Himax Technologies (Nasdaq: HIMX) Shareholders Anxious Ahead of Earnings

Himax Technologies, Inc. – Nasdaq: HIMX

In September Taiwan-based Himax Technologies (Nasdaq: HIMX) was trading just under $11 – then the analysts started downgrading the technology company. From the end of September until yesterday there were six downgrades and yesterday HIMX settled barely above $5.

On September 23, 2016 Nomura was the first firm to issue a downgrade on HIMX – the stock dropped from $10.73 to $8.63 on volumes in exceeding 22 million shares when the average daily volume was around 2.5 million. HIMX continued to slide and the next downgrade was issued from Morgan Stanley on Nov 7, followed by five more downgrades in thirty days beginning on January 6, 2017.

So why are analysts being so hard on Himax? Himax supplies image processing technology. To over-simplify – they supply the technology that turns computer code into the picture on a screen. The company primarily supplies its technology to the manufacturers of smartphones and handheld devices but smartphone sales are slowing globally. Also working against Himax is the augmented reality sector. They are a key supplier to, and are predicted to be heavily revenue dependent on, Microsoft’s HoloLens headwear – smartglasses. The HoloLens headwear, which look like futuristic sunglasses, is Microsoft’s entrant into the 3D, augmented reality market. Analysts are not being kind to Microsoft’s 3D effort either – pushing back revenue and sales estimates into late 2017. Lastly, analysts are claiming that Himax’s technology is inferior to what the competition is coming out with.

All of these factors have pushed analysts to not only downgrade HIMX but also to forecast further downside between 20 – 30%. This represents a reversal of fortune for a Himax as their sales grew from $633 million in 2011 to $840.5 million in 2014. EPS for HIMX shareholders grew similarly – the company posted earnings of $0.06 EPS in 2011 and $0.39 in 2014. Then 2015 came and the figures declined – $0.15 EPS on sales of $691.8 million.

Analysts are forecasting 4th quarter 2016 revenues to come in between $200 and $220 million with EPS between $0.05 and $0.13. Himax Technologies is scheduled to release its earnings next Thursday – February 13.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

2/6/2017
Ticker Symbol HIMX
Last Price a/o 4:00 PM EST  $                      5.14
Average Volume                3,760,000
Market Cap (mlns)  $                  897.65
Sales (mlns) $725.00
Shares Outstanding (mlns) 174.64
Share Float (mlns) 148.8
Shortable Yes
Optionable Yes
Inside Ownership 12.30%
Short Float 7.67%
Short Interest Ratio 3.03
Quarterly Return -32.99%
YTD Return -14.90%
Year Return -35.48%

Cemtrex Inc. (Nasdaq: CETX) Thursday Earnings Announcement Could Surprise

Cemtrex, Inc. – Nasdaq: CETX

Farmingdale, NY-based Cemtrex will be announcing their 4th quarter 2016 financial results at 9 AM Feb. 9, 2017. Cemtrex trades on the Nasdaq under ticker symbol CETX. The diversified technology company offers a range of products, systems, and services to industries around the world. The company is primarily focused on providing electronic manufacturing services of printed circuit board assemblies, instruments for industrial processes, and industrial environmental control systems.

The company began trading on the Nasdaq on June 25, 2015. On January 23, 2017 Cemtrex announced the conclusion of its subscription rights offering which expired on January 20, 2017. The Company sold 1,356,187 units in the rights offering raising total gross proceeds of $13,561,870 before payment of the dealer-manager fee and other offering expenses.

According to sources, analysts are forecasting an earnings decrease of 25.42% for 2017 over last year. However technical analysis using an Accumulation/Distribution indicator on a daily bar chart shows strong demand for CETX.

