Universal Display Shares Selling off On Canaccord Genuity Downgrade

Early this morning, Canaccord Genuity issued a downgrade on Universal Display

, dropping it from Hold to Sell and lowered the price target from $30 to a $19. Analyst Jonathan Dorsheimer stated that the report was more long-term in nature, focusing on the expiration of key patents in 2017. It also had a more near-term component however, as it expressed worry about LG and Samsung entering the phosphorescent materials market. With the long-term risks, Dorsheimer stated that it was more prudent to value the company on cash flow, which would place the company's share price at $19. Following the report, Universal Display shares fell 8.2 percent to $29.60 in pre-market trading.