E2V Share Discussion Threads

[pj 1] 26/4/2012 21:57

No one ever regrets taking profits

We all regret taking losses.

Accept it and DYOR

[proj] 26/4/2012 18:15

Bit of profit taking today. They'll regret it.

[proj] 25/4/2012 11:29

sas, they can have mine for £3!!

[matt123d] 25/4/2012 11:25

Big seller cleared at 145p. Next resistance in the region of 170p, should get there pretty quickly.

[sasannach] 25/4/2012 11:05

Level 2 looks good

18 - 6
98,568 - 28,300

running out of stock?

[proj] 25/4/2012 10:59

Just gone through 150p. Very interesting!

[matt123d] 25/4/2012 09:24

Bit of a battle going on for 145p.

[simon gordon] 24/4/2012 12:21

10x = 141p

11x = 155p

12x = 169p

13x = 183p

13x for a growing hi-tech business with strong barriers to entry and new products in development doesn't seem too much of a stretch.

[simon gordon] 23/4/2012 13:17

Motley Fool:

A Technology Share With Decent Upside

By Malcolm Wheatley

20 April 2012

Positive noises from a British success story.

It's a couple of years since I last took a look at a business that I've had on my watch list for a while. But an end-of-year trading update, ahead of full-year results due in June, piqued my interest. And, it's fair to say, I've not been disappointed.

e2v Technologies (LSE: E2V), as I remarked the last time I looked at the business, is probably not a name you'll recognise.

But fancy moniker apart -- which I've never understood, anyway -- the business is the old Marconi Applied Technologies. Prior to 1999, it was the English Electric Valve Company.

Advanced technology

Forget the heritage, though. e2v these days is a very different business, as a quick glance at the company's website confirms.

e2v products find themselves in some peculiar places: the Airbus 380; the F18 Super Hornet jet fighter; image sensors fitted to the Hubble Space Telescope, the International Space Station, and space probes orbiting Mars, Venus and the sun -- and, of course, a very profitable line in the Radio Frequency technology underpinning medical body scanners and other high-tech applications.

The trouble is, space and defence haven't been good markets to be in of late, as companies such as BAE Systems (LSE: BA) have been finding out to their cost. Customers such as the United States Department of Defense, NASA and our own Ministry of Defence have been suffering budget cutbacks, and that has translated into lower demand for e2v's products.

Recovery

To its credit, the business has been battling these problems for a while. Throughout the recession, it's been consolidating its manufacturing sites, making more of its more civilian-centric Radio Frequency technology, and reducing debt and overheads.

And this week's trading update is a very different story to the one investors were greeted with two years ago. Take a look:

■Full-year trading performance now expected to be at the upper end of management's previous expectations

■Positive progress in executing key growth programmes in the US and Asia

■Positive progress in building our market positions in key application segments.

Cheap

And while we'll have to wait until June for the financials, the numbers that we were given looked encouraging.

10% underlying turnover growth; above-target operating profit margin of 17%; a reduced interest bill of just £2.5 million, and a modest -- £2 million -- increase in net borrowing, due to the purchase of a manufacturing site in the United States. The order book is down, admittedly, but that was expected.

Today's price of 139 pence puts the company on a forecast price-to-earnings (P/E) ratio of 11, yielding a FTSE-average 3.5%. Given the turnaround in the business's fortunes, I think that's cheap.

And analysts at Investec Securities, one of the few brokers to cover the company, agree. Placing the business on the average P/E of its peer group, they say, points to a share price of around 200 pence.

[proj] 22/4/2012 16:24

matt, yes.....this could really break out if we breach it. GL all.

[matt123d] 20/4/2012 10:42

Going to have another attempt at 140p then.

[simon gordon] 20/4/2012 07:04

FT - 19/4/12:

E2V Technologies , a maker of imaging sensors and microwave components, said its trading performance for the year ended March would be at the upper end of management's previous expectations, which lifted the shares by 10.8 per cent to 139p.

House broker Arden Partners raised estimates to forecast E2V would deliver earnings per share of 13.2p and 14.1p for its fiscal years ending 2012 and 2013.

"The substantial recovery seen over the last two years not only demonstrates the success of the restructuring programme, but also confirms that the growth initiatives announced in July 2010, based on new products and geographical expansion, have been successful," said the broker.

[pj 1] 19/4/2012 10:09

Well done old Beans, I've missed out on this rise after almost getting back in last week. Hope it holds for you.Has the threat from the RT trial been offset now by this RN?

[matt123d] 19/4/2012 09:22

Investec raises target from 155p to 200p, says buy.

Seymour Pierce reiterates buy, says 140p target may be overly conservative.

[simon gordon] 19/4/2012 07:07

"A stronger revenue profile, combined with expecting to exceed the Group's operating profit margin of 17%, should now result in a full year trading performance at the upper end of management's previous expectations."

Steady as she goes.

