Mti Wireless Edge Share Discussion Threads

[sailing john] 19/8/2015 16:05

Good to see a bit more volume

And a tick up!

[russman] 05/8/2015 19:56

One small step for Mottech
One giant leap for MWE.

[sladdjo] 05/8/2015 08:39

1H res should be out shortly. From Dov's comments in 1Q report, it looks like res may be slightly weak for 2Q, but will be interesting to see how Mottech is fitting in (even if we've only held it for < 1 month at time of res.)

[cjohn] 23/7/2015 12:07

So that was your post for the year. One more step and you will be free.

[moathunter] 17/7/2015 15:06

Sailing John- The reason I deleted my post was to nip in the bud the risk of posting more and more on these forums. Usually I post once a year.

After all, we're simply trying to achieve a % annual growth Return on Invested Capital.
If "invested capital" is both money and time- our time we choose to allocate- then the more we post, the lower our % RoIC becomes.


Having been investing since 2002, the one thing I've learned the hard way that is scarcely mentioned is:
It is far better to have an investment process that generates say 12% p.a. average RoIC and can be sustained over three decades, then try to develop a process that can generate 25% p.a. but is so volatile, mentally difficult, stressful and time-consuming that it is only sustained for 3 years.

A three decades-long investment process and a solid % RoIC doesn't work well with posting on discussion forums. But scanning through a discussion forum is a good quick way to find what is spooking investors away from a company to make it appear so cheap.

[russman] 11/7/2015 15:13

They are in the melting pot.

[sailing john] 10/7/2015 10:37

Moathunter - very wise deleting your post!!!

If you were referring to Faraday Research they are FCA Regulated.

[hezza123] 09/7/2015 12:58

Yes, I can't say I'll be subscribing to that tip service any time soon! Nice that other investors have hopped on board though, so hopefully the share price will move up towards a more realistic level.

[muffster] 09/7/2015 11:14

Large rise and spread nearly 9‰.

[sailing john] 09/7/2015 10:32

Hezza - Presumably, looking at volume as well as price movement.

Just checked LSE and apparently tipped in Microcap Confidential. I have never heard of them before. Subscription over £400/annum. Yikes!

Anyway I agree that these are undervalued it is just a case of waiting for the market to catch up with recent events. Results inc acquisition might help given that the cash pile has now been put to good use!

SJ

[gb904150] 09/7/2015 10:32

Not that I'm aware of, but it does seem to be getting chased higher.

The tick up yesterday was on very good volume and today it seems to be building in a similar fashion. Something must be afoot but I'm sure all will become clear in time.

As you say, rare for this share to be showing much action.

I still believe the acquisition was a very good piece of business.

[hezza123] 09/7/2015 10:15

Has MWE been tipped somewhere? I'm not used to seeing it jump up like this on two consecutive days!

[sladdjo] 12/6/2015 08:12

Just thinking about the amount of the loan ~ $2m to be repaid over 4 years, so ~ $500 repaid/year. Moni & Dov are probably confident that Mottech will achieve at least $500k op profs/year to cover that repayment and MWE will maintain ~ $4m cash on BS for opportunites/investment as and when they see fit.

Hopefully will achieve a higher op profit than that but we'll have to wait and see as always lots of variables with new acquisitions

[gb904150] 11/6/2015 13:00

I think it's a really good acquisition at a very good price.

That said, there's still lots to fix in the existing business so the new project must not distract from that.

[sailing john] 11/6/2015 08:54

Acquisition completed

Just need to see impact on accounts now

Will be a lot better than a stack of cash earning zero ish interest

SJ

[cjohn] 29/5/2015 11:34

They sell antennae to various armies.

[russman] 27/5/2015 21:40

I thought the Israeli Army was a big customer once.

[cjohn] 25/5/2015 10:49

Ok, thanks, that's very interesting detail. Good to know that the technology works.

I guess if one retailer adopts and there is an economic advantage, others will follow.

[sladdjo] 21/5/2015 08:58

Hi CJohn,

Agreed on the delays info.

W.r.t. checkout trails - I asked that question at the AGM and was told that customers still looking at it. They "haven't felt the pain" yet to make them start using the technology, which I believe meant that the costs saved aren't worthwhile for the supermarkets using it yet. Moni gave another example with supermarkets that Rfid antenna might help with, he said that Walmart has a load of milk in one part of the country that will pass its sell by date shortly, while in another part of the country they are short of milk. At the moment inventory is measured using bar-codes and is quite a labour intensive process. Ideally with Rfid it'd be automated and real-time and a note would get sent to their trucks to pickup the excess milk and ship it to stores that need it. However, as well as installing antennas and Rfid, likes of Walmart will have to upgrade their software backing the process, which I believe is the main issue holding the switch up at present. I think that’s why “they haven’t felt the pain” yet, though Dov seemed certain that it would happen sooner or later.

[cjohn] 18/5/2015 12:20

Hi Sladdjo,

You may remember the EGM we attended about 18 months ago. I'm wondering what happened to the antennae checkout trial with the leading retailer that Moni mentioned at the meeting. I've seen nothing about this subsequently, so I'm assuming the triai was a failure, or at least produced no purchase.

The ist quarter figures were reliably unexciting. Value here is in the assets.


It would be interesting to know WHY the cutomers were experiencing delays in implementing the back haul solutions that incorpórate MWE's 80ghz antennae.

[gb904150] 14/5/2015 13:18

Good summary sladdjo. As to janeann and 21trader asking why they trade so far below NBV...there's been no growth for a long time. MWE need to prove they can grow again and that the company has a strategy. I think Mottech will make a big difference. The existing business seems quite flat again.

In the meantime there's a decent divi to keep people happy-ish.

[sladdjo] 14/5/2015 09:53

Guess the discussion about 80GHz customers suffering delays in implementing solutions has scared people - that was supposed to be one of MWE's main growth areas so looks like may not progress as muhc as hoped in short term.

Revs $3.54m down slightly vs Q4 of ~ $3.68m, but gross margin was 35.8% vs 4Q's 33.7%, so starting to edge up again, and op profs of $141k ahead of 4Q's $123k. Allenby forecasts pre-Mottech acqn were for resv of $15.25m for the year at GM of 37% and op prof of $603k, so assuming split evenly over the 1/4's then should be ~ $3.8m revs with ~ $150k op prof/qtr. So comp seems in line with prof ests at least, hopefully there wont be too severe a slowdown in 80GHz orders and Mottech will soon start to contribute to profits.

[21trader] 14/5/2015 09:35

- Shareholder's equity of US$17.9m (at December 31 2014: US$17.9m), equivalent to 22.4 pence per share.

Nobody seems convinced today to buy any.