Don't Overlook Universal Display (OLED) International Revenue Trends While Assessing the Stock

Have you looked into how Universal Display Corp. (OLED) performed internationally during the quarter ending June 2025? Considering the widespread global presence of this organic light-emitting diode technology company, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors now place great importance on grasping the extent of a company's dependence on international markets, as it sheds light on the firm's earnings stability, its skill in leveraging various economic cycles and its broad growth potential.International market involvement serves as insurance against economic downturns at home and enables engagement with economies that are growing more quickly. Still, this move toward diversification is not without its challenges, as it involves navigating through the fluctuations of currencies, geopolitical threats, and the distinctive nature of various markets.Our review of OLED's last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.For the quarter, the company's total revenue amounted to $171.79 million, experiencing an increase of 8.4% year over year. Next, we'll explore the breakdown of OLED's international revenue to understand the importance of its overseas business operations.Decoding OLED's International Revenue TrendsDuring the quarter, China contributed $75.92 million in revenue, making up 44.2% of the total revenue. When compared to the consensus estimate of $64.45 million, this meant a surprise of +17.8%. Looking back, China contributed $71.09 million, or 42.8%, in the previous quarter, and $45.24 million, or 28.5%, in the same quarter of the previous year.South Korea generated $86.52 million in revenues for the company in the last quarter, constituting 50.4% of the total. This represented a surprise of -5.3% compared to the $91.36 million projected by Wall Street analysts. Comparatively, in the previous quarter, South Korea accounted for $87.33 million (52.5%), and in the year-ago quarter, it contributed $108.19 million (68.3%) to the total revenue.Japan accounted for 1% of the company's total revenue during the quarter, translating to $1.7 million. Revenues from this region represented a surprise of +240.2%, with Wall Street analysts collectively expecting $0.5 million. When compared to the preceding quarter and the same quarter in the previous year, Japan contributed $0.41 million (0.3%) and $1.26 million (0.8%) to the total revenue, respectively.Of the total revenue, $0.53 million came from Other Countries during the last fiscal quarter, accounting for 0.3%. This represented a surprise of +66.88% as analysts had expected the region to contribute $0.32 million to the total revenue. In comparison, the region contributed $0.45 million, or 0.3%, and $0.27 million, or 0.2%, to total revenue in the previous and year-ago quarters, respectively.Revenue Projections for Overseas MarketsWall Street analysts expect Universal Display to report $167.28 million in total revenue for the current fiscal quarter, indicating an increase of 3.5% from the year-ago quarter. China, South Korea, Japan and Other Countries are expected to contribute 40.9% (translating to $68.49 million), 55.2% ($92.36 million), 0.3% ($0.51 million), and 0.1% ($0.11 million) to the total revenue, respectively.For the full year, a total revenue of $672.15 million is expected for the company, reflecting an increase of 3.8% from the year before. The revenues from China, South Korea, Japan and Other Countries are expected to make up 40.9%, 59.8%, 0.5%, and 0.3% of this total, corresponding to $274.65 million, $401.64 million, $3.13 million, and $1.83 million, respectively.In ConclusionThe dependency of Universal Display on global markets for its revenues presents a mix of potential gains and hazards. Thus, monitoring the trends in its overseas revenues can be a key indicator for predicting the firm's future performance.In a world where international interdependencies and geopolitical conflicts are ever-increasing, Wall Street analysts closely monitor these trends for companies having international presence to adjust their earnings forecasts. Of course, there are several other factors, including a company's standing within its home borders, that influence analysts' earnings forecasts.We at Zacks strongly focus on the dynamic earnings forecast of companies, given that empirical studies have demonstrated its potent impact on the immediate price movement of stocks. Invariably, there's a positive relationship -- upward earnings predictions often result in an increase in stock prices.Our proprietary stock rating tool, the Zacks Rank, with its externally validated exceptional track record, harnesses the power of earnings estimate revisions to serve as a dependable measure for anticipating the short-term price trends of stocks.Universal Display, bearing a Zacks Rank #3 (Hold), is expected to mirror the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .Reviewing Universal Display Corp.'s Recent Stock Price TrendsOver the preceding four weeks, the stock's value has diminished by 9.5%, against an upturn of 0.6% in the Zacks S&P 500 composite. In parallel, the Zacks Computer and Technology sector, which counts Universal Display among its entities, has appreciated by 3.4%. Over the past three months, the company's shares have seen an increase of 0.7% versus the S&P 500's 11.7% increase. The sector overall has witnessed an increase of 20.2% over the same period.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Universal Display Corporation (OLED): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks