LG Display vs Universal Display Which Is More Favorable?

LG Display and Universal Display Corporation are two prominent players in the display technology industry. LG Display is a leading manufacturer of display panels, while Universal Display specializes in developing organic light-emitting diode (OLED) technologies. Both companies are heavily involved in the production of cutting-edge display technologies, with a focus on delivering high-quality products to meet the demands of the modern consumer market. Investors looking to capitalize on the growth potential of the display technology sector may find these stocks particularly attractive.

LG Display or Universal Display?

When comparing LG Display and Universal Display, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between LG Display and Universal Display.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. LG Display has a dividend yield of -%, while Universal Display has a dividend yield of 0.96%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. LG Display reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Universal Display reports a 5-year dividend growth of 42.29% year and a payout ratio of 31.29%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with LG Display P/E ratio at -1.17 and Universal Display's P/E ratio at 32.18. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. LG Display P/B ratio is 0.30 while Universal Display's P/B ratio is 4.83.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, LG Display has seen a 5-year revenue growth of 0.75%, while Universal Display's is 1.30%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with LG Display's ROE at -25.93% and Universal Display's ROE at 15.75%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $3.20 for LG Display and $159.42 for Universal Display. Over the past year, LG Display's prices ranged from $3.10 to $5.66, with a yearly change of 82.58%. Universal Display's prices fluctuated between $148.75 and $237.00, with a yearly change of 59.33%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.