IBK Securities announced on June 25 that it is maintaining its target price of 20,000 won and a "buy" rating for LG Display, citing the ongoing transition to an organic light-emitting diode (OLED) focused business and the effects of restructuring.
Analyst Kang Min-gu noted that the company is expected to report second-quarter revenues of 5.6 trillion won and an operating loss of 1.155 trillion won, which falls short of market expectations due to one-time costs associated with restructuring and voluntary retirement programs.
However, excluding the costs related to workforce reduction, the operating profit is estimated to have recovered to around 900 billion won, even during the mobile off-season.
Kang added that in the second half of the year, mobile-oriented P-OLED products are expected to drive performance improvements, with shipments projected to exceed a record 80 million units this year.
He forecasts that LG Display's annual revenue for 2026 will reach 25.9 trillion won, with an operating profit of 1.2 trillion won. Although he has slightly lowered the operating profit outlook due to one-time costs, he maintains the expectation for the company to achieve its first annual operating profit in the trillion-won range in five years.
Additionally, he noted that the restructuring and shift toward an OLED-centric business are showing positive effects, and new investments aimed at defending market share with North American clients will contribute to strengthening long-term competitiveness.
* This article has been translated by AI.
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