by Lee Jungyun
Published 18 Apr.2023 09:25(KST)
LG Display is showing strength as prospects for improved performance next year emerge.
As of 9:21 AM on the 18th, LG Display was trading at 16,850 KRW, up 3.69% from the previous trading day.
KB Securities analyzed that LG Display is expected to return to profitability in the fourth quarter of this year due to increased utilization rates of organic light-emitting diode (OLED) panels starting in the second half and successful restructuring of the liquid crystal display (LCD) business. Additionally, the investment rating was upgraded from neutral to buy, and the target price was raised from 16,000 KRW to 20,000 KRW.
Researcher Kim Dong-won of KB Securities explained, "▲ A successful exit strategy for this year's LCD TV panel production lines (Guangzhou, China and Paju, Korea) is anticipated, leading to a reduction in losses for large LCD panels in the future, ▲ An increase in supply share of OLED panels for the iPhone 15, scheduled for release in the second half of this year, is expected, and ▲ The possibility of securing new customers for OLED TV panels has expanded compared to the past, and cost structure improvements are estimated due to increased utilization rates of large OLED panel production lines in 2024."
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