Schaeffer's 43rd Anniversary Stock Picks in 2024

China Deal Results in Bull Notes for OLED Stock

Deutsche Bank and Susquehanna expect Universal Display to get back to record-high territory

Dec 8, 2017 at 10:03 AM
facebook X logo linkedin


Universal Display Corporation (NASDAQ:OLED) is trading 7.3% higher at $179.60, after the company inked a deal with China's BOE Technology to develop and supply organic light-emitting diode (OLED) technology. Analysts like the arrangement, as Deutsche Bank and Susquehanna raised their respective price targets to $190 and $195, and Cowen weighed in by saying it believes 2018 should be another strong year for OLED technology.

OLED stock has had a huge year, tripling in value on a year-to-date basis. The shares peaked at a record high of $192.75 on Nov. 24, only to pull back to find support a few points above their 50-day moving average. Considering this technical strength, it would seem there's room for even more bullish analyst attention. For instance, the majority of covering brokerage firms actually have just "hold" ratings in place, and the average 12-month price target sits down at $178.75.

Elsewhere, short sellers are starting to take interest in Universal Display stock. In the last reporting period alone, short interest rose by 18.1%, and now represents almost 10% of the equity's total float.

As for options traders, they've remained committed to calls. Data from the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) shows a 10-day call/put volume ratio of 1.94, meaning call buying has almost doubled put buying. Peak open interest resides at the January 180 call.

The stock has certainly rewarded premium buyers over the past year, based on its Schaeffer's Volatility Scorecard (SVS) of 88. This means the shares have tended to make bigger-than-expected moves over the past year, compared to what options traders were pricing in.

 

Nvidia and its powerful chips are the face of artificial intelligence.

But while everyone’s patting Nvidia on the back for record earnings…

It’s quietly moved on to the next phase of AI it plans to conquer…

Nvidia recently unveiled essential blueprints for this crucial $1 trillion pivot.

Click here now and find out about the three companies Nvidia absolutely needs to succeed in this vital new AI frontier. (ad)
schaeffer's opening view daily market newsletter

                                                                                                   
๐Ÿš€ Try Options Under $5 Trade Alerts 
Target +150% Profit w/RT Entry&Exit

                                                                                                    

 
 

                                                                                                   
This stock is paying its highest dividend
in 15 years . . . ๐Ÿ“ˆ (c/o Investors Alley)

                                                                                                    

 


                                                                                                   
Top 10 Investment Picks Poised For
Major Upside Before 2025 ๐Ÿ’ฐ
 (FREE)

                                                                                                    

 

join schaeffer's market recap daily stock marketnewsletter

 

                                               ad                                                  
Some of Nvidia’s partners have already
surged as much as 4,744%. This is next …

                                                ad