Corning has been in the process of transitioning itself from a company heavily weighted in telecom at the beginning of this decade to one that has been investing heavily in LCD and diesel infastructure over the last several years. There has been very heavy capex as a result.
Here is an excerpt from a recent Argus report on Corning:
"Despite heavy investment spending to increase LCD capacity Corning continues to generate strong operating cash flows and should deliver several hundred million dollars in free cash flow this year. Our discounted free cash flow analysis supports a value for GLW stock in the $50-plus range."
By the way, Corning increased their 2007 cash flow guidance from $400 million to $600 million several months ago.
Not to beat a dead horse here, but the Nasdaq Analyst Stock Research page (Thomson financial data) you linked really provides a graphic picture of how undervalued Corning actually is.
At first glance an investor comparing Corning's PE ratio, which is listed at 16.85 compared to the "Industry" average of 17.37, might conclude that Corning is trading a little below industry average. That is, until they note exactly what "industry" Thomson is including Corning in....not a technology sector which have PE averages in the 20s and 30s, which would be the appropriate category since Corning provides high tech "keystone technologies"....but, "multi-industry capital goods"....a "catch-all" grab bag of staid, mostly slow growth companies which managed to achieve a whopping 3.9% earnings growth in 2007...:-) By comparison Corning's 2007 earnings growth is listed at 23.8%.
The irony is that even compared to that low growth, commodity widgets type, "multi-industry capital goods" category, Corning is trading below the average...:-)
Thomson calculates Corning's PEG at a meager .789.
We have a lot of catching up to do once the recession fears subside.