 

Cemtrex sales have increased year-on-year since 2012 when the company reported sales of $12.2 million and in 2016 they reported $93.7 million. CETX shareholders have also seen increasing growth. In 2013 EPS for CETX was $0.04 but in 2016 that figure was $0.59.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

2/6/2017
Ticker Symbol CETX
Last Price a/o 12:03 PM EST  $                      6.37
Average Volume                    486,000
Market Cap (mlns)  $                    56.38
Sales (mlns) $93.70
Shares Outstanding (mlns) 9.46
Share Float (mlns) 5.24
Shortable Yes
Optionable No
Inside Ownership 70.91%
Short Float 4.64%
Short Interest Ratio 0.5
Quarterly Return 39.25%
YTD Return -19.24%
Year Return 189.32%

Airborne Wireless Networks (OTCBB: ABWN) Poised to Disrupt?

The explosion of the internet age saw hundreds of billions of dollars spent to lay down wire and fiber-optic cables that would carry more information in an hour than had been created in all of man’s existence. Cell towers were erected that allowed electronic voice, and later data, communications to travel through the air. Iridium Communications (previously known as Iridium Satellite LLC) was the first to attempt to bring the information superhighway to the entire world. They launched a constellation of low-orbit satellites that allow their users to access digital voice/data communications anywhere in the world – at an expense that most find prohibitive. Now the world has Airborne Wireless Networks (ABWN). A company that has a intriguing, patented approach to global voice/data communications at a fraction of the current cost by utilizing airplanes instead of costly satellites.

Simi Valley, CA-based Airborne Wireless wants to fill the geographic “black holes” in the world’s digital communications by linking commercial aircraft in flight.  Each aircraft participating in the network acts as an airborne repeater or router, sending and receiving broadband signals from one aircraft to the next and creating a digital superhighway in the sky.  Unlike Iridium Communications, Airborne Wireless will not market to end-users, it will instead sell access to its network to internet service providers and telephone companies. ABWN has started marketing itself on Fox Business News.

The efficiency and convenience of such a network is arguably unparalleled when compared to existing alternatives. Oil rigs, outdoor enthusiasts, or countries that do not enjoy a digital infrastructure comparable to the developed words’ – all could now have equal access to the internet.

In 1998, during the pioneering days of wireless data-connectivity, Airborne Wireless Network’s inventor submitted a patent application to the US patent and trademark office, and on September 4, 2001, US patent number US 6,285,878 B1 was granted. A few days later an event occurred which changed the airline industry and which would delay development of this disruptive technology for years.

Fast-forward to 2016, Airborne Wireless acquired the patent and months later announced that it received an FAA Project Number for its Supplemental Type Certificate (STC) application to install a Broadband Transceiver System on Boeing 757-200 aircraft. In December of 2016, ABWN entered into an agreement with Electric Lightwave Holdings, Inc. The agreement allows the Infinitus Super Highway™, once implemented, to reach the end users. Without a ground link, users would have no way to access the ABWN network.

In January of 2017, Airborne Wireless Network and Air Lease Corporation (NYSE: AL) announced they entered into a Memorandum of Understanding with regards to a strategic marketing partnership for Airborne Wireless Network’s proposed broadband wireless networks. Los Angeles, CA-based Air Lease Corporation owns 240 aircraft, including 181 single-aisle narrow-body jet aircraft, 40 twin-aisle widebody jet aircraft, and 19 turboprop aircraft. Under the terms of the agreement, Air Lease Corporation will act as the exclusive marketing agent and use its extensive network of airline customers to market the “Infinitus Super Highway™” to multiple airline customers throughout the world.

Investors seem to be responding positively to Airborne Wireless’ concept and progress. A year ago, AWBN (OTCQB: ABWN) was trading at $0.25, but closed Friday, February, 3, 2017, at $2.17 with a market cap over $150 million and over one million shares traded. Should Airborne Wireless continue to successfully execute its vision, it will forever change society. No longer will people or businesses have to factor in internet access availability when deciding where to locate. That makes it a company with a potentially high disruption factor not only in the sense of technology, but also how we function as a society.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

Pixelworks Inc. (Nasdaq: PXLW) Reports Earnings and Shares Gain 20%+

Pixelworks, Inc. – Nasdaq: PXLW

Pixelworks shares, traded on the Nasdaq under ticker PXLW, are up over 20% in the after-hours market after the company released 4th quarter financials. PXLW EPS came in at $0.04 which beat estimates by $0.03. Revenues increased 18.6% year-on-year and the $15.99 figure beat estimates by $0.5 million.

