DAISHIN SECURITIES suggested a "buy" recommendation and a target price of 20,000 won for LG Display. The view is based on expectations that third-quarter operating profit will be 448.0 billion won, beating the market forecast.
On the 29th, DAISHIN SECURITIES expected LG Display to post third-quarter operating profit of 448.0 billion won this year, above the market forecast of 363.3 billion won. It projected annual operating profit at 1.36 trillion won, up 58% from a year earlier.
Park Kang-ho, a DAISHIN SECURITIES researcher, said, "Internal cost improvements, such as the suspension of the loss-making liquid crystal display (LCD) panel business (equity sale), have been linked to strong profitability."
DAISHIN SECURITIES also sees the fact that LG Display has built a solid brand in the organic light-emitting diode (OLED) TV market as improving overall revenue.
Park said, "Samsung Electronics also depends on LG Display for large OLED panels," adding, "Market share among key clients such as Apple and Samsung Electronics is rising."