Quarterhill Inc T.QTRH

Apple jury award is excluded from our price target - $4

[trollingfordollars]

We base our thesis and valuation for Quarterhills value on three points: 1. The IP NAV of ~US$2.40 per share is a hidden value: The patent licensing opportunity of the 40-patent portfolio is ~US$750MM (undiscounted). The Apple jury award is excluded from our price target but included in our NAV. We discount this by 80% as the final value and timing are unknown. 2. Modest growth in recurring revenue: Intelligent Systems value is ~$1.11/share. 3. A balance sheet to execute the plan: Q3 cash is ~$124MM or ~$1.10/share. Quarterhill requires ~$50MM-$70MM to operate its business.

[astutein]

Trolling for dollars-Thanks for your projection target price of $ 4.00.  sounds good to me. However, not as criticism but to update your figures which should be closer to $ 5.oo due to the following facts: Company reported cash of 129.7 at conference call but also stated it had Accounts Receivable of 72 million which was cllected  after quarter that takes us to $ 200 million cash

[ChiChi3]

Good points Astutein.  Although I applaud one of the more realistic target prices of $4, it shows the general incompetence of these analysts.  Missing $70 million of money the company pretty much said they already collected is bad enough but look at their expectations going into the Q3 earnings release.  They must have missed the company's pre-announcement 3 weeks before. Plus

[v_guerriero]

The discounting of the Apple award by 80% is ridiculous. if the analyst spent more than 3 seconds pulling that out of his a** he would have found that the judge has only been overturned on appeal by CAFC 5% of the time on patent cases.  This is a solid judge and a solid court.  The judge has not been overturned by 80%. The court could also rule that the original jury award should

[wanttoknowwhy]

"the judge has only been overturned on appeal by CAFC 5% of the time on patent cases.  This is a solid judge and a solid court.  The judge has not been overturned by 80%." very interesting statistical data. any link? Thanks

[wilander]

I've been saying for a few months we are ripe to be sold and took heat for it.  (and we were at a much less SP than this.) Glad to see more are figuring it out. GLTAL

[v_guerriero]

I don't see the whole thing being sold.  The language used around WiLan is that it is treated as a cash cow / financial asset. If they can get a price for that unit that enables them to transform into the ITS company they want to, then they will do that.  They could do it a lot faster than waiting for Vladescu to fly to Taiwan and Japan trying to sign licensing deals. The Apple

[astutein]

No institution is willing to pay for possible court decision unless for 10%/   In addition how do you value future cases against Google re IPA and what about other cases in process Huizhou,  Micron ,Motorola and 9 other active cases.  How do you value our patents listed on balance sheet of 79 million, licensing agreements in force?.   In order to sell would need offer of $ 6.00

[ElJ]

Astutein,                I respect your observations but would caution that while Working Capital  did clearly have $72.043 million in Accounts Receivables on Sept 30th 2020 (much of which much of which has been indicated during CC as already collected), there was also an amount of $$40.198 million in Accounts Payable on the same end of Q3, 2020 date...

[astutein]

ELJ   Thanks for additional infformation re re A/p.   Appreciated.