San Jose, CA-based Pixelworks develops and markets video display processing technology for high quality digital video applications. It also has an intellectual property portfolio of 135 patents related to the visual display of digital image data.

Sales have been inconsistent but trend lower overall. In 2011 Pixelworks reported sales of $64.6 million and that number declined to $59.5 million in 2015. PXLW shareholders have experienced negative EPS since 2011. And in 2015 EPS for PXLW was a loss of $0.42. Four firms follow Pixelworks. Two rate PXLW shares as a “Strong Buy”, one rates the shares as a “Buy”, and one rates PXLW shares as a “Hold. Their consensus price target is $3.65.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

2/2/2017
Ticker Symbol PXLW
Last Price a/o 5:44 PM EST  $                      3.70
Average Volume                    184,850
Market Cap (mlns)  $                    89.99
Sales (mlns) $50.90
Shares Outstanding (mlns) 28.66
Share Float (mlns) 23.92
Shortable Yes
Optionable Yes
Inside Ownership 1.40%
Short Float 3.46%
Short Interest Ratio 4.47
Quarterly Return 19.85%
YTD Return 12.14%
Year Return 124.29%

Electro Scientific Industries Inc. (Nasdaq: ESIO) Shares Rise after Earnings Report

Electro Scientific Industries Inc. – Nasdaq: ESIO

Electro Scientific Industries Inc. shares are up over 10% in after-hours trading after the company released financial results for fiscal 3rd quarter ending Dec. 31, 2016. Electro Scientific Industries Inc. trade on the Nasdaq under ticker ESIO.

Third quarter revenue was $33.8 million, compared to $29.7 million in the second quarter of 2017 and $43.3 million in the third quarter of last fiscal year. GAAP net loss was $9.7 million or $0.29 per share, compared to a net loss of $9.7 million, or $0.30 per share in the second quarter. On a non-GAAP basis net loss was $7.6 million or $0.23 per share, compared to net loss of $7.7 million or $0.24 per share in the prior quarter.

Michael Burger, president and CEO of ESI, said, “We delivered top and bottom line results at the high end of our expectations in the third quarter, as revenues grew 14% sequentially. We also made progress on new product evaluation by customers, the integration of our Visicon acquisition, and repositioning our Micromachining product line for future success.”

Electro Scientific Industries Inc. sales increased from $159.1 million in 2015 to $184.4 million in 2016. ESIO shares lost $1.43 in 2015 but narrowed that loss to $0.39 in 2016. ESIO shares are followed by two firms. One rates ESIO as a “Strong Buy” and the other rates the shares as a “Hold”.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

2/1/2017
Ticker Symbol ESIO
Last Price a/o 5:38 PM EST  $                      7.48
Average Volume                    155,640
Market Cap (mlns)  $                  213.30
Sales (mlns) $172.20
Shares Outstanding (mlns) 32.47
Share Float (mlns) 31.42
Shortable Yes
Optionable Yes
Inside Ownership 1.90%
Short Float 3.13%
Short Interest Ratio 6.32
Quarterly Return 26.83%
YTD Return 10.98%
Year Return 10.23%

InvenSense Inc. (NYSE: INVN) Shares Down on Rumors of Losing Apple Account

InvenSense Inc. – NYSE: INVN

Rumors that InvenSense may lose its key contract with Apple (Nasdaq: AAPL) plunged the shares by over 10% today. InvenSense is traded on the NYSE under ticker INVN and normal average daily volumes are just over 3.2 million. However, today over 13.6 million shares traded hands. This comes just a few weeks after InvenSense agreed to be purchased by TDK for $13/share. Observers are cautious that the Apple contract loss would endanger the proposed sale of InvenSense. 

