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.

cynic the DOW will fall to 6500 next year taking the Ftse with it as for this one short to 50p.

i suspect you are over-pessimistic re bottom for Dow, but certainly CSR cannot be a buy!

cynic some appear to be buying or short covering?

suspect short covering .... am prefectly happy to remain short on the basis of horrid numbers and forecast and also on the basis that recovery has been far too sharp without true justification

The chart remains the same.

cynic/mitzy
what are yr thoughts now - - - ?
CSR has seen recovery in-line with general market sentiment - any ideas on their sales prospects beyond 2009.....?

used to be a great fan of this company but have not followed it for ages .... however, if you look at the chart on post 221, it looks very promising ..... no idea what the trading outlook is

I've been having a trawl around, looking for a trading opportunity and this old favourite popped up.

2nd quarter and H1 Results are out on Wednesday, I plan to open a short position on Monday based on the chart with a target of 300p or thereabouts.

I don't recommend anyone should follow suit.

Breakout from rectangle trading range, should see next leg up now.

"

Fundies not bad either....

CSR PLC

FORECASTS
2009 2010

Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Panmure Gordon
29-07-09 BUY 3.65 18.99

Exane BNP Paribas
29-07-09 HOLD -17.83 -0.09 42.92 0.15

Milkstone Ltd
28-07-09 HOLD -16.42 -6.09 32.93 19.49

ABN AMRO
27-07-09 BUY -7.98 -2.02 35.53 14.79

Seymour Pierce
20-07-09 BUY -17.34 -6.68 23.96 9.62

Noble & Company
30-06-09 None -24.44 -2.50 44.11 20.70

Singer Capital Markets Ltd
10-06-09 BUY -5.20 -3.40 50.40 28.30

2009 2010
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Consensus -17.15 -1.99 38.55 16.71

1 Month Change -5.17 0.26 -4.78 -2.03
3 Month Change -4.55 2.96 -0.97 0.45


GROWTH
2009 (A) 2010 (E) 2011 (E)

Norm. EPS -37.44% -40.94% 71.75%
DPS % % %

INVESTMENT RATIOS
2009 (A) 2010 (E) 2011 (E)

EBITDA 59.91m 51.96m 81.68m

EBIT 39.14m 43.72m 61.17m

Dividend Yield % % %

Dividend Cover x x x

PER 14.48x 24.52x 14.28x

PEG -0.39f -0.60f 0.20f

Net Asset Value PS 176.30p 254.48p p

2 broker recos today......

30-Jul-09 CSR CSR Seymour Pierce Buy 414.25p 425.00p 498.00p Reiteration
30-Jul-09 CSR CSR Citigroup Buy 414.25p 450.00p - Reiteration

broker reco from yesterday...

29-Jul-09 CSR CSR Panmure Gordon Buy 414.00p 450.00p - Reiteration

Well, I was very lucky here, fully intended to short as posted but messed up my exit on another stock (sola) and failed to act. Would have been an expensive error. Certainly doesn't look like a short now.

Hi PTH,

hope your making plennty as usual,

got a new broker report.............

New broker report out this morning....

BROKER CALL: CSR receives a boost
31 July, 2009 07:37:48 AM


Credit Suisse has taken a closer look at the company's recent buy SiRF. Reckons there are legitmate concerns over its product portfolio, but these are offset by a strong Q2 showing. Broker has raised its forecasts for SiRF and CSR's price target follows, rising 60p a share to 450p a share. Recommendation remains outperform

From FT :-

CSR climbs on revenue forecast.
By Philip Stafford

Published: July 29 2009 23:40 | Last updated: July 29 2009 23:40

Shares in CSR rose 17.83% after the microchip manufacturer reported a pre-tax loss of $46.8m and raised its third quarter guidance.

Although the loss was significantly wider than the $21.5m recorded in the first half of last year, it was still at the top end of analysts expectations.

The Cambridge-based company benefited from consumer electronics makers restocking their inventories, while a steady performance from Sirf, its new US acquisition, led to a better-than-expected cash performance. The shares rose 62p to 409.75p.

CSR said it was benefiting from new design wins as it attempts to reassure the market that it has more than just the Bluetooth wireless connection technology string to its bow.

Revenues for the six months to June 30 fell from $349.3m to $193.5m while losses per share were $0.31 compared to $0.19 a year ago.

Joep van Beurden, chief executive, said the end of destocking in the handset market in the first quarter, had spread to CSRs other main markets gaming, headsets and personal navigation devices in the second quarter.

We are experiencing an improvement in order levels, he said, forecasting a rise in third quarter revenues to between $195m and $215m, ahead of analysts consensus of $186m.

Cash balances rose to $396m, ahead of the groups forecast that it would see cash burn from $387m after the acquisition of Sirf.

FT Comment:

CSR is showing signs of refocusing after getting waylaid with mistaken acquisitions and a reliance on a maturing Bluetooth headset market. Cash generation was very strong, the integration of Sirf is ahead of expectations and licence wins with Nokia and Apple for streaming music to wireless stereos to iPhones suggest CSR is being taken seriously by the big equipment makers again. But the second quarter rise in orders is due to restocking and is unlikely to be repeated amid the economic uncertainty.

Analysts forecasts of pre-tax losses of $40m from revenues of $582m suggests only a modest improvement this year. The shares now trade on a prospective enterprise value/earnings before interest, tax, depreciation and amortizsation ratio of 8 times, which is moderately below the sector average but accurately reflects that the benefits of a turnaround have yet to be fully demonstrated.

COMPANY WEB SITE:-
http://www.csr.com/home.php

Next resitance kicks in at around 540p ish/550p ish so a good target to aim for.



Would you agree PTH, your TA skill as ever much appreciated.

You in then Cyners.... thought you were on holiday???.

hiya sticky ...... no hol this year except the odd bit of golf and a week's cycling in Beauj at end August with a couple of pals ..... too much expense elsewhere .....

thanks for the heads-up here, and though a bit late, bought in this morning

Hi GF
I think 600p is probably a more realistic target based on SP resistance. I'm not going to post a chart but there is price action going back to 2007 which gives a little evidence. I tend to think the SP will form a big V eventually so 900p isn't necessarily out of the question (bu July 2010!!). Shorter term the SP is looking a bit toppy in relation to the Bollinger Bands (not my favourite indicator) however, there is plenty of room for further upward momentum within the RSI and MACD. Trendline support is at 355P and rising, so stops should be set in this region. Overall I'm thinking a retracement to the 400p region soon before heading North again.

I thought this was going to be a short last week for three reasons:

1. Sell on the news.
2. Markets have had a really good run over the last two weeks
3. There is negative divergence on the MACD, ie if you draw a line across the MACD histogram peaks, this line is a downtrend whilst the SP is in an uptrend. Generally this indicates the move is coming to an end but can be very leading in time, sometimes by weeks. On the other hand if the SP keeps going up, the divergence disappears, therefore no negativity. In rough handfulls the SP will need to get close to 480-500p for the MACD to look more positive. This negative divergence is on all time frames.

WOW thats a pro at work their PTH on the TA, fantastic analysis.

Good to see you in cyners.