Worldwide LED Tube Light Shipments to Reach 220 Million in 2013
DigiTimes Research said Wednesday that LED tube lighting shipments in 2013 would account for 5.5 percent of the entire lighting market globally.
With efficiency reaching 110lm/W, comparable to that of fluorescent bulbs – and with prices coming down – these ultra high efficiency replacements for fluorescent bulbs are becoming more popular.
The biggest drawback has been the difference in price between LED bulbs and CFLs or incandescent lighting. With increased efficiency and production, however, prices are coming down. DigiTimes said retail prices for 4-foot T8 LED tubes would drop by 25.7 percent in 2013 to an average selling price of $48.30.
The DigiTimes forecast was bolstered by PR Newswire, Wednesday, quoting a GiiResearch.com ElectroniCast report that said global consumption of LED linear tube lamps rose to $194 million in 2012.
Last week ElectroniCast forecast that consumption would grow at an average annual rate of 23 percent between 2012 and 2017 and 34.2 percent from 2017 to 2022. This translates to nearly $2.37 billion in sales of LED tube lamps by 2022.
According to Stephen Montgomery, Principal Analyst at ElectroniCast, "Compared to incandescent lighting, LED-based solid-state lighting (SSL) delivers visible light with reduced heat. Moreover, its solid-state nature provides for greater resistance to shock, vibration, and wear, thereby significantly increasing its lifespan, which also translates to lower maintenance/labor expenses."
Companies affected by the DigiTimes and ElectroniCast news include Taiwan based, SemiLEDs Corp (NASDAQ: LEDS) which engages in the development, manufacture, and sale of light emitting diode chips and LED components. SemiLEDs closed up 17.57 percent Tuesday on a DigiTimes report that Revenues for LED drivers were set to triple by 2015. In afternoon trading, Wednesday, shares were down $0.19 at $1.55.
Jim Cramer, according to Wall Street Cheat Sheet, rated Durham, North Carolina based Cree, Inc. (NASDAQ: CREE) a BUY Wednesday. The stock’s 52-week high was $61.72, and its 52-week low was $22.25. At mid-day Wednesday, Cree, Inc. shares were trading for $60.97, up $1.12 or nearly 2 percent on the day.
Also of note, Veeco Instruments, Inc. (NASDAQ: VECO) of Plainview, N.Y. Shares of Veeco opened at $40.07 Wednesday, went as high as $41.00 and was trading for $39.62, down $0.11 Wednesday afternoon.
German company, Aixtron SE (NASDAQ: AIXG) opened Wednesday at $16.50, hit $16.94 in morning trading and was going for $16.35 a share, down $0.54 on the day late Wednesday afternoon.
As of this writing, Jim Probasco had no position in any mentioned securities.
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.