Corning Inc (GLW - Analyst Report) recently announced that it has a new manufacturing process in place to mold its shatter-resistant smartphone glass covers. These covers can be molded into three-dimensional shapes, which will allow device makers to try new options while designing their products.
Corning, which considers Apple (AAPL - Analyst Report) and Samsung Electronics to be the major consumers of its Gorilla Glass, is collaborating with Taiwan-based G-Tech Optoelectronics Corp. on this new venture.
This new technology is believed to help in making the thickness of Gorilla Glass uniform even when it's molded into different shapes. It is more economical and will significantly lower the cost of curved displays.
It should be noted, however, that this 3D-shaped Gorilla Glass has no connection whatsoever with 3D viewing. Corning will use the manufacturing process to create unique shapes of Gorilla Glass without making it bulkier or compromising on its other characteristic features. Corning will no longer need to ship the parts from other parts of the globe.
Corning is a leading manufacturer of specialty glass and ceramics. In the recently concluded third quarter, the company spent $146 million on cash dividends and used $209 million to repurchase its common stock.
Corning has a strong balance sheet, which will help the company to capitalize on investment opportunities and make strategic acquisitions, further improving its growth prospects. The senior notes offering will bring down its cost of capital, thus strengthening the company's balance sheet and supporting its future growth.
Currently, Corning has a Zacks Rank #3 (Hold). Some better-ranked stocks worth considering include Envivo Inc (ENVI - Snapshot Report) and Numerex Corp. (NMRX - Snapshot Report), both with a Zacks Rank #2 (Buy).
