A new thread for Cambridge Silicon Radio, a bluetooth play for 2004.

Cambridge Silicon Radio Holdings Ltd, the Bluetooth technology group that is about to list on the London Stock Exchange, said its offering will be priced at 160-200 pence a share.

The indicative price range corresponds to an offer size of 54-68 mln stg and a market capitalisation for the company of 192-239 mln stg after flotation.

CSR designs and manufactures single-chip radio devices - focusing initially on solutions for the 2.4GHz Bluetooth personal area networking standard. The background and experience of our development team give CSR a unique advantage to help OEMs exploit the new wave of wireless networking, allowing us to offer the most highly integrated single-chip Bluetooth solutions, which are based on commodity CMOS technology with all its inherent advantages.

www.csr.com

===

CSR, which has secured over 70 mln usd of funding from a number of investors including Compaq Corp, Philips Electronics NV, Sony Corp, Intel Corp and 3i Group PLC, was founded in 1998.

The company claims on its Website to be the world's leading provider of Bluetooth, accounting for 60 pct of all Bluetooth end-products.

Bluetooth is a low-cost, short-range radio link between mobile PCs, mobile phones and other devices, enabling users to connect a wide range of devices easily and simply, without the need for cables.

Share price upwards movement has been good so far. Now 4.00. How long can it last?

Erik

This share has had a fantastic run, time for a breather or has the peak been reached?

In terms of headline numbers it is a well over bought share!!

But not overbought when you see today's statement! I see it touched 4.50 briefly early today, but is now down to 4.15. One to hold for another doubling over the next twelve months, I think.

ARM Holdings plc is currently on a prospective PE for 2004 of about 44. Applying that to ABN AMRO's fairly conservative estimate for CSR of EPS of 17.67p for 2004, and you get a target price of about 775p. So plenty of headroom...

Good to see it back above 4.00 again! I did manage to buy a few more at 3.62 on the way down - too soon I suppose, I should have waited until it started climbing before jumping in. I still think this could be over 8.00 by mid summer, based on comparisons with ARM's share price.

Over reaction today with that large drop. Results were excellent, only dampner was a slight drop in revenues for the next quarter but then back into full swing after that. So no real worries, broker reiterated their buy statements today aswell.

Well, it's back to 4.00 again, but hardly the "over 8.00 by mid summer" I hoped for in Jan. Still see it as worth holding for the mid term though.

Superb results announced today, and good forecast going forward. Well over 5.00 now and more to go, I think, though my mid summer target of 8.00 is unlikely to met, I guess.

Excellent update today, and good price reaction - up some 15% to 6.40. We could see 8.00 by the end of the year, but that will depend very much on the guidance for the next quarter, due November 2nd. ABN Amro now has a target price of 7.50 and has upgraded from add to buy.

I find it strange that nobody here seems interested in a tech share which has gone up by some 175% since flotation in Feb. 2004, and by some 133% since May this year. Is it because it is too big (FTSE 250) or because the management play it so low key?

Hopefully a re-rating is underway and we may see 10.00 before too long - 6.98 now- and if it were ever to get onto the same PE as ARM Holdings holders would really be laughing all the way to the Bank.

quiet here

Late in time behold it came!
Pleased to see my target of 8.00 has arrived, albeit it three months late.
Time to think of top slicing?
Go on some one, persuade me otherwise. Should I wait for 10.00, or is that being too greedy?

What a quiet board this is, considering the stellar performance of this company's share price over the last couple of years.

ABN Amro reiterates its buy rating and raises price target from 8.00 to 9.15. Price rise today 32p to 8.59.

Today's paper edition of the Telegraph (Business section) reports that CSR was named Company of the Year at the techMARK Awards Dinner. "CSR is to Bluetooth what Google is to the web and Chelsea is to the Premiership - the new industry standard." CSR currently controls between 50% and 60% of the Bluetooth market.

Can't be bad for the company.

Hi August
Just taking a look at this I`d say you picked an absolute corker and have had more or less just yourself to congratulate for a job well picked. Well, you now have my congratulations too ! What do you think this company could be worth next year ? It can`t keep climbing at the rate it has the later part of this year...can it ?!
I`d appreciate your insight and knowledge. Obe

Obe,

Welcome to this lonely board!

You flatter me by suggesting I have any particular insight or knowledge - I don't.

I think prospects remain bright for the next twelve months at least, based on existing momentum. Beyond then will depend on what products they come up with to enhance or replace bluetooth. Wi-Fi, Playstation 3 or iPod inclusion? Any of these would see the growth story continuing at breakneck speed, but if they come up with nothing, well...

Recently John Hodgson the CEO said to analysts that bluetooth sales were booming and showing no signs of slowing down, and this lead to a few upgrades to around 10.50. I feel these are conservative and that we should see 12.50/15.00 over the next 9/12 months. They are based on a PE of around 19x, which in itself is conservative for a co. growing at this speed; 25x/30x would be quite reasonable; and so far we keep getting upgrades to the figures which the analysts have to adjust to in time, so we could see a price of over 20.00 within 18/24 months (dream on!) if all continues well; but the next quarter's figures could be weak on the seasonal influence of Christmas and the Chinese New Year.

