# IQE plc (IQE.L) fundamentals

Data as of 2026-09-08. LSE, United Kingdom. Sector: Technology / Semiconductors & Semiconductor Equipment. Price 48p, market value 638 millionp.

## Valuation
- **P/E (trailing): n/a** (negative earnings). IQE plc reported negative earnings over the last twelve months, so the P/E is not meaningful; use price-to-sales, EV/EBITDA and free-cash-flow yield instead.
- **Price / sales: 3.0×**. Each dollar of revenue is priced at 3.0×.
- **Price / book: 5.2×**. The shares trade at 5.2× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **Free-cash-flow yield: -3.0%** (5-yr avg -0.1%). Free cash flow is negative: the business is consuming cash, which is normal for heavy investment phases but a warning otherwise.

## Profitability
- **Gross margin: 0.6%**. IQE plc keeps 0.6% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: -26.8%**. Operating margin is negative: the business loses money before interest and tax.
- **Net margin: -37.7%**. The company reported a net loss over the last twelve months.
- **Return on equity: -40.9%**. Return on equity is negative because earnings are negative.
- **Return on invested capital: -34.8%**. Return on all capital, debt included, is -34.8%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: -35.1%**. Each dollar of assets produces -35.1% of profit.

## Growth
- **Revenue growth (1 yr): -17.6%** (3-yr -16.6%/yr, 5-yr -11.4%/yr). Revenue fell 17.6% over the last year, against -11.4% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 4.8%**. Earnings per share rose 4.8%, faster than revenue, so margins expanded or the share count shrank.

## Financial health
- **Debt to equity: 1.02**. Debt is 1.02 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: net cash**. IQE plc holds more cash than debt.
- **Interest coverage: -5.1×**. Operating profit covers interest only -5.1×: fragile.
- **Current ratio: 0.76** (quick 0.53). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Altman Z-score: 3.72**. A Z-score of 3.72 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 4/9**. 4 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. IQE plc does not currently pay a dividend, but it returned -0.0% of its market value through buybacks over the last year.

## Analyst view
- **Analyst consensus: strong_buy** (3 analysts). 3 analysts cover IQE plc; the consensus is strong_buy, with an average price target of 61p (+28% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 452.5%** (YTD 850.4%, 3-mo 5.0%). The shares are up 452.5% over twelve months including dividends.
- **From 52-week high: -34.2%** (929.9% above the low). Trading 34% below its 52-week high, deep in a drawdown.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 53**. An RSI of 53 is neutral.
- **Beta (1 yr): 1.09** (volatility 140%). Beta of 1.09 against the FTSE All-Share: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=IQE.L · Page: https://foliofundamentals.com/stocks/iqe.l

Not investment advice.