Severely undervalued---relatively little downside risk. Eventually some big holders will either force big divvy and buyback or just take it private. Put the stock away and forget it. Add on pullbacks if you're a firm believer in the story as I am.
The past few years it's made many improvements that I have stated here. How much that effects the cyclicality is anyone's guess.
But in the past it's ALWAYS been CYCLICAL. If you realize this you can do quite well over a few years max - again historically.
Not a buy and hold for 20 year stock.
I don't want a buyout or for them to squander the cash!!
Over the next 10 years they are likely bought out.
Then again as long as I've been involved with klic the death of the ball bonder has been pushed form time to time. And the process is still here!!
IIR the last call where Bruno was actually on the call (not having "elective" surgery) I believe they addressed the fact that they see atleast several more years of ball bonding. And as we all know copper, copper, copper is and has been KLIC's strength for the past few years. Sure beats the strupid foray into selling gold wire.
A few comments I've made here often over the years.
"scale in, scale out, online commissions are cheap" - and better put - if you're using s full commission broked to buy/sell KLIC you're stupid!! And I don't often call folks stupid - even if the shoe fits.
KLIC is better postioned product wise and financially that at any time since I've been following them.
The best buyout opportunity was when Scott retired.
I HOPE Bruno/new folks don't squander the cash putting their "stamp" on KLIC. Not all stamps turn out well.
There are many worse things than having cash at any time, and certianly now.
Spammers and shorts are a good sign here. But please negative rate and report the SPAM.
KLIC can swing 10% either way on no public news - always has. See "scale in, scale out, online commissions are cheap" above. Whether done with common or buying or writing calls this usually happens enough to make 20% on these play shares atleast one time per year whether it's going up or down.
How uncyclical KLIC is now is what we're all trying to figure out.
Joe has been there since summer 2010. KLIC decided to outsource IR and hired an outside firm but hired Joe to replace the old internal IR fella who was outstanding Mike Shaeffer, and before that it was Christine(sp?) Tomlinson.
I almost sold all KLIC when they decided to outsource IR. I posted here many times. Its NEVER a good sign when IR is outsourced. Yes it's explained away as cost savings. And in this case with KLIC to pander to I'll call it "buyers of scale". But to me that just means "fast moeny" which isn't good!. ALso at that time they still had lots of converts otu there. Big places would buy the converts and short endlessly against them. Scott and Maurice finally wised up a bit and stopped doing the converts.
In my opinion the last time KLIC pandered to Wallstreet was when they were talked into doing converts.
So again I don't see pandering to WS (like now) or outsourcing most of IR as good things.
Don't get me wrong, Joe is helpful. And I can't often understand Bruno (even when he's on the call) and last call you couldn't understand anybody.
I'd hope and have asked for a KLIC TRANSCRIPT and somehow they can' t find money in their budget to do that. And the SA one has tons of errors since they often can't understand what is said, the audio quality usually "applies suction", and English isn't the transcriptors first language.
Which takes me back to the fact that KLIC doesn't care as much about individual investors who traditionally hold longer than the big boys. I'm just waiting for KLIC to get burnt again by WS and the big boys. And I'm afraid they (WS) are pitching lots of bad idea's. Perhaps it helps now that the headquarters is in Singapore. that they haven't done anything dumb yet..