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

Like I said earlier its always been a contrarian this one so hopefully tomorrow we may get a good one, fingers crossed. Seems to do well on bad days and poor on good days in general.

Markets in general are very volatile at the moment because of the chances we are near a top and unchartered waters.

http://www.investorschronicle.co.uk/2013/09/19/shares/news-and-analysis/iqe-takes-off-k5hXOyeSVkI7NwSu1Z4BJL/article.html

iC like it, tipping it as cheap, BUY!

Link now live....


http://www.investorschronicle.co.uk/2013/09/19/shares/news-and-analysis/iqe-takes-off-k5hXOyeSVkI7NwSu1Z4BJL/article.html

IC Article Opened Out......

http://www.investorschronicle.co.uk/2013/09/19/shares/news-and-analysis/iqe-takes-off-k5hXOyeSVkI7NwSu1Z4BJL/article.html


IQE takes off

These half-year figures from semiconductor wafer maker IQE

(IQE) slightly beat analysts' expectations - forecasts that had already been substantially upgraded following a trading update in July. That outperformance was driven by a robust first half for the wireless division, which generates around 85 per cent of sales.

At that business, the acquisition of Kopin Wireless boosted revenues substantially and also helped deliver a 10-fold increase in group-wide adjusted pre-tax profits to £5.1m. This demonstrates the new scale of the business and the highly leveraged business model. The photonics division, meanwhile, has also made major strides. In August, IQE and its partners set a world efficiency record for its production-scale CPV wafer technology - that suggests potential upside for IQE's profits in 2014 and 2015 should adoption of the technology accelerate faster than the industry currently anticipates. What's more, the previously imminent threat that Qualcomm

(NASDAQ: QCOM) would make a rival compound semiconductor product has receded for the foreseeable future.

With management confident of meeting expectations in the traditionally stronger second half, broker N+1 Singer currently forecasts adjusted full-year pre-tax profit of £13.5m, giving adjusted EPS of 2.0p, rising to £22m and 3.3p in 2014 (from £7.2m and 1.3p in 2012).





IQE (IQE)




ORD PRICE:

30p

MARKET VALUE:

£194m



TOUCH:

30-30.5p

12-MONTH HIGH:

38p

LOW: 18p



DIVIDEND YIELD:

NIL

PE RATIO:

20




NET ASSET VALUE:

17p*

NET DEBT:

33%







Half-year to 30 Jun

Turnover (£m)

Pre-tax profit (£m)

Earnings per share (p)

Dividend per share (p)




2012

34.3

-0.09

0.02

nil



2013

63.0

2.47

0.39

nil



% change

+84

-

+1850

-





*Includes intangible assets of £78.8m, or 12p a share




IC VIEW

Admittedly, IQE's wireless device end markets look a little uncertain ahead of the release of the latest wave of smartphones, but trading is likely to pick up sharply again shortly. Rated on 15 times 2013's adjusted forecast earnings, and falling to a mere nine times for 2014, the shares look cheap given the group's growth potential. Buy.

Last IC view: Buy, 29.75p, 22 Aug 2013

20 Sep 2013 IQE PLC IQE Liberum Capital Buy 0.00 28.25 40.00 40.00 Reiterates

SP TARGET 40p.

BROKER VIEWS SO FAR......

IQE Broker Views

Date Broker Recommendation Price Old target price New target price Notes
20 Sep Liberum Capital Buy 29.13 40.00 40.00 Reiterates
19 Sep Canaccord Genuity Buy 29.13 65.00 65.00 Reiterates
19 Sep N+1 Singer Buy 29.13 45.00 45.00 Retains

Norwich & Peterborough Building Society

Expanding into solar technology helps IQE, which makes phone chip wafers, post a record set of results

By Peter Campbell

PUBLISHED:21:58, 19 September 2013| UPDATED: 21:58, 19 September 2013

The Cardiff-based technology firm has already cornered the market for gallium arsenide – a material that allows microchips that use it to run faster and use less power – by signing deals with every major phone chip provider.


Now it has put its technology into the next generation of solar panels, called CPV, which analysts say could be a £300m market within five years.

‘We’re now the technology leader in a market that will be bigger than wireless in a very short space of time,’ said finance director Paul Rasmussen. ‘These results are testimony to the transformation we have achieved over the last 18 months.’


The company’s six-month pre-tax profits hit £2.6m, but when accounting quirks were taken out its profits increased ten-fold to £5m after revenues nearly doubled to £63m.


The shares dipped 2.25p to 28.25p.


Read more: http://www.thisismoney.co.uk/money/markets/article-2425602/Expanding-solar-technology-helps-IQE-post-record-results.html#ixzz2fQH7TMtm
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If low volumns is the judge - some of us our jumping ship - not yet time to man the lifeboats imo

My problem, and I expect most other punters as well, is understanding why the stock is going down rather than up.
I haven't heard yet a legitimate reason, though there must be one.

i could understand if the results weren't good, but they were excellent and most analysts are saying Buy .

chessplayer, it happens a lot on results days, a company issues good results and the share price goes down, then a few days later or a week later the share price goes back up again. I think it could be referred to as market manipulation!

The cautionary statement which is just the CEO covering his arse has affected it even though mobiles continue to grow, as have those just selling on results as they believe it will be a while before further news. However the new products are exciting and ready for production and the coming months should bring some interesting Rns' if you read between the lines. Also, on fundamentals, (even if there is no growth at all which is unlikely given their new superior products both ready and in development and the growth in wireless, they're even developing sophisticated silicon wafers) are very cheap. Target 45p s/t

a good deal of selling this a.m.

Sold 50% of my holding. The bears have the upper hand in the market at the moment and my folio rules are not to hold onto a losing stock for too long. Short termers become long termers.

Im sure we will soon get good news on the wafer side of the business so I will add as and when.

If news had been not good then I'd agree but sometimes you have to go against the herd, in fact the really successful do just that, buy more at these silly prices as a 3-5p spike could come without notice. Go with your convictions, think about why you bought and has that changed. Short term share price movement is erratic and not always explainable, long term is different.

I go along with that. What I find remarkable , however, are the number of analysts, tipsters and brokers who like the stock, but yet it is heading the other way.

The chap who was talking about market manipulation a few days back had it about right

If the markets were predictable we would all be making fortunes! Good post robstuff, I agree.

It depends whether you like being a short or long term holder. If you are short term holder it is hard to argue with momentum and charting. I agree with GF that the bears have the upper hand even though I hold and really like the company!

The chart doesn't inspire atm - I'm holding for now and will either cut and run or add @24p

Yes some good points above but we are talking here what time frame are we all investing/trading over. Were all different.

Those that have known me for the last 15 years or so willl know I have changed my style to suit my personal employment/living status. In the good old days I was a contrarian who held over the longer term and I mean up to usually 2 years or more.

Now that I am retired, well semi retired I look for market annomalies in a stock and hit on the counter attack. Im afraid IQE was brilliantly priced at just over 19p when I first traded but since just before the results for whatever reason and I admit their doesnt seem really to be a logical one, the SP has fallen and my strict folio rules are not going to be broken so out goes 50% of the stock. I get rid of losers very quickly.

Having said that I can understand why others who are longer term traders than I are continuing to hold.

I agree SK that 24 is a minor support now we have reasonable results. Could drop to 20 if it does not hold. My thoughts are to wait and watch carefully to see where the bottom will be. I think we will be unlucky (or lucky for topping up) to see 24 again!