Semiconductor wafers manufacturer IQE (LON: IQE) is a cyclical business and the share price record shows how cyclical it is. The important thing is not to start buying at the top, even if it is difficult to predict when the bottom will be hit.
IQE is a specialist in the niche market for epitaxial compound semiconductor wafers, which are used in smartphones, lasers and infrared devices. The wafers can incorporate special materials. Because of the initial investment made in production capacity fixed costs are high, but once they are covered a large percentage of revenues drop through to prof...
