EMKR - Sector: Technology---Industry: Semiconductors

[setravis]

EMCORE to Separate Business
Lines Following 51% SG&A Annual Increase
Shares of EMCORE Corporation (EMKR) were up 5.015% following
Monday's news that the company plans to separate its two business
lines in fiber optics and photovoltaics. According to the company, the
move allows Emcore to maximize the potential and efficiencies of both
business segments. EMCORE's restructuring programs are designed to
further reduce the number of manufacturing facilities, in addition to the
divesture or exit from selected businesses and product lines that are not
strategic or capable of achieving desired revenue or profitability goals.
Annual fiber optics revenue increased $5.5M or 5% to $110.4M from
$104.9M, as reported in the prior year. Fiber optics revenue represented
65% and 73% of EMCORE's total consolidated revenue for fiscal
2007 and 2006, respectively. Annual photovoltaics revenue increased
$20.5M or 53% to $59.2M from $38.7 million, as reported in the prior
year. Photovoltaics revenue represented 35% and 27% of EMCORE's
total consolidated revenue for fiscal 2007 and 2006, respectively. SG&A
expenses increased $19.6M or 51% to $57.8 million from $38.2 million
in the prior year. During the company annual stockholders meeting on
March 31, 2008, Emcore approved an amendment to the Company's
2000 Stock Option Plan by increasing the number of shares available
for issuance under the Plan from 6,850,000 shares to 9,350,000 shares.
Under the Restated Certificate of Incorporation, the total number of
shares of capital stock which the Company has the authority to issue
is 105,882,352. Of these authorized shares, Common Stock comprises
100M shares and preferred stock comprises 5,882,352 shares.


52wk Range: 4.32 - 15.90
Volume: 3,407,521
Avg Vol (3m): 2,837,530

Technicals
Close Above the 13-day MA

Last Price Quote is:
1.97%above 13-day MA
-23.86%below 50-day MA
RS Rating: 4 

Fundamentals
Key Data:
Market Cap (M): $496.75 
P/E Ratio: 20.56 
PEG Ratio: -0.623333 
Next Earnings: 07/08/2008
Last Analyst Rating: Buy

[setravis]

SIGNS $28M DEFINITIVE SUPPLY AGREEMENT: EMCORE Corporation (EMKR) has entered
into a $28M definitive supply agreement with ES System of Gwang-Ju, South Korea, for solar
cell receivers to be fielded in fully licensed and funded solar farms in South Korea. This agreement
incorporates an advance deposit to ensure production priority, and will enable the installation
of 70 megawatts of solar farms. Production for this order has commenced and shipments
are scheduled to occur over the next 24 months with the provisions for accelerated deliveries as
well as future purchase options under the same terms. Stated David Danzilio, VP and General
Manager of EMCORE's Photovoltaics Division, "This purchase order further diversifies our growing
terrestrial component backlog, which now exceeds $110M. Our second automated receiver
assembly line has entered into volume production and we expect to commence shipments from
the third receiver line in June. When combined with the recently completed CPV solar cell capacity
expansion, this assembly capability positions EMCORE as the only vertically integrated
CPV receiver manufacturer to the global concentrating photovoltaics industry," added David
Danzilio.

[setravis]

Shares of Emcore(EMKR) were climbing 9% to $2.51 on unusually high volumes of over 6 million. There was no headline on Monday on the stock. The stock skyrocketed 29% last week, though amid a rally in optical networking stocks following strong results from JDS Uniphase(JDSU).

Day's Range: 2.28 - 2.69
52wk Range: 0.71 - 2.69
Volume: 9,821,726
Avg Vol (3m): 1,479,440
Market Cap: 207.32M

Technicals
Record Price High
Most Actives
Stochastic - Bearish
RS Rating: 97