Iqe Share Discussion Threads

[indiestu] 04/11/2024 12:39

The global autonomous car market size was valued at USD 1.88 billion in 2023. The market is projected to grow from USD 2.30 billion in 2024 to USD 38.78 billion by 2032, exhibiting a CAGR of 42.3% during the forecast period.

Source:

Putting aside the ups and downs, disappointments and false starts at IQE, growth in the autonomous vehicle market may just present IQE with the opportunity to shine.

[indiestu] 04/11/2024 12:15

A thread to explore and share research relating to the Autonomous Vehicle Industry and the part IQE is poised to play in this near future explosive growth sector.

[longtallsally] 04/11/2024 12:09

Interestingly Wolfspeed got a $750m grant last month which saw the share price gain 40-50% (although some of that has disappeared since). I think the point is that the local council has to stump up an amount and agree before the Chips Act grants can come into play “legally”;.

However i’m not saying that’s what’s happening, i think it’s more likely a case of 1+1 equaling 3.

[lord loads of lolly] 04/11/2024 11:26

crosswires - having read all the links smorales gave, it appears IQE might be in for some funds. But "only" $2,618,623 rather than the far higher figure bandied around previously.

Assuming The Rhino Times of Greensboro can be trusted:

"The code name for the project is “Project Electro,” and the clearly very rich company is asking for $2,618,623 from Guilford County taxpayers, which the Guilford County Board of Commissioners will award to the company immediately after the public hearing, no matter what anyone says at the hearing.

That’s because every time a proposed project of this sort gets to this stage in the process – as a public hearing on the agenda of the Board of Commissioners – it is already a done deal."

Their "clearly very rich" comment above makes me question the whole thing. Also, quite where they'd find $305m to fund Project Electro is a total mystery, given the current state of our finances. The Rhino Times also claims:

"The mystery company is also requesting additional incentives from the state and from the City of Greensboro, which will also give them what they ask."

Either way, we should know by the end of the week, as the public hearing is apparently scheduled for 5.30pm US-time on 7th November.

[crosswires] 04/11/2024 08:32

Sadly I think it’s a red herring, if there was any truth in such a massive grant (or if it was even a possibility) the share price would have spiked significantly as someone somewhere would know before us and bought significantly.

[lord loads of lolly] 03/11/2024 23:10

provonar & smorales - nice though it would be, I think you’re reading way too much into what is probably just a highly speculative grant application. You know the sort of thing. We’ll invest lots into the local economy if you give us a big upfront bung. Oh, and we may change our mind after your van has pulled up & deposited a shedload of brown paper bags outside our premises, stuffed full of unmarked notes.

The figure mentioned ($305 million million) is quite clearly wrong and to deduce that they’ve been awarded ANY Chips Act funding is just pure speculation at this stage.

In terms of provonar’s “wild speculation” about Lemos’ departure, options 1-3 all seem possible. Option 4 not, as he left under a cloud and would have been thanked if his exit was purely for personal reasons.

My guess is that either Lombard Odius (sic) lost patience & staged a revolt, ousting Lemos. Or that he was offered an irresistible “golden hello again” from GF - possibly after leaking sensitive info/IP back to them & was unceremoniously shown the door.

I must stress that both scenarios are pure speculation. Which is sadly all shareholders can do when the Board leaves us woefully in the dark, neglecting its basic obligation of keeping us properly informed. Let’s hope they soon issue a more enlightening RNS, which also advises whether previous FY guidance remains on track.

[hutchmeister] 03/11/2024 21:39

Very Interesting. Anyone planning to go to the public hearing on Thursday? Meeting is on the second floor of the Old Guilford County Court House at 301 W. Market St. in Greensboro. Little bit too far away for me.

[boboty] 03/11/2024 21:13

Gosh how exciting - I hope it's a thing.

[indiestu] 03/11/2024 18:21

That's top investigative research and lateral thinking smorales and provonar. Thank you for your input. There is never a dull moment with IQE.

[alotto] 03/11/2024 16:12

By the Occam's razor we know what that is.

[longtallsally] 03/11/2024 16:10

I mean it’s hard to believe IQE could receive over two times their market cap from the USA in grants, and it certainly hasn’t been confirmed and i remain doubtful but if it is then wow… 👀

The Americo departure would cast some doubt on that happening because it was his plan to go heavy on the Chips Act and I don’t see why he would leave or be asked to leave so suddenly if he was about to be proved successful. However it’s pointless wondering because there are potentially many reasons why he departed and only one is correct!

[provonar] 03/11/2024 15:22

Smorales,

Thanks, that's a very interesting find.

There is only one semiconductor firm on Gallimore Dairy Road, as far as I can see, and the descriptive wording obviously sounds like IQE.

The "$305,000,000 million" looks like a typo, so I expect it's $305M. The 'personal property investment' looks like the distinction between fixed and moveable property - so this would be for investment in tools and other movable hardware to support the productino process, absolutely in-line with an expansion of epiwafer production to support GaN expansion for power applications.

I was initially thinking the use of the term 'personal' meant the investment was private, but this doesn't look like the case - it's just a descriptor of the property that would be developed. So, indeed, given the amount (that IQE does not have), it looks like this is CHIPS act funding. I've checked the grants awarded so far ( and this one doesn't appear there - but this doesn't mean it's not in the pipeline. The only announced award in NC is for Wolfspeed for SiC wafer production expansion in Siler City, which is just down the road from Greensboro.

