I don't know if anyone follows chartist Harry Boxer, but he made a call two weeks ago that Himax needed to consolidate or drop a little, then would move above $8 with volume, followed quickly by a move to $9. His calls are very good.
Dave, I too am generally pleased with the 7% discount, and even more pleased to see that the deal could close very quickly if SPIL chooses to do so. Also pleased with the resulting 3% reduction in the IMOS share count, which improves EPS going forward. Less exciting too me is the continuing negative impact on earnings as a result of the non-controlling interest. I realize it was a necessary step in the unwinding for IMOS to reduce its stake in 8150, but while we wait for the share collapse, it is resulting in lower earnings for the US shares. We also reduced our share more than we originally expected. As revenues and profits grow, it would be nice to get a bigger share over here. I am willing to wait another six months, but I will not back away from my view that a disproportionate share of the financial benefits have gone to 8150 holders. It's time for someone to look out for our interests.
Jaret, I will reserve judgement on the SPIL buyback until I see the price paid. We tend to SELL shares below-market- let's hope we don't BUY them above! Overall very positive business conditions, but I continue to find it unacceptable that they aren't even willing to discuss a timetable on conversion.
I hope Caff guides them up on revenue guidance during the call. I am a little disappointed in 3 to 7 after a great July. August and September should be even stronger. It would take about 10% to hit 200M.
Golong, this ruling will never stand up. it defies logic to expect Siga to pay $100 per course on the original order of 14.7m courses when the order was cut to 1.7m courses. So Siga pays on the 1.7m courses now, less expenses. Likley around $80m, and only pays more if another re-order takes place. Did the judge address the shady way Siga has been withholding the money from Pip?
Companies are only required to identify the names of their 10% customers at year-end, in the 10K. But since they are breaking down the percentage of volume of each of their "unnnamed" top 5 customers, it may be possible to determine if Apple was a customer in the June quarter. To do the calculation, we would need to know what the earlier sales volume with Apple was. Anyone up to the challenge?
Furthermore, I have been conditioned from past dealings that the eventual proposal will end up benefiting the Taiwan holders disproportionally, just like every other transaction has. As for us "having the votes" to control the process, I find that laughable. Even some of our biggest institutional investors don't appear to have a clue of the true value of the US shares.
"All we need is a stable world market and economy."
Which we have had for MONTHS while management has bumbled and stumbled along through this process. It is nothing short of ridiculous that we still do not have a conversion proposal. Yet I fully expect them next week to still have no details and offer more excuses for the delay. Absolutely inexcusable.
Looks like Vic really underestimated the impact the failed LG negotiations/lowered guidance would have on his share price. I would expect a resolution quickly along with an announcement that guidance will be raised back up if the license is secured quickly. Quite possibly the hitch is Immersion's insistence that basic haptics be included much like the Samsung re-up.
Not ridiculous. CEO has for months pumped big second half revenue growth and now projects no better than break-even in q3 from all that revenue. People want profits.
Marnis, the annual meeting for the U.S. shares is Aug 29. Proxies have been sent out asking for votes on directors. If they hope to put something about the conversion up for shareholder approval at that meeting, they are just about out of time. With their track record of moving everything at a snail's pace, I just don't see them having a proposal ready until Sept/Oct. Then more delays while they get approval from both shareholder bases and regulators in both countries. I agree IMOS will begin trading in tandem with 8150 once proposal details are made public, but I just don't see that happening anytime soon. It's really a shame. And with our luck, the announcement will coincide with the sharp market pullback everyone has been predicting.
By the way, I have never been able to figure out the love with Amazon. Sell everything at cost, lose money year after year, and watch your stock price soar, all the while making excuse after excuse that you are investing deeply in technology and acquisitions so you can sell even MORE products at or below cost. Unbelievable...
My complaint forever was an antiquated, money-losing distribution division losing sales and losing money quarter after quarter. Now that is someone else's problem. What is left is a pure-play ecommerce unit that will grow revenues for the forseeable future. Two numbers stand out. 20% margins and 10% operating expenses. If they can hold these numbers or even improve them, that leaves 10% ebitda. From their FY '15 guidance, it will be even better than that. It is probably not a reach to predict a true NET PROFIT in the present September quarter. I'm beginning to see the math that Adler must have seen when he bought a big postion in the mid $3's. Still don't understand why Becker dumped though.
They never are. Immersion keeps these deals confidential due for competitive reasons and so as to not affect other ongoing negotiations. But the recent trend is for a blend of both lump-sum and per-unit royalties, which will likely be significant with this customer.
My concern for a long time is that not enough falls to the bottom line. But with total operating expenses of $11-12M per quarter, as volumes grow, more of this new revenue will become net profit.
Bob, I don't see much risk with Immersion. Their technology is becoming must-have in everything from phones to tablets to cars to appliances to slot machines and on and on. They own all the key patents in the industry. One by one, companies are signing license agreements. How is this list of current licensees: Sony, Microsoft, Samsung, LG, Nokia, Logitech, Atmel, Plus two new very recent Chinese cell phone heavyweights. Not to mention the companies supplying touchscreens to key automotive companies and medical simulators. No debt, 98% gross margins, consistent net earnings. Apple will add haptics to their phones and tablets THIS year for the first time. Even if they choose to go it alone without Immersion, they will make haptics a must-have in every electronics product sold. Finally, when you virtually lock up an industry, you become a very inviting buyout candidate. Immersion is headed higher. Immersion is still flying below the radar, much like Chipmos was and to an extent still is.
Tabby is totally, positively delusional to post that HTCH will be profitable in the present quarter (July-Sept). Nor will they be profitable the quarter following. Anyone following his path or buying with those expectations deserves to lose the money invested. That prediction is ignorant and absurd.
Sean, part of yesterday's U.S. bump might have been Russell buying. Chipmos officially becomes part of the index at the close today. Hopefully more buying today and potentially some strange trades at the close.
Tabby isn't 'early", he is delusional with his stocks. He is a textbook case of one of who falls in love with his picks and is unable to see objectively. He will hold a pos for years waiting and waiting. 3 analysts have an estimate of a loss of .22 next quarter, yet Tabby says they will be PROFITABLE in the quarter. Absolutely delusional. Very likely a new 52-week low this week. Absolutely terrible management.
Forgot to mention also the current all you can eat shrimp promotion. Another margin killer. Look at Red Lobster today. Looks like the CEO has chosen margin pressures over empty dining rooms. Lesser of two evils?