Iqe Share Discussion Threads

[snaffleclamp] 13/8/2022 15:34

August 9, 2022 hTtps://www.eejournal.com/article/ive-been-captivated-by-compound-semiconductors/

[dnomyar] 13/8/2022 09:04

10/11/2017 8:49am Alliance News Shares rose in IQE PLC after it said on Friday it has raised GBP95.0 million through the placing of 67.9 million shares at a price of 140 pence...

[lord loads of lolly] 13/8/2022 08:41

Still a far cry from previous peak short levels though.

[guildedge] 12/8/2022 20:13

For those still following IQE shorts. ActusRayPartners Limited now have a 0.5% short in IQE. Total shorts in IQE at 1.32. (Those above 0.5%) This might also explain the drop from 45p too.

[lord loads of lolly] 12/8/2022 15:39

Those were only really the days if you sold - not so much for investors! Particularly any buying in for the first time at 140p.

[thereptile] 12/8/2022 14:34

Yes bing. I fondly recall the placing at 140p Aah those were the days

[lord loads of lolly] 12/8/2022 11:47

smorales - agreed - nothing to see here. On 22 July 2019, IQE appointed Peel Hunt as its NOMAD & Citigroup as joint Corporate Broker. So presumably a routine review three years later led them to replace Citigroup with Numis.

[crosswires] 12/8/2022 11:45

Agreed it may be nothing, certainly wouldn’t make me sell my shares like the original poster this morning did ;)

[smorales] 12/8/2022 11:36

Don't get too excited - seems to me this announcement is simply a change of Joint Broker, with Numis replacing Citigroup Global Markets Ltd.

[bing_b] 12/8/2022 10:42

Given the 'success' of the last placing, any future placing would have to be extremely well justified .... 😎 (you would hope!)

[crosswires] 12/8/2022 10:14

It doesn’t necessarily follow that the share price will fall notably if any placing was priced just under the market price. However the market will want to see proof that the expansion is met by demand in the form of some more partnerships for example. In such a case it could be a positive for the share. Let’s see if that’s what is happening first though

[longtallsally] 12/8/2022 10:12

Well the grand plans that Americo has will have to paid somehow and as TomDuck said yesterday it won’t be via the government. IQE will have to raise funds via a placing and other avenues should it wish to expand rapidly as opposed to organically.

[cardiffian] 12/8/2022 09:50

Usually a placing, that's why I sold this morning.

[kilgallp] 12/8/2022 09:34

Please forgive my ignorance, but what are the implications of adding a joint broker?

[tomduck] 11/8/2022 10:26

I would suggest it’s extremely important to hear how Americo plans to grow the production exponentially, and pay for it, as then, and only then will investors know how credible it is. My timeline for hearing this is the March ‘23 update. We should expect some more partnership and tool announcements by then if it is going to be happening in ‘24 and if we don’t get such news no amount of sector news will help the IQE share price The macroeconomic environment is poor BUT the american stock market in particular is want to ignore it and may well come through this period with the early July lows as the bottom. At the end of the day IQEs success is in their own hands, as I don’t see the UK GOV coming up with anything like the sums that Americo is suggesting they need to support the industry. This is not the USA and there will be no CHIPS act, they are far too busy scrambling around fudging everything else and will be for the foreseeable… I’ve not given up on them but time is ticking, and I won’t remain here past next March unless there are some concrete signs of progress.

[lord loads of lolly] 11/8/2022 09:17

sweenoid - it's not that we don't like more positive sector news. Just that IQE has singularly failed to benefit from it to date. So forgive us for remaining sceptical, but unless Americo can radically change course (which I'm hopeful ultimately he can), IQE will continue to make losses. Which for a "growth" company on a high P/E would mean even the current share price was way too high. Let's hope our faith in Americo is justified...

[bing_b] 11/8/2022 09:14

IQE is all about the future. Particularly with regard to its photonics products. Anybody not interested in 'potentially positive news' is clearly invested in the wrong company. Keep on posting Sweenoid 😀

[crosswires] 11/8/2022 08:35

Guildedge the worry is that it could take quite some time for the plan of “much higher production” to materialise. I suspect 2024 is the first year when they may be able to grow revenue and profits over single digits (and all of this over the current low base). It will be interesting to hear what Anerico has to say about foreard guidance in Sept (and the share price for the next 6 months will be dependent on this). If we have any hope of getting this share price back to £1+ it will take a significant turn around.

