[THE INVESTOR] Korean panel maker LG Display may continue to show improved results due to increased prices and strong technology demand, a local brokerage house Eugene Investment & Securities said on July 28.
“LG Display’s second-quarter earnings have improved boosted by OLED and quickly stabilizing prices, sporting events, increasing sales of newly launched panels and improved demand in China,” said Lee Jung, an analyst at Eugene Investment.
LG Display’s 65-inch Curved Ultra HD OLED TV Panel
The firm’s operating profit during the April-June period surged 12.3 percent from the previous quarter to log 44.4 billion won (US$39.39 million) which beat analysts’ expectations. Its sales dropped 2.2 percent to 5.88 trillion won.
During the third quarter, LG Display’s earnings will be significantly boosted by an increase in demand for panels for TV and other IT gadgets.
“The most positive factor for investment in LG Display would be TFT-LCD industry that is picking up,” Lee said.
Eugene Investment raised its target price for LG Display to 38,000 won from 30,000 won.
LG Display shares fell 0.82 percent to 30,200 won by midday, underperforming a 0.37 percent fall in the broader market.
By Park Han-na (hnpark@heraldcorp.com)
