Filtronic Share Discussion Threads

[wisecat2] 11/1/2024 09:52

Happy new year Trigger

[estienne] 11/1/2024 09:17

And until that happens I expect Filtronic to drift down to around 14p where I might be tempted to buy some more

[finimps] 10/1/2024 11:52

Looks like Filtronic marketing teams are going to be very busy this year, hopefully leading to more new customers, and of course contracts.
hxxps://filtronic.com/news-events/events/

[wisecat2] 09/1/2024 10:05

Germany lifts objection to sending Eurofighter jets to Saudi Arabia

[bazworth] 23/12/2023 15:56

There have been late reported trades over the last few days. Some of quite a reasonable size.

Cheers

[mesquida] 23/12/2023 12:31

Because they were actually executed the day before.

[empoggio] 23/12/2023 10:59

The last 3 trades yesterday:

100,000 @ 23p
209,700 @ 21.81p
250,000 @ 22p

have not been included in the day's 'volume' column, nor in the '?' column.

Any comments as to why?

[slicethepie] 22/12/2023 21:34

Your pie in the sky is called a low earth satellite, stick to sweeping the carpark and not looking in the windows of the offices!

[estienne] 22/12/2023 19:02

The Filtronic company of today is what remains of the Filtronic of yesterday taken over by Teledyne in 2008. What is left has survived by providing a useful service in a niche area to a large defence contractor and produces a small number of specialised components for telecoms but its revenue is in no way attractive So today there is nothing much worth taking over and its pie in the sky to speculate that it will.

[donald pond] 22/12/2023 10:05

I think it gets taken over. It surely offers great synergy for global players in the defence and space industries.

[bazworth] 22/12/2023 09:58

eigthwonder, agreed!

Let's see what news is announced over the next twelve months or so. I certainly don't expect miracles but, having said that, from everything I've read (RNS's etc.), I see a company that is undergoing a substantial positive transformation.

Cheers & best wishes to all for Christmas & the New Year!!

[eigthwonder] 22/12/2023 09:13

ah TAM.....the graveyard of many a good tech idea. At this point I could wander off in a "when I met David Rhodes when FTC floated...." monologue about FTC's TAM in those days when world domination was on the horizon but that would be churlish. As noted, I own the shares (pre Mello FWIW) and I hope things develop as the company and other shareholders do. But let's just keep our heads - it won't be a straight run and at some point the share price will likely incorporate more than enough good news.

[wisecat2] 22/12/2023 08:33

Slicethepie is dead right. Mello was a great presentation on how quickly things are changing and how vast the TAM is

[wisecat2] 22/12/2023 08:29

Eigthblunder. I haven’t read the notes I don’t seem to have researched anything but I am happy to make it up as I go along. So listen it’s going up

Thanks for your input

[eigthwonder] 22/12/2023 08:25

I’m not knocking the company - I have shares- but let’s face it, its entire history as a listed company has been one long rollercoaster. I would observe that after the first contract Edison - purveyors of “research “ paid for by client companies (as is the way these days) didn’t increase estimates. They could be storing up the upgrade (especially after the second contract) but it also suggests that some element was in their (and by implication the company’s) forecast - which was the implication behind Bazzer’s contribution. Like all my investments, I hope for the best but for this share more than many, a steady delivery rather than ups and downs would be welcome

[slicethepie] 22/12/2023 08:07

Perhaps you should do a bit more research before drawing any conclusions such as listening to the mello presentation .....

[eigthwonder] 22/12/2023 07:18

I haven’t seen the notes but it depends how many contract wins were assumed in making the 24 and 25 forecasts. Given the headline rating isn’t low it could be that some of the forecast growth was assumed to be higher margin and the wins were already “in the price” and the shares “shouldn’;t” have risen as much as they have. That’s the rational expectations approach; but, hey, this the stock market and when you’re on a roll and finding favour all news is good news.

[wisecat2] 22/12/2023 06:43

We have interims first week Feb, a good time for a clearer outlook.

[bazworth] 21/12/2023 23:21

What do others think?

From my recollection, the Brokers set a 25p price target well before this week when we have seen circa £9-£10M of new contracts being announced. I would think that the current financial year, ending May 24, is very well underpinned and the year-ending May 25 is looking good too.

My understanding too is that much of the newer contract work will produce a higher profit margin than previous contracts. Therefore (only in my view) the broker's numbers are conservative.

I'm hoping to see a ramp-up in the space related work and this should feed to a healthy growth in profits. If CY 2024 sees a good number of positive space-related announcements then I hope that we will be 'off to the races'! Filtronic have already made the capital expenditure that will accommodate future growth.

