IQE is the leading global outsource supplier of customized epitaxial wafers to the semiconductor industry.

Their technology is of most advanced like AFM means Atomic Force Microscopy and moves a minuscule cantilever over an objects surface, a sharp tip passes over dips or rises punched in the surface and reads out digital information. This technology is not going to slow down it is going to speed up and has to replace most existing forms of memory storage by virtue of capacity and size.

The future of nano-technology, these tiny/minute robots would need very small processors and most sure strained silicon could provide these.

The low share price is due to uncertainty as to when the cash will run out, but I don't think this will happen as cash is of 12 to 15M and NAV of 30p, and losses are going to drop on the next 3 month and we could have profits on the Q4 2004.

Latest news from the Chairman were" The Group remains confident that it is in a strong position within the outsourcing market, although the protection of its cash position is paramount.
With a broad product portfolio allowing the customer base to use IQE as a 'one stop shop', a large available production capacity and a strong balance sheet, the Board believes the Group will benefit strongly as the overall semiconductor industry recovers and will continue to strengthen its position as the leading outsource supplier of advanced wafer products to the sector. "

Nearly all the recent results have been encouraging. Q4 accounts are being completed (30th Dec 2002). IQE know where they stand, if things had got worse their would have been a trading statement by now, and with Amberwave (IQE's partner) increasing its Asian presence, this is a bullish trend and a good point to pick up the shares @ 4.25p

Intraday

5 month MA and Indicators

Next 2 weeks

sweenoid - 30 Oct 2017 - 08:04 - 8150 of 8168 - 31
I am optimistic we will be crossing the 'Rubicon' of 150p this week...and hopefully staying there. Certainly the news-flow over the next 2 weeks should reinforce and support IQE's business model

A lot of newbies on this thread , this may be of interest to you, or maybe not.LTBH people this should at least help you to focus on news events that matter.

The next 2 weeks or so will feature a host of earnings and industry news that have a direct impact on IQE, here is the timetable, and the reasons why each is important, and furthermore, what to look out for.( I intend to comment on each after the news is out).

31st October- 11-V1 earnings and CC - our biggest competitors, important to keep an eye on them. I am totally aware of the term 'confirmation bias', don't worry , I intend to be TOTALLY aware of threats to IQE, as I set out in my recent SWAT analysis.

1st November, a BIG day
earnings from our 2nd biggest customer in 'wireless'. Qorvo , who are also big on GAN,so their comments will be useful.

Oclaro also announce earnings, a big customer for our InP products - ignore the comments on 'China weakness'- nothing to do with us, concentrate on their comments on data centre and cloud storage .

The BIG event this day, is the Lumentum earnings due 1.30 our time , then most importantly the CC that will be broadcast live at 2-2.30pm, the analysts will be all over their comments in the 3D sensing sales, we should glean a lot of information on orders :-) , they WILL be positive, it's the clearest indicator of IQE sales in this sector.

November 2nd Apple earnings- of no real relevance to us , what WILL be interesting are their comments on iPhone X orders and MOST importantly their 'supply- side' issues, this will be a major area of questioning in the CC and the analysts will insist on clarity on this matter as they can't do Q4 estimates without a meaningful idea of supply and demand of the X.
Of course the next day the iPhone X actually goes on physical sale- supplies WILL sell out at the Apple stores within minutes of opening, Apple are kings of PR - they will milk the queues and the razzmatazz, so will we 🤤

6th November- our biggest customer -Skyworks report , for obvious reasons we want a positive forward looking statement

9th November - Himax earnings , this is going to be very interesting, once again it's ONLY the CC that we are interested in , Himax are providing their wafer level optics solution to Qualcomm, which will be used as part of their new Snapdragon chip ( will it be the 845 or the 2019 855, Himax say it will be ready Q1 2018 )to provide what is likely the 1st major Face ID/ recognition solution for Android phones, will it be ready for the new Galaxy S8 touted for March release?, can't see it myself, I think it's too early.The KEY here is what lasers are Himax going to use , in the last CC their CEO stated their solution would use EE rather than VCSELS BUT on questioning he confirmed they could use EITHER,I want the update on that, if they are favouring VCSELS ( they already say some customers are requesting VCSELS) any sign that they are moving to VCSELS would be massive news for us.( regardless of what they say, I think their final solution WILL be VCSELS - it just makes sense IF they can procure enough supply that is 😉😆

