Iqe Share Discussion Threads

[buywell3] 24/6/2019 11:32

buywell thinks that the NASDAQ is now running on fumes

FAANG and Tech stocks to get clobbered once again very soon IMO

[blueflame] 24/6/2019 11:32

Sadly I have sold a fair few this morning and Friday afternoon. Drew has no visibility whatsoever. I fear a fund raise coming and it will be at a discount to the current share price imo. I still feel IQE will have a great future eventually but the short term risk for me has become too great. GLA.

[lord loads of lolly] 24/6/2019 11:30

Sure, IQE's recent guidance has often been of the 'man with a white stick variety'. However, they do say "Active management of all cashflows will ensure the company remains within the limits of its current revolving credit facility in 2019." So assuming they've any credibility left, talk of any imminent cash call would seem premature.

[grity] 24/6/2019 11:25

If they’ve got 90% of the outsourced wafer market now ( pie in the sky imho) the margins must be rock bottom. Even if they doubled out put here share price would only reach £1. Doubling out put is highly unlikely for a long time ,

Can’t throw good money after bad , just sold short of 1/4 million.
GLA.

[r9505571] 24/6/2019 11:24

As Apples profit slows, the only way to combat that is vertical integration so IQE is now a real take over target!

[regasclockwork] 24/6/2019 11:22

Quoinit - 12 Jun 2019 - 06:53:42 - 26537 of 26818

"My guess and it's only that only that , is a move to full listmg, consolidation of shares 2:1 and a fund raise from another placement could be on the cards." -End-

17 Jun 2019 - 22:47:59 - 26598 of 26818

"Cotswold, thanks, you're right , well just ignore regas" -End-

Quoinit23 Jun '19 - 15:40 - 26800 of 26816

"Regas- I predicted that a few weeks ago which you made light of at the time but now seem to be backing it. -End-

Hi nit, I questioned your 'guess' at a 2:1 consolidation - nothing more. Obviously the move to the main market is now 'on hold'. A fund raise/placement at 25p to 30p? What 's your 'guess'?

By the way, you seem to have ignored CotswoldSparky's 'advice' to ignore me. He won't be best pleased with you. Or are you just having a quick peep from behind the curtains? LOL!

[r9505571] 24/6/2019 11:21

Smartphone ownership is growing rapidly around the world! https://www.pewresearch.org/global/2019/02/05/smartphone-ownership-is-growing-rapidly-around-the-world-but-not-always-equally/

[1mthead] 24/6/2019 11:09

And if shorts are closing, that may be the only thing keeping the shares above 50p (just).

[sf5] 24/6/2019 10:54

One thing about Friday's announcement (and possibly other recent ones) was the multiple use of the words "well placed". Essentially that's just aspiration / wishful thinking, until clear signs of concrete orders. Still bemuses me that that leased this huge factory with space for 100 reactors when currently they're producing from just 5 or so. Hard to see where some 20x increase in demand is ever going to come from.

I'm sure we're all aware of the 75% plunge in NANO on Friday, but comments on TechMarketView's daily email this morning hammer home the downside of having APPL as a major customer "But I do realise the ‘issues’. Last week IQE shares crashed as a direct result of the Huawei debacle. On Friday Apple (well, it isn’t confirmed as the culprit..) cancelled a multi-million contract with Nanoco (think next gen cameras for smartphones). This follows on the heels of Apple suddenly pulling the plug on Wolfson, Volex and Imagination."

[bocase] 24/6/2019 10:52

Yes there is no doubt the likelihood of an opportunist bid has increased dramatically and it could come at any time. Even murmurs and rumours could send us quickly back above 70p pre-offer, and for that reason I would not like to be out but continue to hold.

[tomyumgoong] 24/6/2019 10:52

If I remember rightly there's still a gap to fill at around 35p........!

[1mthead] 24/6/2019 10:50

Thanks. Bought my main wedge at 35p but bought many higher, so not without pain, but not calamitous. I reckon my portfolio can absorb this within a year. And I may be back, but I'll need some convincing of the long term outlook.

[tomduck] 24/6/2019 10:47

Look forward to some feedback from those “attendingR21; this week, no doubt there will be some serious questions asked, clarification sought...

We must remember these problems are not IQE specific but the whole sector, this is not IQE failing to execute but market conditions out of their control, although I understand why some may be jittery.

No doubt in my mind that these issues will only increase barriers to entry and what IQE produce will still be in ever increasing demand in the future. I suspect just like IMG there will be a buy out offer at less than I was looking for a while back but I would suggest IQE are not in a strong position to turn down a £1 offer any longer (if SE Asia comes calling).

[bulltradept] 24/6/2019 10:30

1mthead, I hope you got out with a profit, but if not, I am thinking you have done the right thing. Companies aren't built on nice words but results.

[1mthead] 24/6/2019 10:27

That's me out. 260k. Not arsing around with this until they can demonstrate that they have a good order book and machines running. And that seems impossible for them to do. "Two new qualifications in H2 2019" and "cautiously optimistic" doesn't convince me there will be any significant revenue coming in. And the expenditure needs to continue or they don't equip the up the new fab - no growth without expenditure. I was a ltbh but I agree with the some of the negs on here. The PE is high for the non-growth company it has become again. If it comes in at the low end this year, plus sketchy outlook, plus cost cutting, etc etc, - heard it all before - this will be hammered. Not taking the risk.

[wattene] 24/6/2019 10:11

T Rowe increase their holding to 13% whilst reducing the shares on loan 21/06/19.

[suffersnofools] 24/6/2019 10:07

This is true Bocase but the problem is that they will have p1ssed off the city now at a time when they likely need cash. There will be a price to pay for that. Long term story remains intact but short term i think further pain.

[bulltradept] 24/6/2019 10:03

So given what we now know, what price a cash raise I wonder? 30p? Anyone...?

[sf5] 24/6/2019 09:48

Tom Winnifroth reckons a cash call is a dead cert. I don't pay to subscribe - can anyone share his article? Short Tracker isn't showing any reduction in reported shorts despite > 52m trades on Black Friday - or is there a couple of days' delay in their reporting?

[bocase] 24/6/2019 09:40

Trump's idiotic policies have merely disrupted the supply chain not destroyed the massively expanding market.

Worth remembering that.

The investment case has not changed here except for a slight delay in timescales and of course the opportunity to buy in cheaper.

[s34icknote] 24/6/2019 09:23

This traded about 12p-45p for many years before soaring on hope .The eps in them days was twice what it is today !Valuations were thrown out the window.Sicknote

[cheek212] 24/6/2019 09:19

Rowe have increased more but shares on loan down by circa 5m

[augustusgloop] 24/6/2019 08:58

PE now down below 400.

Incredibly cheap - for a company that hasn't grown its true (unadjusted) EPS for 4 years.

Where else can you find a non-growth company on a PE of less than 400?

[r9505571] 24/6/2019 08:42

Seems to be working fine