Just kidding. But speaking of death, lets take a look at an old iBankCoin play which could use some life.
Shares of GLW, the maker of “Gorilla Glass”; a high strength glass used to protect electronic devices, have dropped around 30% from their year to date highs.
This might be attributed to lower global LCD sales and for not supplying the glass to new AAPL products.
Looking at the chart plus some quick fundamentals, I am interested in buying GLW.
Why? It seems like a low key way to get a piece of the Samsung Galaxy S2 smart phone and tablet sales, both which run Google’s Android platform.
The smart phone is key here. It was released worldwide in May 2011.
During the first 60 days of the phones release, Samsung reported selling 3 million units.
Those figures are almost a month old and the smart phone is just being released in North America now. (July/Canada – August/USA)
Some analysts expect the phone to become Samsung’s best-ever model with potential sales of 20 million units this year.
All of the reviews and talk on the net that I have found confirm that this phone is “crazy”.
Dare I say, no it definitely is, eating AAPL’s lunch.
Samsung isn’t the only brand using this glass, but these sales don’t appear to be priced in yet.
GLW earnings report is scheduled for 7/27/2011.
I’m not sure if profit from these sales will be included, but the chart shows some investors are showing interest.
For less risk, it would be better to wait until after earnings. This also fits with my belief that tech and energy will outperform in the 2nd half.
Note: I looked at the insides of a Samsung Galaxy S2 smart phone and the only hardware manufacturer that I could identify was RFMD. (wi-fi and power management?)
ATML produces the touchscreen controller for both previous versions but I couldn’t verify it for these newest models.
Thoughts, comments, criticism are welcome.
Disclaimer: If you buy GLW because of this post, wild Romanian goats will eat your harvest. And, you may lose money.
I have a Samsung Galaxy S and I can say the glass on it is top notch.
galexy tab is pretty awesome. Then again I would probably say that about the Ipad if I had one.
perfect set up!
aaaaaaaaagggggrrrrssssive C Buy !
just sent aud/usa higher and S&P HIGHER, SAME SET -UP
I thought it would be funny to imagine The Fly’s livid face when he scrolled down his twitter stream to read an announcement of his death by “some piker”
Tough crowd
I guess I have a different sense of humour
Anyway I’m already having second thoughts on this whole idea.
There’s a lot of variables to GLW’s earnings other than just the sales of Samsung’s latest phone
This glass is still used in “a lot of shit” and if we rally it can do well. The chart looks good, though it might need a bit more time to form a bottom.
Update:
This is in less than 3 months. These numbers were not officially released by Samsung though.
What a sexy phone.
update: stock tanking.