From EMAN's CC yesterday.
The displays in the AR space, and I’ll use an example, not our example, it's the Himax displays sold to Glass. Himax said during the Oppenheimer conference a while back that they were selling displays and they didn't do this under an NDA, they simply told the fund managers who turned [indiscernible] and told us that they were selling $30 to $35.
9to5 Google reports the first commercial Google Glass (NASDAQ:GOOG) model features "a larger prism display, as well as an Intel (NASDAQ:INTC) Atom processor that brings better performance and moderately improved battery life." Connectivity is provided via Bluetooth and dual-band Wi-Fi.
The site adds Google is internally referring to the Glass model as Enterprise Edition. Many businesses and institutions have come up with potential uses for Glass, even as consumer attitudes towards the product remain quite mixed, thanks in large part to the privacy concerns caused by its camera.
Still no word on the model's pricing or official launch date. It's expected to be much cheaper than the $1,500 charged for the Explorer edition of Glass, which Google stopped selling earlier this year.
A larger display could provide an ASP boost for Glass microdisplay supplier Himax (NASDAQ:HIMX). The WSJ reported last fall Intel would provide the CPU for a next-gen Glass model.
Himax, Etron developing chips for VR applications
Cage Chao, Taipei; Steve Shen, DIGITIMES [Monday 15 June 2015]
While most Taiwan-based IC design houses are cautious in developing chips for virtual reality (VR) applications, Himax Technologies and Etron Technology may step into the VR market ahead of their fellow companies, according to industry sources.
Demand for IC parts for VR applications is expected to start emerging soon as Facebook, Google, Microsoft and Lenovo have all geared up efforts to develop related VR devices, with a number of new devices likely to hit the shelves in the second half of 2015, said the sources.
Facebook has been developing related VR devices and apps since it acquired Oculus VR in 2014, and so it is a reasonable assumption that it may launch commercial VR products in the second half of 2015, said the sources.
Other forthcoming VR devices include Samsung Electronics' Gear, Microsoft's HoloLens, HTC's Vive and Google's Cardboard, noted the sources.
Etron has been cooperating with its clients for the development of 3D sensing ICs and is ready for volume production for the chips, the sources revealed.
Meanwhile, Himax, which cooperated with Google for the development of Google Glass previously, is currently cooperating with clients in the US, Japan and China, for developing chips for VR applictions, optimizing its LCoS (liquid crystal on silicon) modules and related chip solutions.
Himax is expected to begin ramping up its LCoS module shipments in the second half of 2015, said the sources.
By Timothy Green | More Articles
June 10, 2015 | Comments (0)
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Himax Technologies (NASDAQ: HIMX ) , a provider of semiconductor components for flat panel displays, soared on Wednesday after an analyst from Bank of America/Merrill Lynch upgraded the stock to "buy" from a previous rating of "underperform." At 2:30 Wednesday afternoon, the stock was up about 10%.
So what: Bank of America seems to have a love-hate relationship with Himax stock. Back in January, Himax was Bank of America's top 2015 pick among display integrated circuit providers. Three months later, the bank downgraded the stock all the way to "underperform," giving it a price target of $7 per share. Now, less than three months after that downgrade, Bank of America has changed course yet again, bringing its rating back to "buy" with a new $8.50 price target.
Chinese market share was cited as one of the major concerns three months ago, but it seems that Bank of America now believes that things are improving. Growth of 4K TV sales was also cited as a possible driver of higher margins for Himax, with the analyst estimating that over 20% of large panel driver shipments in the first half of 2016 could come from 4K TVs, up from just 3%-4% during the first quarter of this year.
Now what: Bank of America's fickleness regarding Himax offers a great example of why analyst upgrades and downgrades should never be the sole reason to buy or sell a stock. When an analyst changes his mind twice within six months, that's a sign that short-term thinking is driving those ratings.
Instead of focusing on analyst upgrades and downgrades, investors should instead look at the long-term picture and the company's fundamentals. Himax is dependent on sales of TVs, smartphones, and monitors, and the company's results wi
Updated - June 10, 2015 7:38 AM EDT)
BofA/Merrill Lynch upgraded Himax Technologies (NASDAQ: HIMX) from Underperform to Buy with a price target of $8.50. Analyst Daniel Heyler sees a rebound in the second half of the year and in 2016.
Heyler noted improvement in the China smartphone market and 4KTV markets and he thinks display driven IC momentum will accelerate given improving demand, inventory restocking, and better mix.
4KTV contribution to large DDI shipments could reach the teens in Q2 and over 20% by the first half of 2016, vs 3-4% in Q1. This is likely to expand margins. Likewise, small/medium DDI sales are seen rebounding.
FLY ON THE WALL
As previously reported, BofA/Merrill upgraded Himax two notches to Buy from Underperform and increased its price target to $8.50. The firm expects the core business to benefit from a recovery in mobile and TV and for display IC sales to rebound. BofA/Merrill said the improvement in the China smartphone and 4KTV markets continues and expects an acceleration in momentum driven by demand, inventory restocking, and better mix and