Added to YB: 2026-05-07
Pitch date: 2026-05-05
IQEPF [neutral]
IQE plc
-9.36%
current return
Author Info
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Company Info
IQE plc, together with its subsidiaries, develops, manufactures, and sells advanced semiconductor materials.
Market Cap
GBP 403.2M
Pitch Price
GBP 0.49
Price Target
2.90 (+551%)
Dividend
N/A
EV/EBITDA
-70.21
P/E
-8.10
EV/Sales
4.86
Sector
Semiconductors and Semiconductor Equipment
Category
special_situation
$IQEPF: MACOM's £45M Buy Tells You What the Market Missed
IQEPF (holdings update): MACOM's £45M strategic investment (11.5% equity + £15M CLN + multi-year GaAs/InP/GaN supply deals + 2 board seats) ended existential risk. FY25 EBITDA positive at £97M rev despite 0% gross margin trough. Photonics (Lumentum VCSEL extension, Quintessent CPO, MACOM datacenter InP) path to £170M by FY30. 29% incremental contribution margin implies 15-20% EBITDA at £130-160M rev. Defense IR $5.8M orders, GaN power for 800V AI datacenters emerging. 34% dilution at 19.8p already priced. Trades 5-6x fwd EV/sales vs MACOM 9.6x, Coherent 3.4x. Updated probability-weighted target $2.90 vs $0.60 current (28% base IRR, 76% bull IRR). Risks: Apple VCSEL in-housing, CPO cycle delay, gross margin recovery execution. May 15 GM approval key catalyst.
Read full article (21 min)