San Jose, CA-based InvenSense InvenSense, Inc. develops, manufactures, and sells MEMS (micro electrical mechanical systems) sensor platforms. InvenSense’s vision of Sensing Everything™ targets the consumer electronics and industrial markets with integrated Motion and Sound solutions. Solutions combine MEMS sensors with proprietary algorithms and firmware that intelligently process, synthesize, and calibrate the output of sensors, maximizing performance and accuracy.

InvenSense sales have increased every year since 2012 when it posted $153 million. In 2015 that figure increased to $418.4 million. INVN shareholders have not seen the same gains in EPS. In 2012 INVN posted a gain of $0.39 EPS. However in 2016 INVN posted a loss of $0.23.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

2/1/2017
Ticker Symbol INVN
Last Price a/o 4:40 PM EST  $                    11.50
Average Volume                3,200,000
Market Cap (mlns)  $              1,090.00
Sales (mlns) $340.00
Shares Outstanding (mlns) 93.97
Share Float (mlns) 93.48
Shortable Yes
Optionable Yes
Inside Ownership 0.40%
Short Float 10.74%
Short Interest Ratio 3.13
Quarterly Return 51.50%
YTD Return -9.38%
Year Return 54.95%

Lumentum Holdings Inc. (Nasdaq: LITE) Shares Up

Lumentum Holdings, Inc. – Nasdaq: LITE

Lumentum Holdings Inc. was the recipient of investor demand after II-VI (Nasdaq: IIVI) posted financial results that beat estimates. Shares, traded on the Nasdaq under ticker LITE, were up almost 10% in today’s trading despite a lack of news from the company.

Milpitas, CA-based Lumentum is a manufacturer of innovative optical and photonic products enabling optical networking and commercial laser customers worldwide. Lumentum’s optical components and subsystems are part of virtually every type of telecom, enterprise, and data center network. Lumentum’s commercial lasers enable advanced manufacturing techniques and diverse applications including next-generation 3D sensing capabilities.

Lumentum sales have increased every year since 2012 and in 2015 the company reported $903 million in sales. LITE shareholders however experienced negative EPS each of the last two years (-$0.06 and -$0.05) after three straight years of positive EPS. Thirteen firms follow Lumentum Holdings. Ten give LITE shares a “Strong Buy” rating, one rates LITE as a “Hold”, and two rate LITE as a “Sell”. Their consensus price estimate is $46.

 I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

1/24/2017
Ticker Symbol LITE
Last Price a/o 5:58 PM EST  $                    38.00
Average Volume 996,000
Market Cap $2.26 Billion
Sales $948 million
Shares Outstanding 60.01 million
Share Float 54.55 million
Shortable Yes
Optionable Yes
Inside Ownership 0.80%
Short Float 7.02%
Short Interest Ratio 3.84
Quarterly Return -6.68%
YTD Return -2.46%
Year Return 93.83%

Clean Diesel Technologies Inc. (Nasdaq: CDTI) Announcement Makes Shares Jump

Clean Diesel Technologies, Inc. – Nasdaq: CDTI

Nano-cap Clean Diesel Technologies Inc. shares are u over 20% in after-hours trading. The shares, traded on the Nasdaq under ticker CDTI, ended the regular trading session up just 0.51% but news that Clean Diesel Technologies, Inc., a clean-tech emissions control company, has partnered with DENSO Products and Services Americas Inc., an affiliate of leading global automotive supplier DENSO Corp., to supply CDTI’s enabling technologies to the North American heavy-duty market. Under the scope of the partnership the two companies will launch PowerEdge diesel after-treatment, which will be distributed by DENSO and manufactured by CDTI featuring CDTI’s Diesel Particulate Filter and Diesel Oxidation Catalyst technologies.

 “This partnership reflects our continued success in positioning CDTi as a provider of emissions solutions to the global automotive market,” stated Matthew Beale, CDTi’s CEO. “DENSO’s choice of CDTi provides further evidence of our growing technology leadership in the world’s largest heavy-duty markets. We are excited to add DENSO to our growing customer base of global manufacturing and distribution partners.”

