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Quarterhill Inc. (QTRHF)

Other OTC - Other OTC Delayed Price. Currency in USD
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1.9000+0.0200 (+1.06%)
At close: 3:15PM EDT
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  • J
    Johnny B
    Put in a nice support bottom at $2.30 Canadian. Solid , low risk stock that pays me to wait.
  • T
    Tony
    Has anyone heard when Apple is actually going to pay them? I am struggling to find a current status regardling the lawsuit. Last I heard, either side had 30 days to appeal the $108.98 Million June 2020 final decision.
  • J
    Jay
    Trending up very nice the past month. More runway to go back up over $3.00.
    Bullish
  • A
    Anonymous
    Anyone can make a decision to buy or sell a stock, timing is their choice. I have held a significant number of shares of QTRH for years and maybe it’s just an off the cuff observation but it seems more often than not to always be a bit of a spike in share price prior to dividend release. Now as a shareholder I love seeing the share price increase but on the other hand it means I get far fewer shares with the drip plan. This is great for the company and I guess consequently me as a shareholder but it definitely gets me thinking about the timing of news releases. Getting back to my original statement individuals can buy or sell on their own however corporate news releases can be predetermined. Would it not make sense to try and give out fewer shares (drip) albeit via a higher share price by releasing positive news prior to the dividend ....some food for thought. This is not the only company that seems to do this. Just saying 🙄

    PS yes I could just collect the dividend but I love this company and look forward to that double digit share price in the coming years!
    Bullish
  • a
    alk
    something is wrong with my internet or it really started moving?
  • Y
    Yahoo Finance Insights
    QTRH.TO is up 5.04% to 2.50
  • J
    John
    This is a very funny company. The company has no debt and makes a good money. However the stock is not going anywhere. Why?
  • r
    ron
    Management is methodically putting together a fortress of a company. The additions to
    IRD will payoff in the future . A strong balance sheet with a dividend and upcoming
    legal settlements makes this a solid position in my portfolio for the next 5 years.
  • C
    Chuck
    Always has great potential, but stuck in a rut.
  • J
    Jay
    Between the current assets (less ALL liabilities), QTRH had $174 million in net current assets (most of which was cash so it's very liquid). Right now the market cap is $339 million. Stripping away these liquid current assets leaves the remaining business valued at $165 million. But those current assets don't include the almost guaranteed Apple settlement of $109 million (and growing with interest) in USD (worth at least $140 million CAD and growing - although after federal/provincial tax (let's assume a high corporate rate of 25%), leaves the settlement at, at a minimum, $105 CAD. Factor that in, and the rest of the business is currently valued at $60 million CAD. Given that the most recent 9 months had net income from continuing operations of $15 million. The prior year had full year net income of $10.5 million. So even assuming a full year income this year of $15 million (no income added in Q4), puts the business valued at 4x net income.Given that most companies have a P/E in the 8-20 range these days, even bumping the PE up to just 8, values the remaining business at $120 million, $60 million higher than the current share price (18% higher than today - putting QTRH at a $3.48 share price). Bump the PE up to 12 and now we're talking $120 million higher than today (35% higher than today - putting QTRH at a $3.99 share price).Use a higher PE, or any 4th quarter earnings at all, or any 4th quarter net asset addition, and the valuation goes even higher still.In short, I think any share price below $3.48 is an absolute bargain, and somewhere over $4.00 is very reasonable, maybe as high #$%$00. And almost NO risk, given how much of this valuation comes from existing assets and the virtually guaranteed Apple settlement. So 25-50% upside within 3 years with almost no downside. It's the easiest money out there in this possibly overheated market.
    Bullish
  • c
    cabbieJBJ
    So many numbers are being thrown about. I hope I can add clarity. Amounts are expressed in Canadian funds. The exchange rate is 1.35. In addition, the SIB is ignored in this analysis because it impacts future EPS calculations and now it may never happen. QTRH has 118M shares outstanding. Here are the known numbers/facts:

    Cash at March 31-2020 = $103.1M
    Sale of Viziya = $49.4M
    Accounts receivable at March 31-2020 = $24.5M
    Apple FINAL ORDER = $147.1
    TOTAL = $324.1M ($2.75/ share)

    Known deduction:
    1. McKool Smith contingency legal fees. Canaccord estimates 30%. McKool's contingency with VirnetX is 8% (under dispute, 8% is McKool's claim).

