Corning Earnings: First-Quarter Profitability Was Positive, and We See Further Improvement in 2023

We maintain our $40 fair value estimate for narrow-moat Corning after it reported first-quarter results that met our expectations. Corning continues to see weak demand due to a softer spending environment and inventory corrections at customers. Nevertheless, the company improved profitability in the quarter and we see both sales and profits trending up through the rest of the year. We continue to see Corning as undervalued and trading at a good entry point for long-term investors.