasts until 2023, and a strengthening of their R&D collaboration.
- The transactions are expected to close in Q1 2014. Corning promises "immediate earnings accretion" and cost synergies.
- Separately, Corning has announced a new $2B buyback, good for repurchasing 7% of outstanding shares at current levels.
- The company also says it expects to report Q3 revenue of $2.1B (+10% Y/Y) and EPS of $0.33 vs. a consensus of $2.1B and $0.32. Q4 numbers are expected to be lower Q/Q, due to seasonality and a major Y/Y drop in optical fiber sales. The consensus is for revenue of $2.11B and EPS of $0.33.
- Full Q3 results arrive on Oct. 30.
- GLW +20.7% AH. CC at 4:30PM ET.
Oct. 11, 2013, 9:23 AM
- Intel (INTC) has been cut to Neutral, and Nvidia (NVDA) to Underperform, by Macquarie. Intel's Q3 report arrives on Tuesday. Intel -0.6% premarket, Nvidia -0.9%.
- Micron (MU) has been cut to Underperform by Wells Fargo following its FQ4 results (I, II) and FQ1 pricing guidance. Shares -2.1%.
- Synaptics (SYNA) has been cut to Neutral by JPMorgan two days after announcing the Validity Sensors deal and forecasting strong FQ1 sales. Shares -1.5%.
- Corning (GLW) has been cut to Neutral by Piper. Shares -1%.
- Iron Mountain (IRM) has been cut to Underweight by Barclays a day after announcing CFO Brian McKeon is leaving. Shares -2.2%.
- LG Display (LPL) has been upgraded to Buy by Citi.
- Diodes (DIOD) has been upgraded to Buy by Longbow.
Sep. 18, 2013, 11:10 AM
- In light of the iPhone 5S' inclusion of a sapphire home button (with an embedded fingerprint sensor), Canaccord predicts sapphire prices will rise further, something that stands to benefit equipment supplier GT Advanced (GTAT +8.2%) and wafer maker Rubicon (RBCN +5.3%).
- Meanwhile, Digitimes reports the upcoming 5th-gen iPad and retina iPad Mini will also have sapphire home buttons (not surprising), and (more intriguingly) states Apple will "possibly" use a sapphire touch screen in a 2014 iPhone (presumably the iPhone 6).
- Digitimes, which has been hit-and-miss with product feature rumors, notes Apple recently submitted a patent filing for sapphire layer lamination. However, it also observes the cost of sapphire cover glass remains up to 5x that of existing solutions, such as Corning's (GLW +1.9%) Gorilla Glass.
- GT Advanced has been promising the development of sapphire furnaces able to make larger crystals will narrow the pricing gap between sapphire and Gorilla Glass.
- Sapphire glass is thinner and reportedly 3x stronger/scratch-resistant than Gorilla Glass. However, Corning has been improving the scratch-resistance of the latter, and has criticized sapphire's weight and optical qualities.
Aug. 22, 2013, 1:43 PM
- Quartz reports Apple (AAPL -0.7%) is talking with ESPN, HBO, and Viacom, among others, about deals to "provide content for a television set that would emphasize apps over cable TV."
- Sources think Apple could be planning to create its own Web-based TV service (Intel and Sony have similar plans), but also caution "everybody is talking with everybody." They add Apple has "concluded that it doesn’t need all, even most, content providers on board before it can release a TV set that people would buy."
- Past reports indicated Apple has tried to license TV channels for a la carte distribution, only to be stymied by network owners scared of alienating pay-TV providers and upending a profitable status quo.
- Yesterday, Bloomberg reported ESPN is thinking of licensing its channels to Web TV providers, but apparently for packages similar to those offered by pay-TV clients.
- Taiwan's Economic Daily News recently reported Apple is working with Foxconn and Corning (GLW +0.1%) on creating 55" and 60" TV sets (translation) sporting edge-to-edge Gorilla Glass panels.
