OLED is a display technology that enables thin, efficient, flexible and bright displays, TVs and lighting devices. OLED displays offer the world's best image quality - and enables future foldable and rollable displays (see more here - What is OLED?).
The OLED market is already a multi-billion dollar market, led by Samsung and LG Display with their smartphone and TV OLED businesses. It is estimated that OLED displays generated around $25 billion in revenues in 2018 (and analysts expect the market to continue its fast growth in the future).
For public investors interested in the OLED market, there are several good options:
- Universal Display Corporation: UDC is an OLED pioneer, and holds many of the key patents in the industry (mostly around efficient phosphorescent OLED emitters). Virtually all AMOLED displays on the market adopt UDC's PHOLED materials, and the company experienced very fast growth in revenue in recent years. Universal Display's stock ticker is OLED, you can see the OLED share price here.
- eMagin: eMagin is an OLED microdisplay pioneer, and has been developing and producing such displays for many years, focusing on the defense market and recently also on the consumer VR/AR market. eMagin's stock ticker is EMAN.
- OLED display makers: OLED display makers can be a good investment opportunity - especially companies that have a focus on OLED displays - such as Samsung Display and LG display, BOE Display and more.
- OLED equipment makers: There are several public equipment companies (for example Coherent and Applied Materials) that enjoyed the recent OLED capacity expansion as new OLED fabs require new equipment to produce OLED displays. These companies could be a good investment opportunity to investors who believes a new wave of OLED capacity expansion is near.
For private investors who want to find early-stage startups, we offer the OLED crowdfunding arena, a new and innovative service!
We'll be happy to hear your thoughts on OLED investing - join the discussion at our investment forum!
The latest OLED stock news:
Magnachip reports record OLED driver sales, surpasses the 500 million OLED driver shipment milestone
OLED driver IC developer MagnaChip reported its financial results for Q2 2019, with revenues that exceeded its own guidance. One of the company's main growth drivers is OLED display driver ICs, which were up 7% from Q2 2018 to $73 million, the company's highest quarter ever.
Magnachip says that its OLED business benefited from six new OLED smartphone that were launched in Asia during the quarter, and the company also secured four new design wins. Most of its OLED driver revenues are from its 40-nm display driver, but its new 28-nm driver has entered mass production and will be a key revenue driver going forward.
Universal Display reported its financial results for Q2 2019. Revenues were $118.2 million, the operating profit reached $48.7 million and net income was $43.4 million. UDC increased its 2019 revenue guidance to be in the range of $370 million to $390 million. The company ended Q2 with $553 million in cash and equivalents.
The Q2 results include about $15-20 million of orders that UDC estimates were pulled-in from the second half of 2019 as Chinese customers build up inventory for trade-related reasons.
2019 is shaping up to be a dramatically-low investment year for the OLED industry. DSCC for example expects that the market will fall 88% in 2019 compared to 2018. Two companies reported their financial results this week, with interesting notes about the OLED market.
First up is France-based effusion cells and sources producer Riber. The company reported that H1 2019 revenues in its evaporator business fell from €10.4 in H1 2018 to only €1 million. The sharp decline is linked to the "freeze on investments in OLED screen production equipment following the major investments made in previous years".
Taiwan-based driver IC developer Novatek Microelectronics says that it expects shipments of AMOLED drivers will double from 3 million in Q1 2019 to 6 million in Q2 2019.
Novatek reported its financial results, saying that its last quarter was the best one in 11 years, as profits grew 34% from last year to $68.5 million. Growth at Novatek is fueled by strong demand for OLED drivers and TDDI chips.
LG Display announced its unaudited financial results for Q2 2019, and updated on its upcoming OLED projects.
First of all, LGD announced an additional investment of KRW 3 trillion ($2.5 billion) P10 10.5-Gen OLED TV fab in Paju. Last month it was reported that LG display has started to install some of the Oxide-TFT deposition equipment (supplied by Applied Materials and Jusung Engineering). The mass production at the first lines in the P10 fab is expected to begin in 2021. LG Display did not disclose any more details regarding this new $2.5 billion investment plan yet.
Japan Display (JDI) announced that it has finally secured the 80 billion Yen (around $740 million) bailout plan. The large investment will come from the China-based Harvest Group, Hong Kong-based activist investor Oasis Management and an unnamed JDI customer - which is likely to be Apple.
Japan Display says that it plans to hold a shareholders meeting on August 29th to formalize the bailout plan.
China-based OLED producer Visionox has demonstrated several new OLED technologies at SID DisplayWeek 2019 last month, and the following great video shows the company's impressive booth and displays.
First up is a foldable OLED display that can be folded inwards and outwards. The panel's folding radius is 5 mm, and Visionox says that it can be folded over 200,000 times. The company did not disclose the exact size and resolution, though.
Samsung reports its financial results for Q2 2019, includes a one-time $684 million payment (could be from Apple)
Samsung Electronics reported its financial results for Q2 2019. The company's operating profit totaled ₩6.5 trillion (around $5.6 billion). Interestingly Samsung reported a one-off gain of $684 million, which could be Apple's compensation for lower-than-agreen-on iPhone OLED panel orders.
Samsung's smartphone sales have been lower than expected, which is one of the factors behind the earnings miss. CLSA analysts expect Samsung Display's to enjoy a 47% growth in OLED sales in the next quarter as demand from Apple, Samsung and Chinese smartphone makers is expected to increase in Q3.
Taiwan-based Luminescence Technology (Lumtec) is set to debut today on the Taipei stock exchange emerging stock board. The company says that it plans to expand its OLED lighting production capacity in Q4 2019 from 150,000 50x35 mm panels per month to around 600,000 units.
Lumtec says that it sees a large demand coming from the automotive market for OLED lighting panels, and it expects its utilization rates to reach 100% in the current quarter. This means that the company sees around 450,000 panels shipping in this quarter, which seems highly optimistic, especially as it says that it has currently shipping samples for five companies with volume orders expected in 2020 and the demand from automotive companies is not likely to expand very quickly as first adoption comes from luxury cars.
OLED driver maker MagnaChip has updated its Q2 2019 revenue guidance, saying that revenues from its OLED display driver business are expected to "substantially exceed" the company's previously estimation.
MagnaChip recently launched its latest 28 nm OLED Display Driver IC for smartphone displays, and the company also launched a new initiative to co-develop mobile OLED display technologies.