"CSR is to bluetooth what Google is to the web" has a lovely ring to it, and similar growth is not impossible. However I agree that a breather must come some time, and I recently sold 30% of my holding at 9.17 to leave the rest in at zero cost. If I were new to the co. I might take a modest position, but I shall not be adding at this stage.

CSR is now about the 185th largest publicly quoted co. on the LSE, and I remain amazed at how little recognition it seems to get for its massive achievements - quite different from the heady days of the ARM and Autonomy booms! See http://www.stockchallenge.co.uk/typo/stockchallenge/site/index.htm

Hi August

Thanks for getting back to me and in the same day too !.....wasn`t sure if you only check every month or so due to lack of apparent interest.
You may have a lonely board but at least it`s not full of snide remarks and cat fights like many others. I enjoy educated banter and two sides to a tale but some BB`s are way beyond that.
I wish I had come across this way back in June or earlier like you did. Healthy profit to pad out the matress. Locking away profit and riding the gravy is always a good thing. I`ve followed these now for only afew weeks but may wait until january before making any decision.
Agree PS3 or ipod inclusion would add to momentum nicely. I`ll be watching for that.
Thanks again for the info. I`ll come along and keep you company from time to time. Save you talking to yourself ! :)
All the best for Christmas and the New Year. Obe

I'm a little surprised that there's not more buzz about CSR. I would have thought that they are likely to be acquired by a major cellular manufacturer. The technology roadmap for Bluetooth has plenty of legs so there's no reason why CSR shouldn't maintain a fair degree of momentum. Acquisition would just be icing on the cake.

Wednesday January 25, 12:41 PM
CSR's BlueCore Provides Wireless Connection to Griffin's iPod Adapter
By Business Wire




CAMBRIDGE, England Jan. 25, 2006 CSR plc (LSE:CSR):

Ref: EMD1020 Photo ref: PEM4477

To download: http://www.csr.com/images/hires/pem4477.jpg

CSR plc (LSE:CSR) the wireless technology provider and world leader in Bluetooth connectivity, today announced that its BlueCore3-Multimedia (BlueCore3-MM) silicon is at the heart of the new BlueTrip from Griffin Technologies. The Bluetooth accessory enables users to wirelessly broadcast and control CD-quality music from an
Apple iPod to any home stereo environment or compatible A2DP compliant Bluetooth stereo headphones. Griffin Technologies' decision to use BlueCore3-MM in delivering Bluetooth wireless connectivity, assures the BlueTrip a reliable connection while co-existing with other 2.4GHz radios. The BlueTrip is available now worldwide.

The BlueTrip wireless transmitter clips onto the iPod through the audio output jack and transmits CD-quality music directly to the BlueTrip receiver attached to a home stereo or AV system. The transmitter is powered directly from the iPod creating no need to charge the unit separately. The stylish receiver is powered by a 12v DC power supply and features RCA stereo plugs as well as optical S/PDIF and mini-jack output allowing for compatibility with any home stereo. The BlueTrip is compatible with the 3G and 4G iPods along with the iPod mini and iPod photo.

BlueCore implements a host of profiles including A2DP (Advanced Audio Distribution Profile) and AVRCP (Audio/Visual Remote Control Profile). AVRCP permits the BlueTrip to act as a remote control unit for a connected Bluetooth device. The A2DP profile allows advanced audio to be transmitted from the music player to devices such as Bluetooth stereo headphones or a home stereo. BlueCore3-MM's integrated DSP also means that the device requires no external processor for audio analysis, thus saving money on the associated bill of materials. The BlueCore3-MM DSP is also more efficient in audio processing, achieving power consumption levels similar to that of Bluetooth mono headsets. This allows the BlueTrip to have a small impact on the battery life of the iPod and enjoy a longer playing time.

CSR offers a range of standard solutions and technologies for customers designing Bluetooth multimedia products. CSR's BlueLab 3.2 software development kit allowed Griffin Technologies Inc. to take these standard solutions and customise them for their own distinct offering. The in-built protected user mode, enabled by BlueLab, means that customer software cannot interfere with the Bluetooth operation of the chip. This protection feature all but obviates the need for re-testing.

Mark Rowan, Engineering Manager for Griffin Technologies commented, "Our new BlueTrip device uses the best Bluetooth technology and the highest quality components on the market. CSR's expertise has allowed us to achieve the highest possible sound quality and a highly attractive product." Mark continued, "Thanks to CSR's support, we have been able to introduce Bluetooth connectivity to our iTrip offerings with ease and minimal time to market."

Luke d'Arcy, product marketing manager for CSR commented, "Griffin Technologies demanded the highest Bluetooth audio quality for their BlueTrip. CSR was able to offer the most cost-effective, high-performance multimedia silicon and software package on the market. Through the use of BlueLab software we were able to offer Griffin a truly customised, leading Bluetooth solution without them incurring increased costs."

About CSR

CSR plc is the leading global provider of Bluetooth technology and has developed expertise in other single-chip wireless communication standards such as Wi-Fi (IEEE802.11). CSR offers developed hardware/software solutions for Bluetooth based around BlueCore, a fully integrated 2.4 GHz radio, baseband and microcontroller.

