Corning (GLW) stock fell more than 8% in Wednesday morning trading, hitting around $171 — a steep retreat from its June 30 all-time high of $271.78. The broader market was actually up on the day, with the S&P 500, Dow, and Nasdaq each gaining around 0.4%, making the sell-off entirely Corning-specific.
The drop is part of a multi-week correction that has been building since that record high. GLW already suffered a roughly 13% single-day plunge on July 1, followed by further declines on July 7 and July 13.
Wednesday’s move accelerated after bearish options activity was flagged in the prior session. A large trader bought weekly put options on Corning, a signal that some institutional players were positioning for more downside ahead of Q2 earnings, scheduled for July 28.
Analysts are expecting core EPS of $0.75–$0.76 and revenue of around $4.60 billion for the quarter. But Corning has missed revenue estimates in several recent quarters, leaving little room for error.
One of the more closely watched factors in the sell-off is the level of insider selling near peak prices. CEO Wendell Weeks sold 100,000 shares at an average price of $186.46 in June, totaling $18.6 million. SVP Soumya Seetharam sold 20,000 shares in May at around $206 per share. In total, insiders have sold over $54 million worth of stock in recent months, with no offsetting purchases reported.
Company insiders now own just 0.25% of outstanding stock.
Corning’s run-up was fueled largely by optimism around its role in AI infrastructure, particularly fiber optic and optical connectivity products. But that rally pushed its trailing price-to-earnings ratio above 90x — far above its five-year historical median — leaving the stock acutely exposed to any negative catalyst.
The stock now trades near the $173–$174 range, a level analysts had previously identified as a key moving-average support zone.
On the plus side, Corning beat Q1 estimates, reporting EPS of $0.70 on revenue of $4.34 billion, up 18.1% year-over-year. The company also declared a quarterly dividend of $0.28 per share, payable September 29.
Analyst sentiment remains mostly positive. Ten analysts carry a Buy rating and six a Hold. The consensus price target sits at $194.69, with Mizuho setting the most bullish target at $270 and Oppenheimer at $230.
Zacks cut its rating from Strong Buy to Hold in late May, and Wall Street Zen moved to Hold in June.
The next major test for GLW will be its Q2 earnings report on July 28.
The post Corning (GLW) Stock Drops 8% as CEO Sells Millions Before Earnings appeared first on CoinCentral.
