Buzz Stock of the Day- Universal Display (PANL)

A paradigm shift in display technology is right around the bend.

Organic Light Emitting Diode (OLED) technology is threatening the Liquid Crystal Display, or LCD, standard because of its flexibility, low power consumption and versatility.

Our Buzz Stock of the Day, Universal Display Corporation (Nasdaq: PANL) is one of the companies leading this change. Universal Display engages in the research, development and commercialization of OLED technologies and materials.

Unlike LCD panels, where a backlight sends light through thin-filmed transistors reflect off the liquid crystals, OLED technology actually lights up the pixels by sending a current through the thin-filmed transistors.

Here’s a clip that details some of the advantages of Universal Display’s OLED display technologies:

With more 750 patents, Universal Display intends to continue to employ a licensing model, rather than become a manufacturer.

The strategy seems to be paying off. Universal Display’s Q4 sales clocked in at $3.6 million, a 24 percent increase over the same period last year. The company’s net loss per-share grew from $0.08 to $0.11.

The good news is that the company’s breakthrough technology is gaining traction. Some of the biggest names in display technology including Samsung, LG Display, Sony, and Nokia all showcased their latest OLED prototypes at this year’s CES, and mostly all developers of OLED use some of Universal Display’s intellectual property.

Universal Display has also been working with the U.S. Army for years to produce a low-power, wearable display that can fit it tight spots–why? Because it’s bendable. The prototype, manufactured by LG Display and L-3 Display Systems, is a grainy, monochrome proof of concept, but the full-color and truly flexible versions are getting closer to becoming a reality every day, according to a recent article.

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