CSR has now launched its fifth generation BlueCore suite and is in volume manufacture of its fourth generation BlueCore devices. BlueCore4 supports the Enhanced Data Rate (EDR) standard, which was ratified at the end of 2004. BlueCore4 remains the only EDR silicon to be shipping in volume today. In November 2004 CSR launched UniFi, the first single chip 802.11a/b/g embedded solution specifically targeting the mobile phone and consumer electronics markets.

BlueCore features in over 50 per cent of all Bluetooth devices shipped and over 60 per cent of all qualified Bluetooth enabled products and modules listed on the Bluetooth website with industry leaders including Nokia, Dell, Panasonic, Sharp, Motorola, IBM, Apple, NEC, Toshiba, RIM and Sony using BlueCore devices in their range of Bluetooth products.

In March 2005, CSR acquired Clarity Technologies Inc., for its Clear Voice Capture (CVC) technology that enhances the audio performance of any voice-based product or system. Applications for CVC include wireless headsets, handsets and automotive hands free systems.

In August 2005, CSR completed the acquisition of UbiNetics' software business, providing a strong R&D team to accelerate its existing software development in Bluetooth, Wi-Fi and UWB. The UbiNetics team gives CSR the capacity to extend its offering to mobile handset customers.

CSR has its headquarters and offices in Cambridge, UK, and offices in Japan, Korea, Taiwan, China, India, France, Denmark, Sweden and both Texas and Detroit in the USA.

More information can be found at www.csr.com and the partner web site www.btdesigner.com

More information about Bluetooth technology can be found on the SIG web site at www.bluetooth.com

Contact

Broadcom profit tops Wall St view, stock up 24 pct

Thu Jan 26, 2006 7:47 PM ET


By Eric Auchard

SAN FRANCISCO (Reuters) - Broadcom Corp. , a diversified, high-growth maker of microchips, on Thursday said quarterly earnings nearly tripled, topping all Wall Street expectations and sending shares galloping 24 percent higher.

Investors cheered both 2005 results and an outlook for accelerating revenue growth in the first quarter, which follows a trend among many U.S. chipmakers who see unusually strong growth in the current quarter over the fourth quarter.

Separately, the company said its board of directors had approved a three-for-two stock split and amended its stock repurchase plan to allow an additional $500 million worth of common stock to be bought back, or about 2 percent of shares.

Net income for the Irvine, California-based company jumped to $194.8 million or 50 cents per diluted share in the fourth quarter from $71.1 million or 20 cents per share a year ago.

Revenue rose 52 percent to $820.6 million. Broadcom semiconductor chips are used in products ranging from Apple Computer Inc.'s video iPods to broadband networks, wireless phones, storage devices and computers.

"We do have a lot of different growth drivers," Chief Executive Scott McGregor told investors on a conference call following the report. "Many companies are betting on one or two growth drivers and we have a dozen or more," he said.

"Broadcom is now actually diversified and high-growth at the same time," Lehman Brothers' analyst Arnab Chanda said. "There is no other company in the industry that is comparable, except, to a degree, Marvell (Technology Group Ltd.

)."

"Most companies fall into one of two categories," Chanda said. "Either they are diversified and slow growth or concentrated and higher growth, and therefore definitely higher-risk investments," he said.

UNEXPECTED RESULTS

Broadcom's results topped all published Wall Street expectations.

Analysts were looking for a net profit on average of 39 cents per share. Excluding one-time items, analysts were looking for a consensus forecast of 44 cents per share, according to Reuters Estimates data.

The revenue consensus among analysts was $780.8 million, according to Reuters Estimates. Forecasts ranged between $770.0 million up to $800.0 million.

Chief Financial Officer Bill Ruehle told investors on a conference call following the company's year-end report that he expected the current first-quarter's revenue to grow to between $865 million and $875 million -- well above current forecasts.

Wall Street had been looking for revenue between $730.0 million to $835.0 million, according to Reuters Estimates.

Shares of Broadcom, which were trading up 7 percent on the fourth-quarter report, surged further when company executives later boosted their first-quarter outlook during a conference call with investors.

The stock jumped 24.5 percent above its regular session close to $73.10. Ahead of the results, the stock had gained 1.1 percent, or 64 cents, to close at $58.72 in regular-session trading on Nasdaq. The enthusiasm helped boost Marvell shares, which rose 6.1 percent to $70.10 in after-hours trading.

"I get paid to talk and I am almost speechless," CSFB analyst Michael Masdea said on the Broadcom conference call.

At current levels, the stock is trading at 46 times the $1.56 full-year 2006 Wall Street earnings' consensus. But with analysts likely to sharply raise their estimates following the report, this comparison undervalues Broadcom shares.

The comparable price-to-earnings ratio for somewhat slower-growing Marvell is 45 while far slower-growing Texas Instruments Inc. is 21 and Intel Corp. is 17.

Several less diversified chipmakers sport even higher valuations, such as Atheros Communications Inc. , which trades at 114 times 2006 estimates.