Mti Wireless Edge Share Discussion Threads

[envirovision] 09/3/2015 22:13

You trying to sound as though "shareholders" have some sort of control of the situation.

[gb904150] 09/3/2015 22:07

I'm still not sure why this company need $3m in cash sat on the balance sheet.

A couple of years ago they returned some to shareholders by way of a special dividend.

With 51m share in issue, that $3m works out at approx. 4p/share. It should be distributed to shareholders if it isn't being put to good use. MWE has already had the comfort of purchasing their offices which saved $300k/year.

The company is cashflow positive again, has moved on from losing an important customer and appears to winning new orders for the 80Ghz product line.

The surplus cash clearly isn't being valued by the market and nor is the company. The cash isn't being invested or put to good use so why not return it?

MWE needs to start being seen (and valued) as a profitable business and its worth should be a multiple of its revenues - rather than the comfort of its NAV.

Is there any shareholder appetite to push the company to make those assets work a bit harder?

[russman] 20/2/2015 23:56

The majority of ratios suggest value. Apply yourself to the net earnings figure.

[envirovision] 20/2/2015 14:10

Given the price has not budged one would imagine there is also a seller lurking somewhere, surely?

[envirovision] 20/2/2015 14:08

Ive always wondered in the past if they would use their finacial might to make a tasty acquisition but thats not the case. Ive also wondered why their biggest shareholder does not simply buy them at at NAV. Ive also often wondered if they would become a target to an aquisitor with the approval of the larger holders.

[sladdjo] 20/2/2015 13:48

Does seem good value vs assets. Nice to see Gross Margin back up again as well. Benefits of operational gearing starting to come through, and can be seen in Allenby's estimates over next few years. We may have to be patient with the price while those ests come to fruition, but should be rewarded in the end.

In terms of deployment of capital, at 1st I thought that the comp should give back more to shareholders. However, their business was severely affected with the bankruptcy of thier largest customer a few years ago and they've used their cash and strong b/s to ride the storm and continue to spend a large amount on R&D - which is expensed (unlike lots of AIM comps.) Now that they've done the hard part, might as well stay and take advantage of the upswing in the industry.

[janeann] 20/2/2015 13:29

I know its a quiet share - generally a good thing, but still dismayed at the lack of appreciation of value.

If Masurenguy ever looks in, given his comment at the start of this thread, it would be interested to hear his view on the current share price/value situation.

[21trader] 20/2/2015 11:23

The only negative and why some are perplexed at the reaction is because it's a "quiet" share and it usually only springs to life on results twice a year and on the odd Rns. If you have patience it looks a great value winner.

[muffster] 20/2/2015 11:16

Thanks investors champ. Would normally agree, but bought more mti this morning as business is growing, profits up, margin of safety 67 % compared to sector av. of 34%.
Massive 're rating due for a growing, undervalued company.

[spaceparallax] 20/2/2015 10:13

very good results - especially pleased with the antenna business. Given the embedded values per share, this surely must be a no-brainer and destined for a mid to late teen share price

[hezza123] 20/2/2015 10:04

Yet again, fantastic results but still woefully undervalued. Should have picked some more up when they dipped, inexplicably, in December.

[hugepants] 20/2/2015 09:51

The forward outlook statement is encouraging. When the perception of the company changes from being a value stock to a growth stock the share price should respond. In the meantime collect the dividend.

[someuwin] 20/2/2015 09:37

"MTI Wireless Increases Dividend 17% As Revenue Grows"

[sailing john] 20/2/2015 08:57

Positive results as expected and a decent yield of over 4%

Jane - most don't look beyond the P&L (filters) to see that balance sheet stacked with cash and assets.

[someuwin] 20/2/2015 08:44

Fantastic value to be had here.

[janeann] 20/2/2015 08:32

well I just fail to comprehend why the market doesn't see value here.

[muffster] 20/2/2015 08:19

Great results. Bought more and expecting to see this move up towards book value per share of 35p. Qualifies for Ben Graham NCAV portfolio on Stockopedia which is a great performing stock screen.

[envirovision] 20/2/2015 07:39

Crikey, these finals really underpin how seriously undervalued this is, here is a summary:

Net cash, cash equivalents and marketable securities of 8.4 pence per share.

Gross profit increased by 7%, Profit from operations increased 79%.

Revenue in 80Ghz product line doubled.

$1m cash generated from operation (2013: $0.04m)

Shareholder's equity equivalent to 22.5 pence per share

Dividend of $0.68 cent per share declared

Main Statement and guidance:
Secured a number of new customers in this market sector, the benefit of which we expect to see in the future

The increasing demand for broadband, will strengthen in the coming years.

RFID now represents 11% of our business, sees great potential in this market

*We continue to believe that the market demand for our products, as part of the increasing demand for broadband, will strengthen in the coming years.
*Military will maintain similar level of business, present backlog.
*Enters 2015 with confidence in the growth prospects and ability to increase profitability and cash.
*Aims to achieve future growth and expand leadership in markets for broadband wireless communication and military portfolios.
*Very happy with ability to translate profitability into cash and create a $1m positive cash and provide dividends without reducing balance sheet.

[janeann] 20/2/2015 07:25

Out this morning; look pretty good to me;

MTI Wireless Edge Ltd., (ticker: MWE) ("MTI" or the "Company"), a market leader in the manufacture of flat panel antennas for broadband wireless access, today announces its audited full year results for the year ended 31 December 2014.



2014 Highlights



· Revenues increased by 7% to $14.3m (2013: $13.4m)

· Gross profit increased by 7% to $5.14m (2013: $4.8m)

· Profit from operations increased 79% to $340K (2013: $190K)

· Revenue in 80Ghz product line doubled to $1.9m (2013: $0.9m)

· $1m cash generated from operation (2013: $0.04m)

· Net cash, cash equivalents and marketable securities at the year-end of $6.6m, equivalent to 8.4 pence per share

· Net value of the Company's offices of $3.6m, equivalent to 4.6 pence per share

· Shareholder's equity remains solid at $17.6m (at 31 December 2013: $17.7m), equivalent to 22.5 pence per share

· Dividend of $0.68 cent per share declared to be paid on 2 April, 2015 to shareholders on the register at close of trading on 13 March 2015.





Zvi Borovitz, Non-Executive Chairman of MTI Wireless Edge, commented:



"I am pleased to report on our audited results for the financial year ended 31 December 2014 during which we continued to experience better profitability. In 2014 we continued the progress in our 60-80 GHz products range and achieved our goal of doubling the revenue from it. We also secured a number of new customers in this market sector, the benefit of which we expect to see in the future. We continue to believe that the market demand for our products, as part of the increasing demand for broadband, will strengthen in the coming years. We are happy with our progress in RFID, which now represents 11% of our business, and see great potential in this market. In 2014 we were able to penetrate numerous applications and projects and we believe that RFID and the 60-80 GHz markets are where our future growth lies."

[hugepants] 19/2/2015 08:42

Nope just an educated guess based on the last couple of years.

[envirovision] 18/2/2015 16:25

Indeed, have you asked the company what day they plan to release the (hopefully) upbeat FY results ?