Iqe Share Discussion Threads

[boboty] 31/10/2024 21:37

Lts the share price values the company way below net asset value - the machines are valuable and saleable - especially to the USA who are looking to onshore production. So unless iqe want to give them away I can't see the price dropping any more. Why don't you stick to the facts - we have had no indication that we are not on target to hit the low end of expectation for sales - that is between £132 M and £165M (can't remember exactly). Further if there was a material change in expectation or we lost a customer the directors would be duty bound to let us know.

[longtallsally] 31/10/2024 16:38

I think until the dust settles the only thing that will cause a meaningful spike up in the share price is an RNS that says IQE will still hit lower end of estimates this year (£130m). It may be that doesn’t come until a December TU but if the revenue is coming much lower which would cause a big fund raise then I guess a lower share price is possible as hard as that is to compute given we were at mid 30s not long ago.

Given where the share price is I would think IQE would issue something that calms investors and a lack of anything is possibly counter productive if £130m will be hit this year.

[master rsi] 31/10/2024 15:46

As it reached 2 p.m., the time the US opened for quotations, IQE was sold on the OTC market as the DOW finally opened over 400 points lower.

[guildedge] 31/10/2024 15:32

It's pretty clear the buyer/seller (If the same ones) are not done here. This morning was a mini break from that.

If you think 12p is good value you need to make that choice based on facts. Not because someone comes on a forum and suggests the price has stabilzed for a few hours.

RSI did this when the share rose to 19/20p. It's now 12-13p a few weeks later. Anyone who invested at 19p or so has now lost over a 1/3rd of their investment.

He may be good at reading demand for shares on a day to day basis but how much does that really prove unless you look at the big picture. This is a share which keeps giving new lows and pain to investors.

[1adda] 31/10/2024 14:29

Yes what could be informative pita bread rising or falling news just after real time news

[indiestu] 31/10/2024 13:34

LOL. Master Asbo has turned up and will be sure to provide the community with some well researched market analysis and insights into the prospects for IQE, its products and its markets.

[master rsi] 31/10/2024 13:00

if you did not buy then you had 8 minutes to do so, now is up to 12.36 v 12.54p

[master rsi] 31/10/2024 12:50

The stock looks like has stabilise today and some earlier large buys of 100K and 200K

At the moment the spread 12.26 v 12.42p
for sales paying 12.34p up to 50K
Buy need to pay a premium 12.45p on over 15K

[picobird] 31/10/2024 08:40

Interactive Brokers
have increased their rating from BUY to OUTPERFORM
(Dated yesterday)

I think it might be a good idea to bring in ‘trading analysts’ to define markets, products & demand drivers.
A strong CFO will be the way out of this mess.

It was becoming increasing clear that AL did not have the ‘thrust’ to push his policies through or the know how to do so.
He pushed time consuming work onto the CTO, like needing him to request grants (Chips Act 22).

IQE have all the ‘brainpower217; within their present BOD to quickly gain traction & get their credibility back with their customers and future customers.

[lammergeier] 31/10/2024 08:27

If Texas Instruments are doing well ,the challenge for our new management team is
to match them!!

[longtallsally] 31/10/2024 07:55

2018 IQE made an actual reported profit after tax of £1m on revenue of £156m. I think costs must have been very well managed that year because in 2021 a similar revenue led to £31m loss.

Re company getting sold, what is fair value? £150-200m at least I would think.

[guildedge] 30/10/2024 22:30

I have said all along that IQE are set up for a mass production business which is 2--3+ times it's current size. IQE admitted this in a annual meeting.


There is huge scope for cost savings here. So it's not a disaster.

We need to know sales are not falling away. Plus GAN is still arriving in 2025.

It's clear in the short/medium term they don't believe sales will suddenly double or triple.

We need some guidance on when the moneymight run out. Sacking staff is not cheap and we don't know if the Ex CEO was paid off to leave or not. Which could be very costly given his huge salary.

It's encouraging the share price is back at 12.5p. Of course I will not judge that based on one days trading. 2 trades above 1m went through today. It felt like there was a sell order being filled for most of the day.