[sf5] 10/8/2022 18:23

Slightly off-topic, but David Stevenson's long email this morning has this interesting snippet. I suspect most would agree that IQE fails on the first three criteria (arguably negative pricing power sometimes) but might sneak in under the 4th and 5th: ''2. How to find a quality stock One of the great debates in investing has been about how you actually define a quality growth stock, especially in an inflationary world - and then use the right measures to screen through the market. Do you use conventional measures like earnings growth and the balance sheet strength or do you use more focused, nuanced, proprietary metrics? As part of this debate, I thought it worth highlighting what Stuart Gray, a Senior Director of Investments at Willis Towers Watson and co-Portfolio Manager of Alliance Trust, reckons are five key fundamentals that underpin an ‘attractive217; quality stock in our higher inflation world. These are: 1. Low Capital Intensity, ie companies that do not require a lot of capital to grow and are not burdened by rising debt service costs. An example would be US financial software provider, Intuit. 2. Pricing Power, companies that supply goods or services that are mission critical to their customers or those with a sticky customer base. Aerospace manufacture Transdigm, fits this bill. 3. Transaction-Based Revenue, where a company charges transaction fees as a percentage of the goods sold. Their revenues should rise as prices of the underlying goods rise. A company meeting these criteria is Visa. 4. Customer Efficiency Boost, ie products or services that boost efficiency for the customer. As everyone tries to cut costs, demand for these products and services may rise. US cloud-based software provider Salesforce is a good example. 5. Secular Growth, ie long term transitions that offsets cyclical trends such as digitisation, shift to cloud based systems, demographic trends etc, and here we can example, Argentinian online platform, Mercadolibre PS I've no objection to sweenoid continuing to post about new opportunities though we should never forget these are typically years into the future and some may not come off at all. Sorry to keep harping back to this, but whatever happened to those world-changing HAMR discs he was so excited about 3 years ago? When I last looked, I saw next to no mention on Seagate's website. Still gestating, or rendered obsolete by advances in SSDs? Fully accept that not every 'breakthrough' proves commercial but I imagine IQE must have put some heft into the concept.

[guildedge] 10/8/2022 17:25

Have to admire your belief in this firm Sweenoid. Think we all knew at start of year this was not a 6 month turnaround story. Most thought 12M. Still think 2024 till we start seeing any decent profits. From forecasts we know next year is already forecast as a small loss. At their AGM questions they pretty much admit their set up is geared for much higher production. If they get the big orders here and start using all the floor space/tools they have their is no reason why IQE can't be making decent profit here. They are 15-20m short revenue wise to break even. Least the share price reached some kind of floor today.

[sweenoid] 10/8/2022 16:53

More customer/ partner and market ‘news’ even if it’s for the future. If you don’t like these posts or think they are irrelevant then move on! I am the messenger here, if IQE can’t generate revenues from increasing markets like microleds ( Porotech)and successful partners it’s a management failure and yes I buy that, I bet under new leadership they do So even if some don’t like it I will continue to highlight potentially positive news 😂, you might not like what you get in life but for me I am determined to like what I get 😉, otherwise I would be OUT. hTtps://www.semiconductor-today.com/news_items/2022/aug/trendforce-100822.shtml S

[bing_b] 10/8/2022 10:37

I suspect the China / Taiwan issue is also playing a more specific part at the moment given IQE's presence in Taiwan ....

[guildedge] 10/8/2022 08:35

From what I can tell a lot of the rise to 45p was shorts clearing. Spreadex reducing and nearly 4m cleared elsewhere by a short position shown on the US short tracking site dated at time of IQE peak. Maybe the shorters are entering back in at these higher prices?

[fuji99] 10/8/2022 08:18

I was not writing specifically about IQE but about the market as a whole. I just cannot see any positive indication we will have a healthy economy due to inflation affecting consumption and particularly geopolitical issues in both Ukraine and Taiwan. I agree with LongTallSally that profit warnings will start after summer - in the last quarter - because growth cannot be generated if consumers vanish. This will then be like a domino effect and will spread to every industry. I cannot see IQE or any other company prospering in the midst of a recession. My own view of course.