Lawrence Lacerte, a director at Universal Display Corporation (OLED), recently bought 1,000 shares. The buy increased his position by 1%, and came to a total cost of $187,990.
This marks the first insider buy at the company since 2017, when another director bought 140 shares. Otherwise, there have been three insider sales this year, at the VP and Director level, all for amounts ranging from $1.1 million to $1.8 million.
Overall, Universal Display insiders own 7.8% of shares.
The electronic component manufacturer is up 18% over the past year, slightly lagging the overall market. The company has had a reasonable year, with revenues rising by 8% and earnings are up by 5%.
While OLED is a bit expensive trading at over 32 times forward earnings, the company’s components could be key to new AI-driven technologies in the years ahead. Plus, the company sports a hefty 36% profit margin.
Action to take: Shares have pulled back well off their highs and are likely worth accumulating at current prices or on any drop as a long-term buy.
At current prices, OLED also pays a dividend yield of just under 0.9%.
For traders, shares are trending higher in the short-term. The January 2025 $200 call, last trading for about $15.00, could see mid-double-digit returns from a year-end rally in shares.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any company mentioned in this article.