- A revamped Apple TV set-top could arrive later this year, as might Time Warner Cable channel support.
Aug. 20, 2013, 11:09 AM
- Citi notes prices for large-sized TV panels are down another ~$2, or ~1%, in August, and that DisplaySearch expects "continued price pressures during the seasonal build period as demand remains uncertain."
- The firm also observes soft PC demand is affecting TV panel prices (by hurting the supply/demand balance), and that tablet panel prices are down 1%-5% due to rising supply.
- With over 70% of Corning's (GLW -1.1%) net income stemming from display glass sales, Citi is reiterating a Neutral on the company, even though it considers its dividend, cash generation, R&D, and manufacturing abilities "impressive."
- Soft TV panel prices also stand to impact AU Optronics (AUO +0.7%) and LG Display (LPL -0.6%).
- Corning's Display Technologies unit posted 21% Y/Y rev. growth in Q2. Q3 LCD glass volumes were forecast to be up slightly Q/Q, and price declines on par with Q2.
- LCD driver IC vendor Himax recently forecast its Q3 large-panel driver sales will be "sluggish" thanks to soft TV/laptop demand and the end of China's TV subsidy program.
Jul. 30, 2013, 9:33 AM
- Corning's (GLW -1%) Q3 LCD glass volumes are expected to be up slightly Q/Q, and price declines steady with Q2.
- Specialty Materials (inc. Gorilla Glass) sales are expected to grow 10% Q/Q.
- Telecom sales seen growing 20% Y/Y, environmental technologies "up slightly," Life Sciences (boosted by acquisition) +40%-45%
- Q2 Display Technologies sales (inc. LCD TV glass) +21% Y/Y, up from +7% in Q1. LCD glass price declines smaller than Q1's, as expected. Segment earnings +11%.
- Telecom sales +8% (-7% in Q1), Earnings +62% (aided by cost reductions).
- Specialty Materials (inc. Gorilla Glass) +2% Y/Y (-10% in Q1). Earnings +33%.
- Environmental Technologies -8% Y/Y (-13% in Q1), Life Sciences +35%.
- Dow Corning (silicone unit) earnings -19% Y/Y, expected to fall 50% Q/Q in Q3.
- Q2 gross margin was 43%, flat Q/Q and +100 bps Y/Y
- $242M spent on buybacks.
- SG&A spend -7% Y/Y, R&D -3% thanks to cost cuts.
- Q2 results, PR
Jul. 30, 2013, 7:38 AM
- Corning (GLW): Q2 EPS of $0.32 beats by $0.01.
- Revenue of $2.02B (+11% Y/Y) beats by $0.05B. (PR)
Jul. 30, 2013, 12:05 AM
- ACI, ADS, AET, ARQL, AUDC, BLC, BP, BYD, CIE, CMI, COH, CVLT, DB, DDD, DIN, DISCA, DSX, ECL, ESV, ETR, EZPW, FIS, GLW, GNRC, GT, GTI, GTLS, HCP, HEP, HRS, HW, IPGP, JBLU, KLIC, MCGC, MDC, MLM, MRK, MSO, MWV, NEE, NLSN, NOV, NTLS, NYX, ODP, OSK, OXY, PBI, PEG, PES, PFE, ROK, S, SAN, SNH, TRI, TRW, UBS, UDR, VSH, WLK, WM, WU, XYL
Jul. 29, 2013, 7:08 PM
- The new Nexus 7 is quickly creating believers. Reviewers at The Verge, Engadget, and Mashable all like the Google (GOOG) tablet's 1920x1200 display, quad-core CPU, and thin/light form factor. Some complaints are registered about the 7's large bezels and (relative to the iPad) tablet app ecosystem.
- Chromecast reviews are just as good. The Verge's Nilay Patel (9.0 out of 10) is more impressed with the $35 HDMI stick's tab casting feature, which allows the contents of any browser tab to be streamed, than its Netflix/YouTube support. "Think of it as a wireless display cable for your laptop and you’ll get the potential immediately." Comparing Chromecast to Apple TV, TechCrunch's Greg Kumparak praises the device's cross-platform support.