[simon gordon] 18/4/2012 11:35

IMS - 30/1/12:

Key words:

~Steady = 4 x

~Softening = 2 x

"In RF Power Solutions, OEM demand in radiotherapy has remained steady, whilst Electronic countermeasures reflects continued lower demand in Europe. In the US, we have secured further orders for the ALE-55 programme for the F18 Super Hornet, and are progressing development work on one other aircraft programme. In Industrial processing systems, the first vermiculite system has been installed and we have received two further development orders for mining applications. The remaining product lines in the division have delivered steady performance, reflecting ongoing end user demand in our commercial and industrial markets.

Within High Performance Imaging Solutions, machine vision has, as anticipated, experienced some softening in demand for industrial process control applications. Order intake in space has remained strong, with the revenue growth reflecting progress on our technically challenging programmes. Performance of scientific imaging has been steady.

In Hi-rel Semiconductor Solutions, Semiconductor Lifecycle Management (SLiM(TM)), revenues continue to benefit from existing programmes. The division's European operation has seen steady demand for its test and packaging services. In the US, there is some softening of demand for defence applications."

European turnover by destination in 2011 = £79.m = 35% of turnover.

The large exposure to defence is the main factor that keeps me twitchy. With ProWave in trials is there a risk of an earnings disappointment before it can buld a bridge to a new earnings stream in 2013/4?

Will there be a catalyst in Friday's trading update to bust the share past 150p?

Edit: trading update is tomorrow.

[simon gordon] 15/4/2012 08:50

This is the Rio Tinto mine where the ProWave trials are taking place in H2:



"The world famous Bingham Canyon Mine has produced more copper than any other mine in history. It is one of two man made objects seen from space. To give you some idea about the size of this mine, it's three-quarters of a mile deep and more than 2 3/4 miles across at the top."



-----

WIKI:

The Bingham Canyon Mine, also known as the Kennecott Copper Mine, is an open-pit mining operation extracting a large porphyry copper deposit southwest of Salt Lake City, Utah, USA, in the Oquirrh Mountains. It is the deepest open-pit mine in the world. The mine is owned by Rio Tinto Group, an international mining and exploration company headquartered in the United Kingdom. The copper operations at Bingham Canyon Mine are managed through Kennecott Utah Copper Corporation which operates the mine, a concentrator plant, a smelter, and a refinery. The mine has been in production since 1906, and has resulted in the creation of a pit over 0.75 miles (1.2 km) deep, 2.5 miles (4 km) wide, and covering 1,900 acres (7.7 km²). According to Kennecott, it is the world's largest man-made excavation.[3] It was designated a National Historic Landmark in 1966 under the name Bingham Canyon Open Pit Copper Mine.

[simon gordon] 13/4/2012 18:32

Trading update a week today.

I spoke with a vermiculite expert and he said E2V have some very smart people working on ProWave, that the jury was still out on whether it will work in a commercial setting. All in all, no signs of a bonanza.

[simon gordon] 11/4/2012 17:54

Roger,

Let's hope so :-)

[rogerrail] 11/4/2012 12:52

Simon , as you stated in your previous post, considering the technology lead we would expect net profit margin to be much higher. Probably in the order of £4m-£6m on these sales figures.

[simon gordon] 11/4/2012 10:10

Current models of ProWave for vermiculite retail for between 500K and 700K, still has to pass trials.

30 machines a year = £15m to £21m in turnover, probable profit a couple of million. Nothing earth shattering.

[simon gordon] 06/4/2012 13:31

Some snippets on ProWave from the last corporate presentation:

GROWTH RANGE:

Vermiculite: Build to c.30 systems a year for new install and replacement.

Mining: development orders to lead to first installation.

-

UPSIDE POTENTIAL:

Vermiculite: Accelerated replacement with new product.

Open up a third market.

Drill cutting decontamination: develop and deploy second generation platform.

======

I plan to call E2V to find out how much a vermiculite machine sells for. You'd think it would have a good margin due to it being a unique product that saves a bomb in energy costs and gives a higher yield.

[simon gordon] 01/4/2012 13:17

Printed a Dark Cloud Cover, bearish reversal, on the March candle:

MONTHLY




RENKO

Head and Shoulders:




WEEKLY

Cloud support at c.115p (top) and c.105p (bottom), price hasn't closed below the cloud since Q2 2010:

[simon gordon] 31/3/2012 16:00

Just positing some price targets if ProWave for vermiculite takes off and the Rio Tinto trials succeed:

2012 - 170p
*Vermiculite trials finish Q3.

2013 - 250p
*Vermiculite order book starts building.

2014 - 350p
*Rio Tinto trials conclude successfully.

2015 - 450p
*ProWave starts to really rock.

All being well, E2V has an opportunity for seeing the old high of 312p in the next three years.

[matt123d] 21/3/2012 13:48

CHELMSFORD, England and MIGDAL HA'EMEK, Israel, March 21, 2012 /PRNewswire/ -- e2v, the global provider of high performance imaging solutions and TowerJazz, the global specialty foundry leader, today announced the increased production of e2v's Ruby low light CMOS imaging sensors and the ELiiXA+ high speed multi-line scan camera using TowerJazz's advanced CMOS Image Sensor (CIS) technology. e2v offers market leading systems and sensors for machine vision and industrial cameras integrating high end CMOS design for high performance imaging solutions which allow for significant system illumination cost reduction and very low-light imaging in outdoor camera applications.