Barron’s Jumps on Corning Bandwagon

Photo (cc) by LGEPR

The last purchase I made for my online stock portfolio was Corning Glassworks – Back in August, I bought 500 shares at $16.67. My logic? From the post Stock Purchase: Corning – Glass Half Full?:

The LCD television market is huge, expanding, and Corning is a key supplier of the glass on the front of these TVs. Corning believes sales of LCD TVs will be up 28 percent this year. While fiber optic cable sales are growing slightly, the weak economy has kept growth for that material in the low single digits – but since fiber optic cable is the backbone of global communications, as the economy rebounds, so will sales.

There’s been a recent buzz about Corning’s Gorilla Glass: It’s a light, thin, but super strong, glass that Corning is touting for handhelds, computers, and the next generation of borderless TVs (check out this article). Corning expects to sell about $250 million of it this year, but that could quickly grow to $1 billion or more next year.

In short, new technology requires glass, and no company in the world is better positioned to exploit that need than Corning. In addition, the stock is trading at less than 10 times this year’s expected earnings, has a ton of cash, and a manageable debt level.

My goal for Corning is around $25/share within the next two years. If I’m right, that’s a 50-percent gain.

It appears someone from Barron’s was reading my article. Since Barron’s is subscription-only, I can’t direct you to that story. But here’s part of a Reuters story that appeared this morning about the Barron’s recommendation…

Shares of video screens maker Corning Inc could reach $25 next year as investors recognize the company’s pipeline of new products and new uses for liquid crystal displays, Barron’s said in its Dec. 13 edition.

…But ultra-thin monitors will soon show up in more rooms in middle-class homes, and consumers are likely to replace their TVs more often than they did in the past, the weekly said.

The company also has a promising product in Gorilla Glass, a strong-scratch-resistant sheet that accommodates touch-screen functions in products like Apple iPhones and iPads.

Unlike when I wrote my similar endorsement of Corning on Aug. 16, the Barron’s mention moved the stock higher in today’s trading – as I write this, it’s at $19.65, up $0.65. So Barron’s readers who read the Barron’s article over the weekend and bought at today’s open are up 3.45 percent. But those who bought the stock at $16.67 when I wrote about it in August are up 17 percent.

Check out my real-money portfolio every now and then. I don’t make stock recommendations – you need to decide for yourself what’s suitable for you. But unlike many others out there dispensing advice, at least I put my own money where my mouth is.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Read Next
How to Get the Best Possible Deal on Car Insurance
How to Get the Best Possible Deal on Car Insurance

This is the last article on understanding and shopping for car insurance that you’ll ever need.

What’s the Difference Between FICO and VantageScore Credit Scores?
What’s the Difference Between FICO and VantageScore Credit Scores?

There are lots of credit scores out there, but if you’re keeping an eye on your credit, here’s the one to watch.

7 Tricks to Cleaning Your Bathroom Faster
7 Tricks to Cleaning Your Bathroom Faster

These tips can get your bathroom sparkling with little time and no elbow grease.

Top 5 Activities That People Dream of Doing in Retirement
Top 5 Activities That People Dream of Doing in Retirement

No. 1 isn’t visiting grandkids, and No. 4 might surprise you.

11 Small Money Moves That Will Make a Big Difference
11 Small Money Moves That Will Make a Big Difference

These small money moves will pay off big in the long run.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Most Popular
7 Kirkland Signature Items to Avoid at Costco
7 Kirkland Signature Items to Avoid at Costco

Even if it seems you save a bundle buying Costco’s Kirkland Signature brand products, they may not be the bargain they appear to be.

Am I Eligible for My Mother’s Social Security Benefit?
Am I Eligible for My Mother’s Social Security Benefit?

Can an adult daughter tap into her late mother’s benefit?

9 Things You’ll Never See at Costco Again
9 Things You’ll Never See at Costco Again

The warehouse store offers an enormous selection, but these products aren’t coming back.

3 Ways to Get Microsoft Office for Free
3 Ways to Get Microsoft Office for Free

With a little ingenuity, you can cut Office costs to zero.

This Surprise Factor Can Raise Your Risk of Dementia
This Surprise Factor Can Raise Your Risk of Dementia

Nearly half of U.S. residents may face this threat.

Organize Your Home With These 10 Thrift Store Finds
Organize Your Home With These 10 Thrift Store Finds

Resolve to be clutter-free in 2021 with these secondhand purchases.

This Gas Station Scam Is Victimizing More Drivers
This Gas Station Scam Is Victimizing More Drivers

For the second straight year, a growing number of Americans believe they’ve fallen prey to this scam.

11 Laws You Could Be Breaking Without Knowing It
11 Laws You Could Be Breaking Without Knowing It

Seriously? Fibbing about the weather is a crime? This and other little-known legal traps await the unwary.

These Are the 3 Best Used Cars You Can Buy
These Are the 3 Best Used Cars You Can Buy

These vehicles boast reliability, safety and long-lasting value.

13 Things Seniors Can Get for Free — or Almost Free
13 Things Seniors Can Get for Free — or Almost Free

There are many ways to get cheap or free services and goods after reaching a certain age.

6 Legal Documents Retirees Need — but Don’t Have
6 Legal Documents Retirees Need — but Don’t Have

Few retirees have all of these documents that are crucial to their golden years — especially during a pandemic.

These Major Appliances Got the Worst Reviews in 2020
These Major Appliances Got the Worst Reviews in 2020

Consumer Reports says these home products got the worst ratings from experts.

11 Generic Products You Should Buy at Costco
11 Generic Products You Should Buy at Costco

Not all generics are worthwhile, but these are among the best from Costco’s Kirkland Signature brand.

Is This Treatable Condition Causing Your High Blood Pressure?
Is This Treatable Condition Causing Your High Blood Pressure?

Researchers say too many doctors are overlooking this potential source of hypertension.

Internet Providers Can’t Charge You for This Anymore
Internet Providers Can’t Charge You for This Anymore

Starting this month, your ISP no longer can bill you for this fee.

8 Tips for Retiring Comfortably on Social Security Alone
8 Tips for Retiring Comfortably on Social Security Alone

It’s never too early to start learning how to live well while living on less.

3 Cable TV Companies Hiking Prices for 2021
3 Cable TV Companies Hiking Prices for 2021

Still married to your cable company? Hold on to your wallet!

15 Painless Ways You Can Cut Costs in 2021
15 Painless Ways You Can Cut Costs in 2021

Follow these tips to save, so you’ll have money for things that really matter.

9 Small Expenses That Are Bleeding Your Budget Dry
9 Small Expenses That Are Bleeding Your Budget Dry

Keep more of future paychecks by eliminating these budget-busting unnecessary expenses.

View More Articles

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Add a Comment

Our Policy: We welcome relevant and respectful comments in order to foster healthy and informative discussions. All other comments may be removed. Comments with links are automatically held for moderation.