    Known potential additions:
    1. Non adjudicated products. The FINAL ORDER states: "As to the iPhone 8, 8 Plus, X, Xs, Xs Max, and Xr sold by Apple 3 through May 21, 2019, the parties are working on a separate stipulation and agreement to provide royalties consistent with this judgment and are reserving their respective rights." This another 20 months of revenue from the launch of these iPhone variations in Q4/17, with an estimated 4 - 5 million units per month at US$0.45 per unit. Using a midpoint of 4.5 units per month, additional revenue of $55M may be realized by Wilan.
    2. Legal fees. The FINAL ORDER also says, "To the extent that Wi-LAN determines that it will file a motion for attorney's fees it shall be due at the same time as the bill of costs." The date is when appeals run out.
    3. Post judgement interest has also been awarded at 7% p.a. from June 16, 2020. Interest would be ~$850K per month.

    Hope this helps
  • A
    Anonymous
    This stock is one of the more intriguing plays I have had over the years, as it plays you like you’re on the roller coaster. A number of important factors you have to look at whenever investing is balance sheet and future expectations. Their balance sheet is impeccable and there future potential earnings are enormous. They earned roughly $30 million last year on approximately 100 million shares outstanding. Pretty easy math 30 cents a share. Simplistically stated this stock is trading at a little more than 8 times earning. In the real world 12 to 15 times earnings are considered appropriately valued companies. QTRH should be trading somewhere between $3.6 and $4.5 not even taking into account their cash on hand and there future potential enormous law suit settlement win over Apple. How on earth is this stock valued where it is makes little sense, and that is why I continue to use DRIP as well as add shares when opportunities present themselves.
    I want to believe management is taking this company in the right direction as some major changes have recently occurred in their buying of Sensor Line and their selling of Vizia.
    The fact the company continues to buyback shares also signifies believe in the company. I will hold on until I see failure and for the time being that is nowhere near, to me there is way more upside left!
    December 2022 is a reasonable time frame for this company to have its vision play out. QTRH will hit double digits and how we go from here to there is irrelevant as long as we get there!
    Bullish
  • R
    Robert
    Perhaps the beginning of a breakout to $3.00. I'm holding until the final Apple suit verdict comes in and the case is settled. Could be up to two years before everything wraps up. The interest on the amount awarded will continue to accumulate until settlement. I can wait a few years on a fairly modest investment of 10,000 shares.
  • J
    Jay
    Current market cap is $301 million. Balance sheet has virtually no debt but $141.25 million in cash and STI (A/R approximately offsets A/P). There's the Apple settlement which, post tax, including interest, probably nets approx $110 million CAD. That's $251.25 million in liquid assets right there, leaving ALL the other assets and ALL future cash flows valued at approx $50 million CAD. This is for a company that generated $18 million in net income this year, just signed a new deal with LG, and has other assets as well. It's extremely undervalued. Don't be fooled by lumpy quarters - that's the nature of the business - look at full year results.
    Bullish
  • Y
    Yahoo Finance Insights
    QTRH.TO is down 5.18% to 2.38
  • b
    ben j
    Great price action today. Also, Donald, I e-mailed their investor relations a few months back. He thinks that they Apple suit will be late 2022 or 2023...but it depends on the courts and appeals. I too think it is brutal, as I bought the stock YEARS ago when they won the first lawsuit...crazy that it takes this long but remember, Quarterhill is getting something like 7% interest on the money apple owes...so that is an extra 10-12 million CDN a year in PURE PROFIT...so, I am ok with it taking a bit of time and will wait for the final big payout that hopefully includes royalties for years to come:)
    Bullish
  • J
    Johnny B
    Loving the new 52 week high / breakout. Got my nice dividend the other day , which goes directly into more shares at the 3% discounted rate. The DRIP plan here is very valuable to any longer term investor.
  • a
    allin
    Look: this thing can move!
  • A
    Anonymous
    What is going on, there must be some big news to come out? Maybe a takeover ....oh my this is very interesting?
    Or are the markets finally waking up to the enormous potential here?
  • M
    Maria
    QTRH wins lawsuit against AAPL, gets $145 million.