Need to know if this is a major fund or not and who might be buying all this stock. Over 30-40m shares over last few weeks.

What might IQE look like profit wise if they did slash costs and focused on areas where the money was. How much revenue might this cost to do this?

[tomduck] 30/10/2024 20:30

Odd. Where do I say 12p is overvalued?

It is sad that we have all fallen foul of IQE, I am not immune to poor investment decisions just like pretty much everyone else here, and yes I have a large holding still. The EOY share price guessing game that Crosswires held shows everyone was wrong and some spectacularly wrong even though people here hang on their research. So it highlights all of us were hoodwinked by Lemos, who it appears was out of his depth.

I think there may be some more bad news coming, that would seem to follow on from yesterday’s RNS, CEOs don’t just disappear overnight without some level of failure above and beyond achieving lower revenue.

However I think at these levels and even 18p it represents solid long term value as I believe worst case IQE gets sold to GF, Intel or someone of that ilk if all else fails.

My last post for a while, unless an RNS appears shortly.

[lord loads of lolly] 30/10/2024 19:49

Tomduck - admittedly things have abruptly changed. And an unexpected item in the bagging area has now been unceremoniously removed.

But it wasn’t many months ago you viewed IQE as an out & out bargain anywhere below 30p. And were telling us you’d been adding aggressively anywhere at/below the 18p level. Yet now you seem to be viewing 12p as way too high. That doesn’t seem totally consistent to me, Lemos notwithstanding.

[longtallsally] 30/10/2024 18:59

Imagination Tech was sold for £550m and had similar revenues in 2017 (£145m) albeit with some profits.

I’d settle for that 😉

[tomduck] 30/10/2024 18:10

Indeed H2, question is can IQE now return to a sustainable path of revenue growth, even gentle and get back to profitability. Not easy to see a way through this as I expect even low end of estimates this year may prove harder than investors realise.

[hammerd2] 30/10/2024 17:42

What went wrong is, exactly like IMG, the boss went mad and, in his Apple induced hubris, decided to waste any foreseeable future profits on an unaffordable vanity building which lumbered future generations of the business with unsustainable costs when Apple, inevitably, screwed them and/or their suppliers over.

Any company CEO staking their companies’ future on Apple needs to be stuck in the stocks and showered with rotten vegetables.

[willoicc] 30/10/2024 15:39

When did 10x start to mean 90%?

[lord loads of lolly] 30/10/2024 15:04

LTS - Drew was never commercial. Americo at least had a relevant business background.

Impossible to say now whether he'd have delivered meaningful progress on his 5 year plan to boost revenue & margins significantly. Sure, he hadn't in the first two years and ten months. But that's scarcely more than half way through.

I maintain that something other than just failing to meet targets prompted such an abrupt departure without even the traditional token thank you.

[longtallsally] 30/10/2024 12:05

The long and short of it is that £130m revenue for the global leader selling advanced SC wafers is just too low to support the company in making profits. To be fair even £165 is too low, so it’s not an easy jump. How do they change that? Seems the company themselves don’t have a clear picture, just blindly hoping the volume picks up sufficiently without the margin lowering further isn’t the answer. You could argue that Drew (for all the flack he took) did a better job than Americo, even though Americo was supposed to be strategically important and apparently inherently understood the market and where it was heading. I wonder how much damage he has done in his two years and ten months in charge.

[crosswires] 30/10/2024 10:21

A reminder of the good old days and £1.40+ SP, perhaps someone should do a case study of what went wrong, as it’s hard to see how things could have ended up where we currently are. It was assumed the world would end up with FaceID in everything.

[boboty] 30/10/2024 09:22

Have you really filtered or are you telling a porky.

[mw16] 30/10/2024 09:09

Old news. Nothing to see here. Only new news is that they got rid of a lemon and that is great news.

[crosswires] 30/10/2024 09:06

Agreed, what we don’t want to find out or have the market assume is that IQE no longer see us achieving the lower end of estimates (£130m). If they are still confident of that then the share price would recover to some degree.