Iqe Share Discussion Threads

[someuwin] 14/12/2016 10:30

Put a few more of these in the SIPP today.

Over time these will just keep rising.

[spooky] 14/12/2016 10:26

I wonder how much of the improvement was currency driven, i would like to have seen them break that down. The fact that they did not leaves me slightly less enthusiastic.

[panic investor] 14/12/2016 10:20

thx for correcting me Rivaldo, I had little time this morning (dog to the vets) and it was a little sloppy journalism on my behalf.

[rivaldo] 14/12/2016 09:59

I note Peel Hunt have increased their target price to 35p (from 33p), which is why they now say hold given the share price is above that. They've been consistently behind the curve. They'll presumably upgrade again once the results are out :o))

N+1 Singer appear to be playing a more straightforward/less cautious game with their upgrade to 48p.

[dr_smith] 14/12/2016 09:55

Yump:
I am one of those wanting a business driven board.
Yes technical on board too, but needs business focus, for which it has lacked to-date. I come from an IT and business background, seeing first hand the problems, inefficiencies and more that happens when techies are promoted up, out of their field of expertise into business world for which they are not equipped, prepared or experienced in.

[sweenoid] 14/12/2016 09:55

Won't post again today ,

Great statement
Positive in every way, although no doubt some Luddite will not like the necessary increase in CAPEX!

We beat current estimates , this statement was essential and frankly fairly obvious given the momentum of the 1st half.

Photonics will be on a rip for many years to come ,this is not a temporary phenomenon, the double digit growth mentioned won't be near 10% , rather 50% and that will repeat yoy.

Wireless is as expected meaning this year it will grow 5-10% which is the figure previously stated , this is very good as it still forms the bulk of our business, however this situation will change quickly in the next few years when the far higher margin photonics revenues outstrip wireless . Next year solar and GAN will kick in from zero to hero. In GAN which is now at last starting we have the potential in that single strand to develop a business much bigger than wireless and equal in velocity and momentum to photonics - go work that one out :-)

I really like the conservative tone of this statement, it really sets up excellent full year results where the £v$ will show presentational benefits - they qualify this by mentioning the complicated currency situation.

The key statement is of course

"IQE's trading has continued to be strong across multiple markets, particularly in the photonics business." Coupled with "Excellent progress with customer qualifications in photonics during 2016 provides a solid platform for continuing strong growth for this business."

I am frankly not interested in today's share price - it's just a step up to much greater levels, I long contended it was cheap as chips to 35p , I was right ( from 18p) , I then said cheap as chips with previous estimates and PE to 40p.
It's obvious they are going to exceed expectations EASILY , when they prove this in the FY earnings the analysts AND market will simply HAVE to re-rate them to a level at least equal to their peers, therefore I now say it's CHEAP AS CHIPS to 47p and on the road to 60p plus within 18-24 months , they have under- promised today IMHO AND DYOR and will over- deliver in March

Don't care much for short term views or for the uninformed, but would be nice to get some positive press, increasing the investor base and interest is never bad, IQE because if it's complex business is off the radar to many, let's hope this will spark off some interest


Much later
Dave

[panic investor] 14/12/2016 09:49

Peel Hunt just downgraded ! Parallel Universe stuff !

[lord gnome] 14/12/2016 09:46

Great news this morning, but somewhat perplexed by the selling. I can buy all the shares I want. There is no shortage. Buy 50k online at 37.65, buy 100k at 37.79. Top up anyone?

[rivaldo] 14/12/2016 09:23

Meanwhile....N+1 Singer have increased their price target to 48p (from 35p), and conclude as follows:

"Impact on earnings & valuation

We will update our forecast to reflect the outperformance in FY’16, but with strong growth opportunities in both Wireless and Photonics, continue to see upside potential in FY’17 and beyond. The shares trade on just 11.6x Dec’17 PER (pre upgrades) which we believe is highly attractive. We increase our target price to 48p (from 35p), representing 16x FY’17 PER in-line with international peers. The group expects to report its FY’16 results on 21st March 2017."

[dozey3] 14/12/2016 08:53

I like it on AIM for inheritance tax relief, but would grudgingly accept a bid at £1.00 or over.

[dr_smith] 14/12/2016 08:52

Sterling effort..and sales ;-)
Even the market likes it.
I came in at 23.625p in April 2013.. soon after getting a SIPP.
Nice to be in front for a change and the perpetual "tomorrow" actually arriving.
There is an LED at the end of the tunnel.

[dexter5] 14/12/2016 08:47

Noted. Is enismore likely to be trying to get the price down to clear the short.?? There seems to have been some erratic share buying and selling over the past while.

[blueflame] 14/12/2016 08:45

Great conservative statement that bodes well for £70m plus in the 2nd half. Is there any chance of a move back onto the main market in the next year or two?

[hannath] 14/12/2016 08:43

Looks like most of the PI sales have been mopped up easily enough at 37.5p, now we want a couple of big orders to cause a shortage and push through 40p. Ennismore still holding their 6m (0.98%) short ... closing that would be interesting.

[shavian] 14/12/2016 08:33

I like the way it starts: '....THE leading manufacturer...'. Globally.

[sspurt] 14/12/2016 08:27

Well done management team - good solid no frills stuff. Looking forward to a new chairman being appointed in 2017 which hopefully will be a big positive.

[poombear] 14/12/2016 08:24

And 5G is relatively just around the corner which will underpin the wireless division.


Photonics will continue to grow, then next year all being well we will start seeing nice revenue for Gan.

And keep looking out for news on CREO.

[hannath] 14/12/2016 08:21

Just need to let things settle today and hope there is enough buying to offset the sellers so this level can at least be maintained .... L2 showing largest sell orders at 40p (expected) ... only other thing is the wait (little if any news) from now to March 21st ... sterling has helped and I dont see it recovering any time soon with Brexit kicking in

[qs99] 14/12/2016 08:20

great update. with a broker pre-upgrade 51p target, then looking forward to the next broker note and hopefully "push" of shares/....DYOR etc

[csmwssk12hu] 14/12/2016 08:20

In for a dabble here like the growth story, also take a look at PEL of get chance

[owenga] 14/12/2016 08:17

Yeah, I could easily see this at 60p in 12 months time if revenues continue to grow at this rate. And seems no reason why they won't!

[bigfrocks] 14/12/2016 08:17

Love a bit of bigbig dave