LG Display (NYSE:LPL) Still Lacks Catalyst

The disappointing earnings report from LG Display (NYSE:LPL), highlighted not only the lack of a catalyst for them, but for competitors like Corning (NYSE:GLW) and AU Optronics (NYSE:AUO) as well.

Ticonderoga says, "This morning, LG Display reported 4Q10 sales of US$5.73 billion that came in lower than our estimate of $5.89 billion. While sales declined 2% Q/Q on a U.S. dollar basis, the decrease was 3% Q/Q in Korean Won and compared to our flat estimate. EPS came in at negative $0.33 (lower tax was big benefit in the quarter) and was significantly lower than our profit projection of $0.13, as the company entered the red again after seven quarters. Keep in mind, the company recorded a $238 million operating loss related to litigation around price fixing and a loss of $150 million from operations. The LCD supply chain stocks continue to meander in search of a catalyst, in our opinion. The economics of the panel industry simply are not there, in our view. We also believe Corning (GLW)(Sell) and AU Optronics (AUO)(Neutral) will continue to struggle."

Ticonderoga maintains a "Sell" rating on LG Display (LPL), which was trading at $16.54, down $0.18, or 1.08 percent, as of 2:02 PM EST. Ticonderoga has a price target on LG Display of $11.