HSBC Upgrades Corning (GLW) to Buy

HSBC analyst Stephen Bersey upgraded Corning (NYSE: GLW) from Hold to Buy with a price target of $60.00 (from $51.00).

The analyst comments: "Corning’s optical business continues to see strong AI-related demand from enterprise customers, alongside increasingly stronger signs of demand recovery in the carrier business of the segment. In the display segment, we expect stable performance following the price increases in 2H24 and hedging of 2025 JPY exposure at a weaker than 2024 rate, but still at an attractive level. Thus, with more clarity around key growth drivers and strong 1Q25 guidance, we take a positive stance on Corning and see an opportunity for upgrades to previous targets at the upcoming investor meeting.

Our new TP of USD60.00 (from USD51.00) is based on our target PE of 24x (from 23x) applied to our next 12 months’ non-GAAP EPS forecast of USD2.50 (from USD2.20). Our TP implies 17.1% upside. We upgrade our rating on the stock to Buy (from Hold) on increased clarity around key end-market growth drivers."

For an analyst ratings summary and ratings history on Corning click here. For more ratings news on Corning click here.

Shares of Corning closed at $49.80 yesterday.

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