Iqe Share Discussion Threads

[poombear] 24/3/2017 17:40

N1+Singer note

Register here and can download.

[pugugly] 24/3/2017 17:37

poombear: Source please ?

[poombear] 24/3/2017 16:43

This is something I wasn't aware of.

Full service DFB lasers Indium Phosphide (InP) technology makes up c.50% of IQE’s current Photonics revenue. The majority of this is sales of Distributed Feedback (DFB) lasers. IQE has developed Nanoimprint Lithography (NIL) technology which will allow the group to complete the DFB laser fabrication process in house. Selling “full service” lasers is likely to deliver a 2-3x uplift in value to IQE. We understand that the value uplift will also come at a higher margin as the NIL process does not add a significant amount of cost. Management believes that the majority of the group’s DFB laser sales will transition to full service laser sales. We estimate that this could add an extra £10 - £20m of high margin revenue to the group. At the higher end this is almost equal to total Photonics wafer revenue in FY’16

[rogerrail] 24/3/2017 16:42

Apologies as O/T but if any fellow IQE holders are thinking on reinvesting some of their gains in another "unloved under the radar" share , you could do worse than taking a look at HAYT.

In short, a hole in the order pipeline which is quickly being corrected together with a misjudgment by the CEO in dealing with a relatively moderate short term credit facility, has lead to the share price bombing. We are all human and even Drew has made mistakes but now come good, look at he investment in SJ, so one can forgive this when decent profits are in sight. As always DYOR and there is no guarantee the share price wont drift further.

I wont mention it again!

[rogerrail] 24/3/2017 16:31

As I pointed out before, the Capex spend tells the story, a manufacturer this size would not have spent £19.1m if it was not backed by a secured revenue stream , and in that respect the iphone8 is the the most likely cause, as has been indicated, the margins on VCELS are lucrative.



"anyway I think the numbers are incredibly exciting…..a good enough bet that we are spending a lot of money on facility expansion. We're spending money to hire people…' and he went on to say 'finally we are adding capacity over the next couple of quarters in our VCSEL laser FAB in Allen, Texas. This will enable us to pursue several new consumer applications for 3D sensing."

no doubt a share that was for along time under the radar and generally unloved is starting to get exposure stateside, hence the share price rise.

[twatcher] 24/3/2017 16:10

...never heard of it..... ;)

[hexode] 24/3/2017 16:10

This has always been an exciting stock. Can remember buying at £1.00 and selling at £1.95 during the dot com boom back in 2001. Does any body remember Video Logic now Imagination Technology; another roller coaster. Buy on the crashes and sell on the highs. Sold a little of my substantial holding in IQE today. Leave it for a year and have another look. Its great trading with a stock that stands in at zero in your portfolio. Patience is the name of the game.

[richardc77] 24/3/2017 15:39

The great thing for me is, despite this magnificent share price rise the P/E is still very reasonable (low for a tech company with growth story). Even Unilever has a P/E of 25...

[lucas5950] 24/3/2017 15:24

wow so the share price has done exceptionally well. I didn't think it would on the results but i was wrong. Well done to those who stayed in.

[yump] 24/3/2017 15:08

Monty9

Pi's are fickle and I can't see that changing any time soon. It may be that suddenly everyone started to like IQE all at once, having all thought it was a dog when the share price was depressed - rampant enthusiasm does happen, but this is one heck of a lot of money - its not a little stock being pumped.

Tend to agree with you that the rise is evidence of stake building. If there are a few parties involved, the 3% wouldn't necessarily be crossed to warrant RNS's. Stakebuilding might not of course be by a potential acquirer. Funds have been known to build, on the basis that an actual bid might appear.

The company has not changed that much, so something else has.

Its possible of course, that the price was deliberately being depressed previously to give an opportunity for stake-building. People who don't think that happens must be the same folk who leave their doors open for burglars.

[deepe] 24/3/2017 14:21

60p achieved. Maybe it is just Ennismore desperately trying to cover their short.

[mirabeau] 24/3/2017 14:15

The order book is stonking:

799k (50) v 279k (18)

[poombear] 24/3/2017 14:12

I would recommend anyone who hasn't, to sign up to research tree and read the 7 page note from N1+Singer especially page 4. It's free to register btw.

[someuwin] 24/3/2017 14:06

Excellent moves.

[mirabeau] 24/3/2017 14:01

Is this a takeover?

[twatcher] 24/3/2017 14:00

Dave,
"FWIW Have now raised my MINIMUM PRICE TO sell a single share from 65p to 75p, chart shows we have clear skies to 65p"

The chart shows clear sky, period. Other than the beginning of the week, the share price hasn't been north of 50p for 15+ year.

[sweenoid] 24/3/2017 11:43

couldn't resist posting this link courtesy of JamesRowe on the IMG board, commentry is me.

ANYTHING that increases the complexity of smartphones and increases differentiation and innovation is majorly good news for IQE, as it increases the demand for compound semiconductor materials ( which is what we do).

The big daddy that will really push out the BOM (bill of materials for OEM's) and hence IQE profits will be AR (Augmented reality- VR- virtual reality is important too but nowhere as big as AR.

Now where Apple go, everyone else follows so this is nice



whatever Apple comes up with in the next iteration of iPhone has simply got to be a step-change in innovation , simple minor upgrade cycles will not suffice, this is very good news for us indeed- whatever it is ;-)

Have a good weekend
S

[grity] 24/3/2017 10:43

This is going to a £ by year end at this rate ,
Not even thinking of selling this ones a KEEPER
As the good Dr said .
Sheepy you keep saying come back in 10 years
What's your target by then?

[spursspurs] 24/3/2017 10:39

Think best to listen to facts and your own needs regarding money! Agree with Sweenoid have also raised my minimum to 75p although i am seeing a £ :)

[spursspurs] 24/3/2017 10:27

Hmmm glad to say i took the risk and stayed in :) always better to listen to yourself and facts!

[kilgallp] 24/3/2017 10:26

Well I got that wrong. Sold a quarter of my holding yesterday to lock in some profit. I was expecting a retrace, (not to 40p, as someone on here suggested). Should they drop to any extent I'll buy back.

[amt] 24/3/2017 10:12

After years of dissapointment have made a good return here. Not in the dame league as Sweenoid I am sure but some pocket money at least.

[richardc77] 24/3/2017 09:45

A high P/E? Really? You clearly don't invest in growth tech shares...;)

[lw425] 24/3/2017 09:41

yes i get the 19.1m in capital investment but the reality is cash only increased by about 500k.

you can't keep doing that and expect a lofty PE.

will it be the same this year..... capital investment?

nothing has actually changed since 18p really......