SIMO management hasn't provided revenues guidance for next year. They will do that in the Q4 conference call. They have given some 2015 revenue guidance around the major product areas as follows
SIMO's eMMC - grow at least as fast as the eMMC market
LTE - 2015 revenues of $12m, same as 2014
legacy USB and removable cards - decline modestly
SSDs - grow 3x to 4x 2014 level of "more than $15m"
SIMO never provides EPS guidance. They do give revenues, gross margins operating expense and tax rate guidance, so you can derive an EPS guidance from what they give.
I don't know what that web site is using for forward and backward PE ratios. SIMO should do $2.00 in EPS fairly easily next year, but there will be lots of moving parts. SSDs will be hyper growth mode, eMMC should do better than 20% depending on whether their relationship with SK Hynix holds up, LTE is a wildcard and could easily be either zero dollars or $50m depending on how much Samsung uses their internal baseband. SIMO's operating expenses will go up, but it's hard to say how fast. They've indicated they have a lot more business opportunities than they have manpower, so they want more engineering resources.
I was checking out solid state drive on Black Friday and the densities for the money are almost approaching the point where they may replace hard drives
This should be SIMO's sweet spot. SIMO excels at making millions of units, cheaply, so they should do very well when SSDs replace hard drives in PCs. The other guys (MRVL) are out there making SSD controllers for enterprise level systems, state of the art high value stuff with corresponding high cost per unit. SIMO's bread and butter is the mass market high volume low cost stuff, IE consumer and corporate PCs. |
