Corning (GLW) Lowered to Hold at Zacks Investment Research

Corning (NYSE:GLW) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued on Tuesday.

According to Zacks, “Corning continues to benefit from strength in its Optical Communications, Environmental Technologies and Life Sciences business. Solid demand for Gorilla Glass 5 and fiber optics products remain key catalyst. The company introduced its latest innovation in glass technology, Corning Gorilla Glass 6, to provide the toughest cover glass available for consumer mobile devices. This will likely be a major top-line growth driver for the company in coming quarters. The company outperformed the industry in the past three months on an average. However, the company faces price erosion of 1-2% per quarter in the Display business which remains a drag on margins, despite an improving demand situation. Building a significant position in China in the prevailing economic and political environment will be challenging for the company given the ongoing trade war between the two nations. Manufacturing inefficiencies remain a perennial concern for the company.”

Several other research firms also recently commented on GLW. Argus upped their price objective on Corning from $36.00 to $42.00 and gave the company a “positive” rating in a research note on Thursday, September 20th. Citigroup raised Corning from a “neutral” rating to a “buy” rating and upped their price objective for the company from $32.50 to $40.00 in a research note on Friday, September 14th. UBS Group upped their price objective on Corning from $29.50 to $32.00 and gave the company a “neutral” rating in a research note on Thursday, July 26th. ValuEngine raised Corning from a “hold” rating to a “buy” rating in a research note on Thursday, July 26th. Finally, TheStreet raised Corning from a “c+” rating to a “b” rating in a research note on Wednesday, July 25th. Six equities research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. Corning presently has an average rating of “Buy” and an average price target of $35.50.

GLW opened at $35.40 on Tuesday. The company has a quick ratio of 1.58, a current ratio of 2.23 and a debt-to-equity ratio of 0.44. The company has a market cap of $28.91 billion, a price-to-earnings ratio of 20.58, a P/E/G ratio of 2.52 and a beta of 1.35. Corning has a 52 week low of $26.11 and a 52 week high of $36.56.

Corning (NYSE:GLW) last posted its quarterly earnings data on Wednesday, July 25th. The electronics maker reported $0.38 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.37 by $0.01. The firm had revenue of $2.75 billion during the quarter, compared to the consensus estimate of $2.67 billion. Corning had a positive return on equity of 12.03% and a negative net margin of 8.32%. The firm’s revenue was up 10.0% compared to the same quarter last year. During the same period in the prior year, the business earned $0.42 EPS. equities research analysts expect that Corning will post 1.73 earnings per share for the current fiscal year.

In other Corning news, Vice Chairman Lawrence D. Mcrae sold 30,667 shares of the business’s stock in a transaction that occurred on Thursday, September 20th. The stock was sold at an average price of $36.18, for a total transaction of $1,109,532.06. Following the transaction, the insider now owns 146,049 shares in the company, valued at approximately $5,284,052.82. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Edward A. Schlesinger sold 3,953 shares of the business’s stock in a transaction that occurred on Monday, July 30th. The stock was sold at an average price of $33.46, for a total value of $132,267.38. Following the transaction, the vice president now owns 25,991 shares in the company, valued at approximately $869,658.86. The disclosure for this sale can be found here. Insiders have sold a total of 414,272 shares of company stock worth $13,759,300 in the last quarter. 0.46% of the stock is currently owned by insiders.

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Institutional & Family Asset Management LLC acquired a new position in Corning during the 1st quarter worth approximately $101,000. Founders Capital Management acquired a new position in Corning during the 2nd quarter worth approximately $105,000. Private Capital Group LLC increased its position in Corning by 1,455.7% during the 1st quarter. Private Capital Group LLC now owns 3,936 shares of the electronics maker’s stock worth $110,000 after purchasing an additional 3,683 shares during the period. Migdal Insurance & Financial Holdings Ltd. grew its holdings in shares of Corning by 16,371.4% in the 2nd quarter. Migdal Insurance & Financial Holdings Ltd. now owns 4,612 shares of the electronics maker’s stock worth $127,000 after acquiring an additional 4,584 shares during the period. Finally, City Holding Co. acquired a new stake in shares of Corning in the 2nd quarter worth approximately $137,000. Institutional investors own 70.32% of the company’s stock.

Corning Company Profile

Corning Incorporated manufactures and sells specialty glasses, ceramics, and related materials in North America, the Asia Pacific, Europe, and internationally. The company operates through five segments: Display Technologies, Optical Communications, Environmental Technologies, Specialty Materials, and Life Sciences.

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