IMOS does not have any customers that are significantly leveraged to Apple. However, in 2H when Apple is ramping new smartphones, iPads, and potentially additional devices as well, it will likely exacerbate already tight supply situations for DRAM, mobile DRAM, NAND and possibly even NOR - all of which should mean that the strong momentum into 2Q should continue unabated for the back half of the year.
Fundamentals here are exceptional and anyone selling here is selling at the cusp of a MAJOR break-out (like circa October 2003 - worth checking out IMOS' chart from then).
I hope you are right as I'm getting killed today. But it's hard to say. Unfortunately it looks like they've tied nearly all their fortunes to Apple. And Apple can be very unfair to deal with. They want to tie up your capacity, kill you on price, and cancel orders at their whim and on very short notice. NTE fortunes are now tied to whether Apple recovers strongly or not. In the meantime, the real estate initiative, while lucrative, will take a long time to play out. And the only analyst that covers them is likely to cut estimates and price targets again after just doing so last week.
In your opinion what is the 5 year target on NTE, Jay? $30? Is it your largest holding? My largest is IMOS, but I did pick up some NTE. I think IMOS is worth over 30 and view it as lower risk than NTE.