The Nobel Prize for Physics was awarded to three scientists, Akasaki, Amano and Nakamura for cracking the problem of creating the Blue LED. The Blue LED will allow manufacturers to produce white light lamps. This is a major breakthrough in an industry the is expected to capture 70% of a $100 billion market by 2020. LEDs will last 10 times longer than fluorescent bulbs and 100 times longer than traditional incandescent -tungsten filament bulbs (Reuters).The transition to more efficient lighting has been underway for several years but took a giant leap forward with the 2014 ban on the old incandescent bulbs.
Now consumers must choose among three different types of bulbs. We have an improved Halogen incandescent bulb, a compact fluorescent bulb (CFL) and a Light Emitting Diode (LED). The new bulbs do not list wattage. They measure the light produced in “lumens.” The more lumens, the more light emitted. This can be a bit confusing for the consumer. You will need a chart that gives you the old wattage, I.e. 75 watts, alongside the new bulb choices. Go to: http://www.nrdc.org/energy/lightbulbs/files/lightbulbguide.pdf for this information. This chart also provides how much it will cost to operate one bulb for one year. The consumer should also look for the Energy Star label on the package. This is a stamp of quality. It has a chart that shows brightness from warm white to bright white, the energy in watts and if the bulb contains mercury.
While the topic of light bulbs may not be that exciting, it is producing a new revenue stream for many established companies. Worldwide, there are 927 companies involved the lighting industry. Keep in mind the LEDs have been around a long time and are used in almost every electronics gadget that we have including cars, TVs, cell phones and computers. Here we will focus on leading LED companies that specifically target the lighting sector. Only the top three companies are ranked.
Koninklijke Philips (PHG) Based in Amerstadam, PHG is diversified multi-national group of electric and electronics product systems and information technology services.
Recent Price $29.08 52 week high/low is $38,40/$29.06, EPS is $1.66, PE ratio is 18.44, Dividend is $.93 (3.10%), Market cap is $26.56 Billion.
Osram Licht Based in Germany Osram is a worldwide manufacturer of future technologies. Their lighting division is called Osram/Sylvania, Recent price 33.9000 52 week high/low is 70.000/33.7000
Panasonic Corp. (PCRFY) Based in Japan, Panasonic is a leader in the development and manufacturer of electronics for a wide range of consumer business and industrial needs. Recent price is 11,1500 52 week high/low is 13.2100/9.6200.
Toshiba (TOSBF) Based in Japan, Toshiba is a 135 year old company that provides a full range of smart digital life products and consumer electronics, It employs 200,000 and distributes its products in 30 countries. Recent price is 4.2100 52 week high/low is 4,8500/3.7420
Cree Inc. (CREE) Based in the United States, Cree is an innovator and manufacturer of semiconductors and solid state lighting, Recent price is $30.77 52 week high/low is $75.98/$30.10, EPS is $1.25, PE ratio is 26.16, Market cap is $3.75 Billion
Sharp Corp ADR (SHCAY) Based in Japan, Sharp is a manufacturer of telecommunications devices, electronic machines and components. Recent price is 2.5500 52 week high/low is 3.8600/2,4500 EPS is .22, PE Ratio is 11.6800, Market cap is $4.34 Billion.
General Electric (GE) is a multinational leader in technology and financial services. Recent price is $24.27 52 week high/low is $28.09/$24.13, EPS is $1.61, PE ratio is 15.68, Dividend is $.88 (3,55%), Market cap is $243.52 Billion. GE is rapidly becoming a leader in LED technology.