Do you have an opinion on IQE? They are believed to be a supplier to AAOI.
In brief the situation is:
-IQE is an epitaxy wafer supplier. -They have shit the bed recently on account of mobile market decline, government procurement delays, and probably mismanagement
-financials look terrible; in violation of debt covenants
-however they are a supplier to AAOI and thus their revenue prospectively should look like a watered down version of AAOI’s 10x growth.
-given their other markets are suffering, IQE has abundant capacity
-this should solve their financial problems and cause earnings to hit ath; which would make current market cap look very attractive
Of course the challenges are:
-do they suck at making epitaxy wafers? Certainly their results don’t suggest excellence
-is it correct to believe the capacity can be switched across markets?
-is it certain they supply AAOI and would see big orders, or is this more rumor than fact?
this stack is the best thing on a screen
What about IQE
/ok-tucano investigate:@tucano.space:stop;
Can you talk about IQE and possibly AXTI is worth going into?
Well read. Thanks!
Do you have an opinion on IQE? They are believed to be a supplier to AAOI.
In brief the situation is:
-IQE is an epitaxy wafer supplier. -They have shit the bed recently on account of mobile market decline, government procurement delays, and probably mismanagement
-financials look terrible; in violation of debt covenants
-however they are a supplier to AAOI and thus their revenue prospectively should look like a watered down version of AAOI’s 10x growth.
-given their other markets are suffering, IQE has abundant capacity
-this should solve their financial problems and cause earnings to hit ath; which would make current market cap look very attractive
Of course the challenges are:
-do they suck at making epitaxy wafers? Certainly their results don’t suggest excellence
-is it correct to believe the capacity can be switched across markets?
-is it certain they supply AAOI and would see big orders, or is this more rumor than fact?
Qualification was done on NVDA systems. Transceiver was used on another AI ASIC system and needed a tweak. Easy fix
Secure the bag, boys! 💰 💰
What kind of laser they can produce? How much InP capacity are we talking about?