Have a look at this, for more information.

hTtp://www.himax.com.tw/wp-content/uploads/2017/08/HIMAX-and-Qualcomm-Jointly-Announce-High-Resolution-3D-Depth-Sensing-Solution_PR.pdf

14th November- Macom earnings and CC - all important EXCEPT weakness in long haul metro ( as per Oclaro) Macom is a BIG VERY IMPORTANT customer, we again want to hear that their data centre and cloud InP markets are doing nicely. Macom will be THE key customer to use our GAN on Silicon for RF GAN basestations and GAN Power, RF GAN solutions have at last been qualified, I am hoping for more clarity as to when Macom expect to start shifting volumes of these products, :-), if they are already receiving orders in 2017 that would be sensational, no- one is expecting earnings here till 2018.

I am upgrading my SP expectations for the end of 2017 to 175p , The chart looks fabulous , the IMS will come on 12th or 13th December and imho is going to be incredibly bullish, add in the ongoing iPhoneX 'story' and good news-flow from above , then I am confident. I don't like talking about the shorter funds , but I think any sustained move above 158p will see that those positions decreasing . Given sustained positive momentum combined with positive sentiment, hopefully no severe macroeconomic calamities and it should be a very good Xmas for IQE shareholders.

S

Useful write up on factual data Redin. (A lot better than someone who calls himself "mentor" (says it all)

mentor is assuredly no friend of mine, but he is not interested in investing ...... he only trades over a very period ..... for all that, some of what he says can be quiteb interesting

when he says "buy but only when I say so" you got to be so up your own .... (another inch and he might explode)

(would be good for halloween night though)

A bit of a "Grand old Duke of York" couple of days.

More slightly worrying news (not necessarily impacting IQE directly) from Apple today might have been the cause of the drop.

From the Trader's thread - Apple earnings: iPhone X supply is the question, but the answer may not matter

I was thinking more like this:

http://uk.reuters.com/article/uk-apple-qualcomm-iphone/apple-could-drop-qualcomm-components-in-next-years-iphones-ipads-sources-idUKKBN1D0098

Not really relevant to IQE? Although possible market reaction?

AAPL are currently up 0.34% and Qualcomm flat.

I agree it won't impact IQE directly, but it highlights the route that Apple seems to be taking, preferring to have direct control over it's supply chain.

Qualcomm down 6.8%.

It's seems a bit complicated, but one of the modem chips supplied by Qualcomm is suitable for the Verizon network and the chip supplied by Intel is suitable for the AT&T network. I think the Intel chip can be made generic though......I assume by a software change which is under Apple control. I wonder if this makes other suppliers or potential suppliers a bit nervous about dealing with Apple?

".. The BIG event this day, is the Lumentum earnings due 1.30 our time , then most importantly the CC that will be broadcast live at 2-2.30pm, the analysts will be all over their comments in the 3D sensing sales, we should glean a lot of information on orders :-) , they WILL be positive, it's the clearest indicator of IQE sales in this sector..."

That is from the bigger Sweenoid post pasted above. I am not sure if he is right on the clock times (US don't set their clocks back till next weekend), but sometime today we see Lumentum's latest statement, and Lumentum is a key IQE customer.

Link for later - Q1 FY 2018 Lumentum Holdings Inc Earnings Conference Call

Juzzle - its 12:30 our time?

Strong early volume again.

Peel Hunt Buy 158.00 146.50 150.00 188.00 Reiterates

Apple iPhone+X teardown:

www.ifixit.com/Teardown/iPhone+X+Teardown/98975

(Don't try this at home! Could be costly if it don't go back together!)

Juzzle will try it out with Lego blocks first-which is tricky enough