Shares of Corning (GLW) have been strong performers lately, with the stock up 20.2% over the past month. The stock hit a new 52-week high of $81.02 in the previous session. Corning has gained 70.5% since the start of the year compared to the 22.6% gain for the Zacks Computer and Technology sector and the 63.1% return for the Zacks Communication - Components industry.
What's Driving the Outperformance?
The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on July 29, 2025, Corning reported EPS of $0.6 versus consensus estimate of $0.57.
For the current fiscal year, Corning is expected to post earnings of $2.47 per share on $16.08 in revenues. This represents a 26.02% change in EPS on a 11.14% change in revenues. For the next fiscal year, the company is expected to earn $2.88 per share on $17.21 in revenues. This represents a year-over-year change of 16.52% and 7.05%, respectively.
Valuation Metrics
While Corning has moved to its 52-week high over the past few weeks, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Corning has a Value Score of D. The stock's Growth and Momentum Scores are C and A, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 32.8X current fiscal year EPS estimates, which is a premium to the peer industry average of 24.2X. On a trailing cash flow basis, the stock currently trades at 22.7X versus its peer group's average of 14X. Additionally, the stock has a PEG ratio of 1.81. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks Rank
We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Corning currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Corning meets the list of requirements. Thus, it seems as though Corning shares could still be poised for more gains ahead.
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Corning Incorporated (GLW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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