In summary, from watching FTC over many years (and being invested for numerous years), my view is that there is an excellent transformation taking place. I hope to see a share price of something far greater than 25p.

I have no expertise whatsoever and this is only my interpretation!!

Cheers

[boystown] 21/12/2023 17:51

Bit of a write-up from Mark Watson Mitchell on Small Cap Investor FWIW:

------------------

Filtronic (LON:FTC) – New Defence Contract Wins Really Points Way
This group is involved in the design, developing, manufacturing and selling of advanced radio frequency communications equipment.

Based in Sedgefield, the £49m capitalised company, which employs some 125 people, operates in the UK, European and in the markets of the Americas.

Over the years it has developed a track record of delivering high-reliability RF components, hybrids, multichip modules and sub-systems for particularly demanding aerospace and defence applications.

The group in the year to end May 2023 reported total revenues of just £16.3m, upon which it made a £0.1m adjusted pre-tax profit.

On Tuesday morning the group announced that it had secured a major new contract worth £4.5m which should get underway in the final quarter of next year.

With Tuesday’s contract announcement, CEO Richard Gibbs stated that:

“We have been working closely with the new customer over several years and this contract win represents a successful collaboration between the MoD, the customer, Filtronic and PRFI, a leading UK-based technical design consultancy providing monolithic microwave integrated circuits services.

It is yet another example of Filtronic’s ability to support the UK Defence Industry with a sovereign supply chain for advanced semiconductor packaging solutions that are optimised for both thermal and radio frequency performance.”

But the good news keeps on flowing – just like London buses, nothing for a while then coming one after another, out yesterday came a second announcement of a big contract win.

This time worth £4.8m, the company has declared a new contract with a leading global provider of low earth orbit satellite communications equipment.

Upon this piece of news CEO Richard Gibbs stated that:

“We are delighted to continue our partnership with the leading global provider of LEO satellites and are pleased to supply production volumes of the Cerus32 SSPA module for deployment in its ground station antenna network.

The customer has always valued the flexibility of the Cerus32 design, and with this new contract is keen to take advantage of the scalable form factor and the additional power our second-generation E-band product provides.”

Estimates for the current year suggest that sales will increase 25% to £20.5m, while its profits will catapult to £0.8m (£0.1m), worth 0.3p (0.2p) per share in earnings.

Analysts Kimberley Carstens and Michael Hill at Cavendish Capital are bullish about the group’s shares, looking for 25p in due course.

For the year to end May 2025 they have estimates out for £22.6m sales, £1.4m profits and 0.6p per share in earnings.

Over at Edison Investment Research their analysts Don Ridsdale and Katherine Thompson are looking for current year’s £20.7m sales to hit £0.7m profits, worth 0.32p in earnings.

For 2025 they see £22.7m revenues and £1.2m profits helping to kick in earnings of 0.56p per share.

After having touched 24p at one stage yesterday, the group’s shares closed last night at around the 22.5p level, after more than four times the average daily dealing volume at 2.11m transacted.

That still leaves more upside to be achieved within the next few months.

The Interim Results to end November are due to be announced on Tuesday 6th February, by which time the shares could well have easily climbed over the Cavendish Capital Price Objective.

-------------------

"Analysts Kimberley Carstens and Michael Hill at Cavendish Capital are bullish about the group’s shares, looking for 25p in due course. "Due course" is vague. Personally, I'm hoping for substantially more over a long-ish period of 5 years or more. What do others think?

[bazworth] 20/12/2023 19:55

Healthy share volume today + a number of delayed trades from yesterday.

More folk watching Filtronic than I had imagined.

Hopefully a stunning 2024 to come!!

[finimps] 20/12/2023 09:34

Edison Group wrote this yesterday...
"Filtronic’s £4.5m contract with a UK defence supplier is its largest for more than five years and indicative of its improving momentum in the traditional defence market, on top of the exciting progress in the space sector. As the bulk of revenues from the deal will be spread across FY25 and FY26, we are not changing our estimates but believe they look increasingly well underpinned. The company’s rating is now starting to factor in an acceleration in growth and margin expansion. With continuing strong execution, we believe that it is more than capable of delivering this – demand for high-end radio frequency (RF) is growing and Filtronic has rare capabilities in the field, while incremental revenue growth should drop strongly through to margins."

[volsung] 20/12/2023 08:32

Bought a few
Haven’t been in these since 2017 when just about this time of year they slumped drastically just before I went on a break to Tenerife
Hope for better luck this time

[mesquida] 20/12/2023 08:16

Best I get up early tomorrow then Wisecat !