The next focusIR Investor Webinar takes places on 14th May with guest speakers from Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
I’m relatively new here but am not aware of any competitor that does what IQE does at such scale. With these new Android quals and customer successes I’d think we now have a massive chunk of the advanced smartphone market. I’d say IQE have a rep as the go-to supplier. Clearly an expensive and complex market for those with designs on (entering) it.
The challenge in this industry is winning the qualification and customer in the first place. Once evaluated and selected, and supplier-OEM relationships established, the incumbent supplier is not so easily replaced, with replacement not in either party’s best interest for obvious reasons. Let’s be clear, IQE do not sell aluminium phone chassis.
Re Jam, some folk need to stop their moaning and put the toast on as 2020 is nearly upon us. We have less than 90 days to Xmas! Ho, ho, ho.... humbugs ;)
Understand iPhone 11 sales are ticking along v nicely. Given next year is likely to see the 5G golden child (Sept release?) 11 and 11 Pro sales especially really have surprised commentators.
Pretty narrow window for exposed shorts to close out. Don’t expect them all to have hedged those positions either.
The news is especially significant in my book as it transforms the revenue risk profile next year. We know Apple will have a belter of a year but these Android devices are growing their mkt share.
Hats off to IQE. Their tech is rocking the Casbah and El Shareef he don’t like it one bit!
More fool them, as odds on it (Brexit) ain’t gonna happen anytime soon thanks to the HoP.
To be fair I think there’s good reason to be excited about IQE, but to any retail investor the old fashioned advice of “DYOR” applies. Never, ever rely on the opinions of other posters, however enthusiastic they may be.
Interesting close - again with more buying off the bid.
To my mind this is the x$m question. Why reduce short exposure now - having only recently increased!? So do ODEY plan to cut their exposure further, 100pc I believe so. Something traders should mull as this more than anything will govern short term SP direction (and volatility) - notwithstanding qualification updates from the Co etc
Perhaps nothing to write home about, Scampi, but more than a seed of doubt has been planted. The painful reality - IQE is no longer a “conviction short” and hasn’t been (IMO) since the appointment of the ex-ARM Holdings CFO. That was a huge bull flag, but was discounted.
At this 11th hour the crowd is too large and the exit too narrow. “What a tangled web we weave...”
Encouraging trading action. Not so good if you’re short to the tune of several £m of course! That’s gonna start hurting as we rattle through 70p. As good as a given IMO, as at some point in the next couple of months demand for 5G switches and devices kick-in.
As every week goes by I sense the short case is weakened a wee bit further and we get just a little bit closer to 5G and IQE’s fabrics being increasingly in demand. (Not much there to disapprove of really!)
Seems the iPhone 11 effect didn’t disappoint today, great to have IQE tech inside such a cracking device. Deeply impressive.
Fair dos but it remains a growth company, in a nascent and rapidly evolving sector so applying conventional assessments of (and to) the company right now makes little sense. If they have the tech lead and the ability to scale to meet/address REAL, nea/medium term mass market application, that’ll do me. Looks to me the building blocks are now in place to deliver exciting leverage against the operational assets now online. The heavy lifting has been done, further and not to be dismissed by any means, technical reputation to consistently deliver a quality product is excellent...what you do not do is switch CSS adv material provider for fun, especially when we’re talking tailored solution! BWTFDIK
Hey guys - thanks for your concern (LOL). Now push off!
Pretty transparent what your game is. Unless you’re on their payroll, best to leave the shorting to the pros ie to those that can afford the inherent risks.
I’m more than happy to continue steadily building my position here as it’s the medium term growth prospects for for IQE in particular that have my attention.
You and many others M! ;) many folk now looking for a dip they can buy into. Looks like this will now trade up towards the 60-65p but am expecting qualification and client news in the coming weeks/months...which again should come as no surprise. These will set the stage nicely for 2020. The tech trend is v much IQEs friend.
To be fair to IQE they’re playing with a straight bat in recent months. Much better.
The tech world is currently transitioning from silicon to advanced silicon compounds - with 5G this has to happen!
Target £2+ SP within 3 years not onerous as market opportunity is now clear - IQE must be able to rapidly respond and scale production.
Some drivel on this BB. The market is in the loop Re 1H hence the weak SP, but there are winds of change as manifested in the scramble with the qualification and sales RNSs. What needs to be communicated with 1H results is future:
1. application and relevance (future mass market growth areas 2H and beyond)
2. product performance
3. operational productivity (operational leverage on investment) and
4. competitive position
News of further qualification success for mass market application could set a cat among the pigeons. There is obvious form to the market reaction to such updates as they, de facto, cover many of the above.
1H revenue only marginally off consensus?
Op costs being managed within cash and credit facilities
FY expectations reset (risk to upside?)
Cautious optimism for 2020 (risk to upside?)
5G and 3D growth drivers intact for 2020+
Productivity improvements at Newport facility
Vs
Extreme short exposure
=
Interesting ****tail