Corning: Limit Upside Ahead, Now Neutral (Rating Downgrade)

Mare Evidence Lab
5.81K Followers

Summary

  • Corning's Q1 results beat expectations, thanks to the Optical segment. Q2 guidance is only modestly above consensus.
  • In our last update, the company traded at a 15x P/E. We believe caution is warranted due to potential margin pressures and elevated market expectations.
  • Tariff headwinds and high valuations mean even small earnings misses could trigger sharp corrections. We believe Corning is priced in at this valuation.

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We resume coverage of Corning Incorporated (NYSE:GLW) after a year-long pause and a strong share price gain of over 20% (Fig. 1), reaffirming our early recognition of the company's strategic positioning to benefit from the

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