US diversified electronics and personal computer industrial sectors - Essay Example

4 March 2007 LG. Philips LCD CO. Ltd., US Diversified Electronics and Personal Computer Industrial Sectors Diverse Electronics industrial sector is one of the largest industrial sectors in the United States. It has a critical role in nation economic boom. US diverse electronics sector comprises of hundreds of different companies with market capitalization of USD 134.4 billion which is 2.59% of total technology market cap. It has 7.20% net profit margin with 1.20% yields. The diverse electronics sector has 21.

90 Price/Earning (P/E) ratio. The long-term Debt to Equity value indicator of diverse electronics sector is 0.29 with 8.50 Return on Equity (ROE) while the Price to Free Cash Flow (mrg.) is 69.20. LG. Philips LCD Co. Ltd. the world leading manufacturer and supplier of thin film low temperature poly silicon Transistor Liquid Crystal Display (TFT-LCD) panels for televisions, monitors, notebooks and emerging mobile appliances is also included in diverse electronics sector. LG. Philips LCD Co. Ltd. was established in August, 1999 and is a joint venture of LG Electronics and Philips Electronics with Headquarter in Seoul, South Korea.

Currently it comprises of seven fabrication facilities and four back-ends assembly facilities in South Korea, China and Poland. Its marketing and sales network spans over ten countries. LG.Philips LCD have approximately 21,000 employees across the globe. Since 1987, LG.Philips LCD TFT Technology innovation has been creating quality premium TFT products. According to financial review, issued by LG. Philips LCD CO. Ltd on January 16, 2007, the company's total un-audited revenue has reached to USD 3,186 million for last quarter of fiscal 2006.

TFT-LCD panels for TVs, desktop monitors, notebook computers and other applications accounted for 48%, 27%, 21% and 4%, respectively, on revenue basis in the fourth quarter of 2006. The company has exported 2.3 million square meters of net display area with an average price of USD 1, 414 per square meter. The total sales increased 11% which is 9% lower than 3rd quarter. The total cost of sold goods also increased 2% and reached to USD 3, 3263 million. Compared to fourth quarter of 2005, the company gained a profit of USD 353 million in the fourth quarter of 2006. LG. Philips LCD 7th generation TFT-LCD plant (P7) located in Paju, Korea, has production capacity of 10, 000 input sheets of glass substrate per month.

Also on March 30, 2007 LG. Philips LCD's back-end LCD module plant in Poland has started its full scale production. It will produce modules mainly for 32-inch and larger LCD TVs. LG. Philips LCD CO. Ltd. has set a production target of 11 million units by 2011 from an initial 3 million unit production capacity of the plant. Till 3rd of April the company's total market cap. has reached to USD 12.67 billion with -7.24% profit margin and USD 995.77 million gross profit (ttm). US personal compactor sector includes major computer giants like Dell Inc.

, Gateway Inc., Apple Inc. Palm Inc. and Dynatem Inc. The total market capitalization of these major players is USD 134.7 billion. The Apple Computer is major market share holder with 59.91% of total market cap. while Dell is at 2nd place with 38.08% market share. The net profit margin of personal computer industrial sector is 7.30%. Among other financial market indicators, the computer sector has 24.10 Price to Free cash flow, 24.10 P /E (Price/ Earnings), 34.40% ROE (Return on Equity) and 1.

1 Total Long Term Debt Equity with 0.0% Dividend Yield. A close observation of above mentioned statistics reveal that diverse electronics sectors almost have equal market cap. as that of PC sector. Works Cited LG Philips LCD. 3 April 2007. LG. Philips LCD CO., Ltd. (LPL). 3 April 2007 3 April 2007 Yahoo Finance. 3 April 2007. LG. Philips LCD CO., Ltd. (LPL). 3 April 2007 Yahoo Finance. 3 April 2007. INDUSTRY CENTER - PERSONAL COMPUTERS. 3 April 2007 < http://biz.yahoo.com/ic/811.html>