Member Info for SauTrade

Next RR lol nope

Rolls Royce has a near monopoly.

There is no way IQE will be the next RR.

With the right mix of product, how much revenue you make per MOCVD?

There is a physical limit to how much revenue you can make.

With rising demand there may be some pricing power but without moat that quickly evaporates.

Billions are not poured in one stock by accident. Why Landmark Opto has a much larger valuation?

Professional specialised investors may know that some epi manufacturers have multi year contracts with hyperscalers and neglected niche competitors.

IQE better put a good trading update. If they can’t give a multi year growth estimate, it clearly means that they have not locked in any significant contract and that management is pretty much clueless.

Despite the good results for Nvidia, the aftermarket trading has been lukewarm (same for AXTI, LITE, AAOI, etc.).

The sector in the U.S. is not looking good. Expect a drop tomorrow.

What’s poo?

Stocks in the sector stabilised in the U.S., AXTI even reversed to a positive 10%

It should be a blue day today. The sell off should be overdone.

The day did not get any better in the U.S. for the sector.

There is some serious macro pressure due to the war in Iran stalling and fear of a new wave of inflationary pressure.

It should not be enough for mega caps to slow down on data centres spending, however data centres need non-residential construction and builders hit the brakes hard when interest rates are high since interest payments really eat into profits.

I doubt tomorrow it will be a blue morning, in the afternoon the U.S. may bring some relief, especially if POTUS tweets something reassuring, but don’t count on it.

AXTI and Lumentum about 10% down

MACOM about 4% down

Landmark 2% down

Sivers 13% down

Micron 4% down

… and of course Iqe 15% down

It seems the dip today has not much to do with the dilution

Perhaps a sector correction

The sector is in a bubble territory (vs current earnings)

@Hindy86

Kurdos to the employees

@goooba769

I am more inclined toward a trading update after the resolution has regulatory clearance… hence at some point in June

However it seems you’re clear that 50p is the ceiling until then

Are we expecting a rns today? At what time?

There is a tiny / close to zero possibility, but what if shareholders reject the resolution on May 15?

Some little fish I’m sure voted against it due to the dilution, without looking at the big picture. Thankfully they (retail investors ) are a small minority.

What are the options to recruit liquidity in case of a ‘no’ vote?

Two sigma has been managing the short position through a phenomenal bull run. Not a nice CV if you ask me.

I can guess they are now foolishly betting a price drop on dilution.

Amateurs to say the least.

MACOM knows better than Two Sigma (although I wouldn’t trust MACOM on working on the best interest of IQE, but their own).

@lordloadsoflolly

The 15th won’t make a change to the share price (unless the placing is voted against, very unlikely).

The shares will ‘hit’ the market in early June, we may see some volatility but expect it to be minor,/insignificant, those who bought at placing price, likely, have already sold (if that was their original intent)

To be clear, not a news from today on the iPhone 17 but worth mentioning

Solid numbers by Apple on the sales of iPhones

Maybe no that much revenue from vcsel components for face recognition (or any other hidden parts) but still a possible catalyst

Does Lombard know stuff we don’t?

Today I can recognise Jd again.

Industry analysts identify IQE as a primary supplier of Indium Phosphide (InP) wafers to Sivers. InP is the specific "raw material" Sivers uses to manufacture its high-power DFB (Distributed Feedback) lasers for AI data centers and 5G backhaul.

Dr. Bami Bastani serves as the Chairman of the Board at Sivers Semiconductors while simultaneously holding a seat on IQE’s Board of Directors.

Sivers in just over a month became a 10 bagger with current market cap at around 12 billion dollars

Do your maths boys.

Iqe is a critical suppliers to multi billion companies (most of which are overvalued vs current earnings but debatably not vs projected earnings)

How long more will IQE sit at a £400m valuation?

After the placing vote and the trading update in a few weeks, there won’t be much holding it back, 100p per share is rather a conservative target.

Possibly even a 10x if we have the same sort of valuation seen on overseas tech focused exchanges (Taiwan, USA, etc.)

Not being a ramper, often I’m wrong with my predictions, so take it with a grain of salt

MACOM 25% up in just one week, closing at an ATH.

Once we get past the shareholder vote on the placing, even a mild trading update can take the stock to well over £1