LG Display Slumps on Apple Shipment Speculation: Seoul Mover
LG Display Co. (034220) declined in Seoul trading on speculation Apple Inc. (AAPL) may introduce an upgraded iPhone 5 version earlier than expected, potentially cutting the South Korean company’s shipments for the existing model.
The world’s second-largest maker of liquid-crystal displays slipped 4.9 percent to 32,700 won at the close on the Korea Exchange, its steepest loss since June 4.
“There are ongoing rumors in the market that the upgraded version of the iPhone 5 device, likely dubbed iPhone 5S, may be launched as early as the first half of next year, propelling worries that LG’s total display shipment order for the existing device may shrink,” Kim Byung Ki, an analyst at Kiwoom Securities Co., said by phone today. “The stock’s strong performance also gives investors an excuse to take profits.”
Apple accounts for about 4 percent of LG Display’s revenue according to data compiled by Bloomberg. Claire Ohm, a Seoul- based spokeswoman for LG Display, declined to comment.
LG Display shares have climbed 33 percent this year, compared with a 8.2 percent gain in the benchmark Kospi index.