Considering there has been $33B of grants and $28B in loans from the CHIPS act so far, this kind of amount is well within the realms of possibility.

I'm not sure why IQE are being so cagey about being identified - possibly to avoid any undue local attention for getting a county hand-out, possibly to avoid notifying the competition, possibly because it's just the way a lot of businesses make this kind of local application for development incentives.

Additionally, the size of this award would mean that IQE is duty-bound to make a market announcement - but they are possibly waiting for it to be confirmed (which is why the 'does not commit' statement is in there - getting the local incentive is one thing, sealing the deal on the national CHIPS grant is something else).

It makes the departure of Mr. Lemos even more strange, if they had visibility of this coming down the tracks. Wild speculation of the options are:
1. He was poached by one of the bigger fish, possibly even back to Global Foundries to help with their planned expansion;
2. There's been yet another Boardroom rift and the funds have lost patience with the pace of the realignment of IQE;
3. Some impropriety that gave the Board no choice - Mr. Lemos doesn't come across as that kind of guy, but you never know;
4. Some personal matter of such life-changing significance that Mr. Lemos decided to step back.

Hopefully things will be cleared up asap and this possible CHIPS award can be confirmed.

[lord loads of lolly] 02/11/2024 20:49

smorales - “expected to generate approximately $305,000,000 million in personal property investment”.

Is someone pulling their Pilsner?

[alotto] 02/11/2024 18:53

Investing in s company surviving on grants? Nah,I'll pass

[smorales] 02/11/2024 18:28

For "Project Electro" read IQE

This expansion plan may seem somewhat optimistic at the moment, but good to see the company "playing the game" regarding grant applications.

Or could it be that Americo's swift departure was not business related, and that the company has genuine visibilty of the pipeline, and investment is required for a ramp in production in North Carolina? (Obviously said much more in hope than expectation 🙏)







"(Project Electro) is the leading global supplier of compound semiconductor wafer products and advanced material solutions to the global semiconductor industry, is seeking to expand its business and is expected to generate approximately $305,000,000 million in personal property investment in Guilford County and create 109 new full-time jobs by December 21, 2027. The average wage of the jobs is $64,908. The company is considering expansion at its existing Gallimore Dairy Road site, in addition to other options within the United States. The company is also requesting state and other local incentives before making a location decision. The local approval of incentives does not commit the company to locate in North Carolina."

[lpavlou] 01/11/2024 22:50

There is no stakebuilding here. Firing Lemos so suddenly cannot be seen as a positive. He was the last hope for this company to make it big. The losses they are making and will make in the next 2 years need funding. Fully expect a dilutive share offering and then you'll see which shareholders still want to stay on board.

[mw16] 01/11/2024 14:46

Who cares about daily updates. Do you get paid to state the obvious?

[lord loads of lolly] 01/11/2024 14:45

LTS - that feedback will come by mid January at the latest with their usual TU.

Hopefully much sooner though to reassure/reset expectations.

[longtallsally] 01/11/2024 14:21

Tiny volume today, I suspect bouncing back up like in the past from lows won’t be easy, it will need some feedback that things are not dire. What a mess IQE have got themselves into, below book value.

[crosswires] 01/11/2024 08:36

It’s been a long long time since Apple news drove the IQE sp, and so to the rest of the sector . The only thing that will drive the share price upward is the market getting concrete news from the horses mouth that business is not as bad as they imagine (o/n CEO departures always cause less than positive sentiment). It’s hardly surprising by now that investors imagine the worst case with IQE because they have let the market down time and again.

I really hope they issue a TU because otherwise we may stagnate in the 11-14p zone for some time

[boboty] 01/11/2024 02:09

It actually said" performance is expected to be at the lower end of the range of analyst forecasts for the full year1. "And then in a note it gave the analyst forecast as between £130M and £153MThe lowest figure is £130M but you could argue the lower end as any where up to £140M

[guildedge] 31/10/2024 23:53

See if the Apple news is helpful for the share price tomorrow.

Never quite know with the tools. How many are in use and what resale value they really have. It's one reason Paul Scott never liked IQE as it costs millions to invest in all the tools. Then you have to wait years for the ROI.

Need to see if we get any broker updates on Monday. They may value the share at 45p
to 55p but that may be based on the old forecast.

You would think they are still hitting the minimum revenue targets here. If they are only 2-3m off the revenue expected i doubt they would do a TU. If they have lost 10-15m in revenue I would expect an RNS. I think the RNS about the CEO leaving would of said something.

It's only been 50 or so days since the H1 results. I doubt much has changed.

I had a look at the IQE OTC trades page and there seem to be very few trades on it.

[lord loads of lolly] 31/10/2024 22:55

Lower end of analysts’ revenue forecasts = £130m.

And companies aren’t necessarily obliged to report the loss of a major customer straight away. It might only come to light at the next TU.

That said, I suspect we might not be TOO far off the low here. But there are some unknowns still. And markets generally will remain volatile, at least until after the US election result is known (preferably without being disputed).

[lammergeier] 31/10/2024 21:38

Good news from APPLE