- Former Android and Me writer Taylor Wimberly reports the Moto X will use a special kind of Gorilla Glass (GLW), known as Magic Glass, that wraps around a phone's sides.
Jul. 29, 2013, 5:30 PM
- ACI, ADS, AET, ARQL, AUDC, BLC, BP, BYD, CIE, CMI, COH, CVLT, DB, DDD,DIN, DISCA, DSX, ECL, ESV, ETR, EZPW, FIS, GLW, GNRC, GT, GTI, GTLS, HCP, HEP, HRS, HW, IPGP, JBLU, KLIC, MCGC, MDC, MLM, MRK, MSO, MWV, NEE, NLSN,NOV, NTLS, NYX, ODP, OSK, OXY, PBI, PEG, PES, PFE, ROK, S, SAN,SNH, TRI, TRW, UBS, UDR, VSH, WLK, WM, WU, X, XYL
Jul. 29, 2013, 5:21 PM
- Corning (GLW) is launching Gorilla Glass NBT, a version of its scratch/damage-resistant cover glass meant specifically for touch notebooks.
- The company sees a high rate of consumer complaints about notebook scratches, the high cost of notebook displays, and the additional "physical interaction" that comes with touchscreen boosting NBT's appeal.
- Dell is an early customer, promising NBT will be used in hardware arriving this fall. Corning expects the glass will be featured in "several notebook product models by leading global brands later this year."
- Some notebook OEMs have already embraced other types of Gorilla Glass.
- Previous: Corning promotes Gorilla Glass to automakers.
Jul. 17, 2013, 12:34 PM
The iPhone 5S (AAPL +0.1%) will feature an "indestructible Liquidmetal case," thinks BGR's Jonathan S. Geller after analyzing previously-leaked SIM tray pictures and finding similarities with Vertu luxury phones that used the material. Liquidmetal (LQMT.OB +68.5%) shares have soared on the pink sheets thanks to the report. Geller also thinks (but doesn't elaborate as to why) the 5S might use sapphire cover glass; if true, that's a positive for GT Advanced (GTAT +0.4%), and an incremental negative for Gorilla Glass maker Corning (GLW -0.8%). Separately (take this one with a big spoonful of salt), Taiwan's Commercial Times reports the 5S may be delayed until year's end in order to support a 4.3" display.| Jul. 17, 2013, 12:34 PM | 20 Comments
Jul. 9, 2013, 6:40 PM
Chinese LCD panel shipments are expected to fall 5% Y/Y in Q3 to 13M-13.3M, "market observers" tell Digitimes. The government's recent decision to end TV subsidies is seen taking a toll in a market that has been a bright spot for an industry that hasn't had many lately. Yesterday, Digitimes reported 42/50/55-inch TV panel prices are expected to fall 2% in 1H July thanks to Chinese weakness. Corning (GLW), AU Optronics (AUO), and LG Display (LPL) are among the companies that could be affected. Some of these concerns have arguably been priced in since May.| Jul. 9, 2013, 6:40 PM
Jun. 19, 2013, 5:30 PM
Jun. 12, 2013, 2:55 PM
Will automakers embrace Gorilla Glass? Corning (GLW) exec Jeffrey Evenson argues they should, claiming Gorilla Glass use could improve a car's fuel economy by lowering its weight and center of mass, and would also make vehicles quieter inside. He adds at least one high-end automaker is expected to begin making a car sporting Gorilla Glass within the next year. Also: Evenson expects Corning's antimicrobial glass (has healthcare and display applications) to be certified by the EPA within a few months, and sees Corning's Willow Glass enabling "hundreds of new products," from flexible displays to chip insulation layers.| Jun. 12, 2013, 2:55 PM | 4 Comments