 Three firms follow Clean Diesel Technologies Inc. Two rate CDTI as a “Strong Buy” and one rates it as a “Hold”. Their consensus price target for CDTI is $4.75. 

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

1/24/2017
Ticker Symbol CDTI
Last Price a/o 5:46 PM EST  $                      2.39
Average Volume 58,500
Market Cap $20.69 milliom
Sales $38 million
Shares Outstanding 10.45 million
Share Float 4.86 million
Shortable Yes
Optionable No
Inside Ownership 53.70%
Short Float 5.67%
Short Interest Ratio 4.72
Quarterly Return -42.77%
YTD Return -7.90%
Year Return -30.52%

II-VI Inc. (Nasdaq: IIVI) Beats Estimates – Shares Rise 14%+

II-VI Inc. – Nasdaq: IIVI

Saxonburg, PA-based II-VI Inc. shares gapped up today and continued to rise. The shares, traded on the Nasdaq under ticker symbol IIVI, closed yesterday at $31.40, gapped to open at $33.35, and hit an inter-day high of $36.25. IIVI shares were responding to II-VI Inc.’s financial earnings announcement in which II-VI achieved record bookings, earnings, and increased EPS 42%.

Vincent D. Mattera, Jr., President and Chief Executive Officer, said “Our second fiscal quarter results reflect our strategy and the results of our efforts to address the growing market opportunities we are seeing, including those in the communications markets. Company margin expansion is being driven by volume and manufacturing efficiencies. With a book to bill ratio of 1.18, we anticipate the momentum we are currently experiencing to continue through the second half of fiscal year 2017.”

II-VI Incorporated develops, manufactures, and sells engineered materials and optoelectronic components and products worldwide. It operates through three segments: II-VI Laser Solutions, II-VI Photonics, and II-VI Performance Products.

Five firms follow IV-II Inc. and four give IIVI shares a “Strong Buy” rating while one gives the shares a “Hold” rating. Their consensus price target for IIVI is $8.50.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

1/24/2017
Ticker Symbol IIVI
Last Price a/o 4:00 PM EST  $                    36.05
Average Volume 447,990
Market Cap $1.91 Billion
Sales $859.5 million
Shares Outstanding 60.97 milion
Share Float 54.54 million
Shortable Yes
Optionable Yes
Inside Ownership 1.90%
Short Float 0.93%
Short Interest Ratio 1.14
Quarterly Return 21.24%
YTD Return 5.90%
Year Return 86.24%

Amtech Systems Inc. (Nasdaq: ASYS) Reports Revenues – Shares Rocket

Amtech Systems, Inc. – Nasdaq: ASYS

Shares of Tempe, AZ-based Amtech Systems Inc have been up over 50% in today’s trading on extremely heavy volume. Amtech announced fiscal year 2017 year-to-date order bookings through January 20, 2017 are approximately $84 million. This includes solar orders of $60 million. That figure represents around one-third of their total sales for 2016 ($120.3 million).

ASYS, traded on the Nasdaq, ended yesterday at $4.11 but the news quickly sent shares to $6.17. The average trading volume for ASYS is just over 30,000 shares per day but as of 2:24 PM EST share volume was over 1,000,000 shares.

Amtech Systems, Inc. manufactures and sells capital equipment and related consumables to manufacture solar cells, LED, and semiconductor devices. Although they operate primarily in the United States, they also have operations and sales units in Asia, Europe, and internationally.

One firm follows Amtech Systems Inc. Their analysts have rated shares of ASYS as a “Strong Buy” with a price target of $8.75.

I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 96 hours. All information, or data, is provided with no guarantees of accuracy.

1/24/2017
Ticker Symbol ASYS
Last Price a/o 1:13 PM EST  $                      5.75
Average Volume 30,100
Market Cap $52.48 million
Sales $120.3 milion
Shares Outstanding 12.77 million
Share Float 10.19 million
Shortable Yes
Optionable Yes
Inside Ownership 22.82%
Short Float 0.95%
Short Interest Ratio 3.22
Quarterly Return -7.22%
YTD Return -3.29%
Year Return -20.81%