Why Is GLW Stock Falling Today?

• Corning forecast earnings per share in the range between $0.85 and $0.89 in Q3, and at a midpoint of $0.87, it is slightly ahead of a consensus estimate of $0.85.
• The company expects its Q3 revenue to come in between $4.9 billion and $5 billion, with a midpoint of $4.95 billion, which misses the consensus estimate of $5 billion.
• Corning's solar and life sciences segments reported losses of $7 million and $21 million, respectively, compared with profits of $2 million and $6 million a year earlier.

Shares of Corning Inc. (GLW) were headed for the worst single-day decline since March 2020, after the company reported its latest quarterly results ahead of the opening bell on Tuesday.

Corning reported earnings per share (EPS) of $0.78 on revenue of $4.74 billion, beating Wall Street estimates of an EPS of $0.75 on revenue of $4.63 billion, according to Fiscal.ai data.

Corning shares were down more than 16% in Tuesday’s pre-market trade. GLW was among the top trending tickers on Stocktwits at the time of writing.

GLW’s Q3 Guidance Disappoints Wall Street

Corning’s third-quarter (Q3) guidance fell short of Wall Street expectations, with the company’s softer near-term outlook weighing on the stock ahead of the opening bell on Tuesday.

The specialty glass and materials maker forecast EPS between $0.85 and $0.89. At a midpoint of $0.87, Corning’s Q3 EPS forecast is slightly ahead of a consensus estimate of $0.85.

Corning also expects its Q3 revenue to come in between $4.9 billion and $5 billion. At a midpoint of $4.95 billion, it misses the consensus estimate of $5 billion.

GLW’s Solar, Life Sciences Segments Swing To Loss In Q2

Corning’s solar and life sciences segments swung to a quarterly loss in Q2. The company reported a net loss of $7 million in the solar segment, compared to a profit of $2 million during the year-ago period. However, the solar segment’s revenue surged 90% year-on-year to $438 million.

The life sciences segment performed relatively worse, with a net loss of $21 million compared to a profit of $6 million during the same period a year ago. Revenue declined 15% YoY to $294 million.

Corning stated that it completed an extended maintenance shutdown and equipment upgrade at its solar wafer facility during the quarter. It also expects profitability to improve during Q3.

“We also expect an improving impact on earnings from Solar starting in Q3 as our ramp continues, building toward a revenue stream of more than $3 billion with strong profit and cash flow,” said Corning CFO Ed Schlesinger.

GLW Doubles Down On Long-Term Growth Targets

Corning CEO Wendell Weeks said that the company is entering a “new phase of accelerating growth” after delivering what he described as an outstanding second quarter.

The company upgraded its Springboard Plan and now expects to reach an annualized sales run rate of $20 billion by the end of 2026, $30 billion by the end of 2028, and $40 billion by the end of 2030.

Weeks added that Corning expects to deliver a 19% compound annual growth rate in sales from the fourth quarter (Q4) of 2026 through Q4 of 2030.

He also pointed to Corning's expanding partnerships with major technology companies as validation of its long-term strategy.

During the quarter, Amazon.com Inc. (AMZN) signed a multiyear, multibillion-dollar agreement for Corning's optical fiber and connectivity products.

Nvidia Corp. (NVDA) also announced a long-term partnership that will see Corning expand its U.S. optical connectivity manufacturing capacity tenfold and increase domestic fiber production by more than 50% to meet rising AI infrastructure demand.

Weeks said these partnerships provide “strong proof points” supporting the company's Springboard growth plan.

What Retail Investors Think Of GLW Stock

Retail sentiment on Stocktwits around Corning trended in the ‘bullish’ territory at the time of writing.

GLW stock is up 64% year-to-date and 159% over the past 12 months. The S&P 500 ETF (SPY) is up 16% over the past 12 months, while the Vanguard Mid-Cap Index Fund ETF (VO) is up 12%.

The Vanguard Total Stock Market Index Fund ETF (VTI) and the Vanguard S&P 500 ETF (VOO) are up 16% during this period.

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