AUO - Today's Research Reports on Stocks to Watch: AU Optronics Corp. and Texas Instruments
NEW YORK, NY / ACCESSWIRE / January 25, 2018 / AU Optronics shares soared on positive remarks from Morgan Stanley with traders eating up the fact that the firm has called the company one of two of great big companies in the tech space. Shares of Texas Instruments closed down over 8% despite quarterly results that were in line. Traders were more discouraged by a big tax charge the company was hit with.
RDI Initiates Coverage on:
AU Optronics Corp.
https://rdinvesting.com/news/?ticker=AUO
Texas Instruments Incorporated
https://rdinvesting.com/news/?ticker=TXN
AU Optronics Corp. shares closed up 6.40% on nearly 7.5 million shares traded. The stock was one of the biggest gainers yesterday and saw a significant climb in trading volume compared to usual. The stock saw a boost in share price after Morgan Stanley cited the LCD panel maker as one of two great big companies in the tech arena. The other company they highlighted was LG Display. According to Morgan Stanley, both companies are cheap and in recent weeks have become even cheaper. The firm has forecast that the company will see sales revive in the second and third quarter of this year. Analysts surveyed by S&P Global Market Intelligence have forecast that the company will see 25% annualized earnings growth over the next five years.
Access RDI's AU Optronics Corp. Research Report at:
https://rdinvesting.com/news/?ticker=AUO
Texas Instruments Incorporated shares closed down 8.50% on about 19.2 million shares traded on Wednesday. The stock saw its shares slump after reporting fourth quarter earnings earlier in the week. Despite being ahead of expectations and also forecasting current quarterly revenue in line with consensus estimates, it was a big hit from tax reform that had traders discouraged. The company also said its tax rate for 2018 will increase as a result of the tax overhaul. It will however decline in 2019 to 18%. Last year the tax rate was 31%. For the fourth quarter, the company reported revenue of $3.75 billion, which was a 10% jump. EPS reported of $0.34 was a significant decline compared to last year reported EPS of $1.02. Analysts had expected $1.09 EPS on revenue of $3.74 billion. Texas Instruments stated, "Earnings per share include 75 cents in tax-related expenses not in the company's original guidance primarily due to the recently passed tax reform act." Looking ahead, the company has forecast revenue of $3.49 billion to $3.79 billion and EPS of $1.01 to $1.17. The consensus estimate was $1.15. Last week the company also said that its CEO Rich Templeton will hand over the position to COO Brian Crutcher. Templeton will remain on as chairman.
Access RDI's Texas Instruments Incorporated Research Report at:
https://rdinvesting.com/news/?ticker=TXN
Our Actionable Research on AU Optronics Corp. (NYSE: AUO) and Texas Instruments Incorporated (NASDAQ: TXN) can be downloaded free of charge at Research Driven Investing.
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