Corning (NYSE:GLW) Stock Jumps 9.4% - Time to Buy?

Key Points

• Corning shares surged 9.4% to about $116.08, on trading volume 21% below its average.
• Recent quarterly results beat estimates: EPS was $0.91 versus $0.88 expected, and revenue reached $5.08 billion, up 18.9% year over year. Analysts’ average rating is “Moderate Buy,” with a consensus price target of $174.56.
• Corning declared a quarterly dividend of $0.28 per share, equivalent to $1.12 annually and a 1.0% yield.

Corning Incorporated (NYSE:GLW - Get Free Report)'s share price shot up 9.4% on Monday. The stock traded as high as $116.45 and last traded at $116.0750. 9,367,968 shares changed hands during trading, a decline of 21% from the average session volume of 11,917,106 shares. The stock had previously closed at $106.13.

Analyst Ratings Changes

GLW has been the subject of a number of research analyst reports. Wall Street Zen upgraded shares of Corning from a "hold" rating to a "buy" rating in a research note on Saturday, October 10th. Sanford C. Bernstein decreased their price target on Corning from $140.00 to $120.00 and set a "market perform" rating on the stock in a research report on Monday. Barclays raised their price target on Corning from $129.00 to $132.00 and gave the company an "equal weight" rating in a report on Wednesday, October 28th. The Goldman Sachs Group reiterated an "outperform" rating on shares of Corning in a research report on Tuesday, September 15th. Finally, China Renaissance raised Corning from a "hold" rating to a "buy" rating and set a $238.00 price objective on the stock in a research note on Tuesday, September 8th. One research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $174.56.

Corning Stock Performance

The stock has a market cap of $99.99 billion, a price-to-earnings ratio of 46.99, a P/E/G ratio of 1.31 and a beta of 1.23. The company has a current ratio of 1.72, a quick ratio of 1.17 and a debt-to-equity ratio of 0.51. The firm has a fifty day simple moving average of $144.47 and a 200-day simple moving average of $155.55.

Corning (NYSE:GLW - Get Free Report) last released its earnings results on Tuesday, October 27th. The electronics maker reported $0.91 EPS for the quarter, beating the consensus estimate of $0.88 by $0.03. The company had revenue of $5.08 billion during the quarter, compared to analysts' expectations of $5.03 billion. Corning had a return on equity of 20.83% and a net margin of 12.13%. The business's revenue for the quarter was up 18.9% on a year-over-year basis. During the same period last year, the firm earned $0.67 EPS. Analysts forecast that Corning Incorporated will post 3.38 EPS for the current fiscal year.

Corning Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, December 11th. Shareholders of record on Friday, November 13th will be issued a dividend of $0.28 per share. This represents a $1.12 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend is Friday, November 13th. Corning's payout ratio is currently 45.34%.

Insider Transactions at Corning

In other news, EVP Lewis Steverson sold 13,100 shares of the firm's stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $151.29, for a total value of $1,981,899.00. Following the transaction, the executive vice president owned 15,052 shares of the company's stock, valued at approximately $2,277,217.08. This trade represents a 46.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.25% of the company's stock.

Hedge Funds Weigh In On Corning

Several large investors have recently bought and sold shares of GLW. Bank of New York Mellon Corp bought a new position in shares of Corning during the 2nd quarter worth approximately $1,510,911,000. State Street Corp increased its stake in shares of Corning by 13.4% in the 2nd quarter. State Street Corp now owns 41,108,384 shares of the electronics maker's stock valued at $10,500,315,000 after acquiring an additional 4,845,027 shares in the last quarter. Legal & General Group Plc bought a new stake in shares of Corning in the 2nd quarter valued at $1,212,283,000. Wellington Management Group LLP lifted its position in shares of Corning by 50.9% during the 2nd quarter. Wellington Management Group LLP now owns 13,174,194 shares of the electronics maker's stock valued at $3,365,084,000 after acquiring an additional 4,446,514 shares during the period. Finally, Bank of America Corp DE lifted its position in shares of Corning by 29.2% during the 2nd quarter. Bank of America Corp DE now owns 18,730,616 shares of the electronics maker's stock valued at $4,784,361,000 after acquiring an additional 4,231,507 shares during the period. 69.80% of the stock is currently owned by institutional investors and hedge funds.

About Corning

Corning Incorporated is a materials science and technology company with roots dating to 1851, when it was established as Corning Glass Works. The company develops and manufactures specialty glass, ceramics and optical materials for customers in a range of industries.

Its products include optical fiber, cable and connectivity solutions for communications networks; glass substrates used in display technologies; and specialty glass such as Gorilla Glass for consumer electronics. Corning also makes ceramic substrates and filters for emissions-control systems, as well as glassware and other products for life sciences and laboratory use.

Headquartered in Corning, New York, the company serves customers worldwide through operations and sales across multiple geographies.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.