Are Space Stocks the New Frontier in the Stock Market?
In 2020 the space exploration seed was planted into our imagination. 2021 will see that seed germinate and by the time 2022 and 2024 comes around; that space exploration seed will be in full bloom and bear the fruit of profits.
With the government starting Space Force and Netflix launching the TV show. Along with Elon Musk SpaceX launching 26 rocket missions last year; with plans on launching satellites for his Starlink internet service this year. Which will be a global broadband internet provider.
Just recently, in the 2nd week of January, Cathie Wood’s who is CEO of ARK Investment Management filed documents to start a new space exchange-traded fund (ETF).
With all of this space hype, now is the time to get in position & HOLD, so you can benefit 2-3 years from now.
Here at the World Wide Hustle Brand, we are all about paper asset ownership, so here are 3 Space Stocks to keep your eyes on:
New Providence Acquisition Corp. (Stock Symbol: NPA)
Virgin Galactica Holdings (Stock Symbol: SPCE)
Stable Road Acquisition Corp. (Stock Symbol: SRAC)
New Providence Acquisition Corp (NPA)
This stock here is currently trading as a SPAC stock (which we mentioned in a previous blog post) is in a pre-deal talks to merge with SpaceMobile.
SpaceMobile is a company that plans to offer satellite broadband mobile communication. The special technology here is, they plan to deliver broadband from space to the mobile phones everyone already has; without the need of costly and network-reliant satellite phones, terminals or antennas that are currently being used.
They are planning its first commercial satellite launches for the second half of 2022 or early 2023, which are expected to provide satellite coverage in 49 countries along the Equator with 20 satellites.
SpaceMobile plans to achieve full global mobile coverage with 110 satellites by the end of 2023 or early in 2024 and 5G support with a total of 168 satellites by the end of 2024.
They already signed deals with cell phone service providers: AT&T & Vodafone to deliver 4G & 5G from its satellites to the operators' existing mobile customers.
Virgin Galactica Holdings (SPCE)
This stock is a subcidiary of Richard Branson's Virgin Group. Virgin Galactica is an integrated aerospace company, that develops human commercial spaceflight, private flights for individuals and researchers, and development payloads into space. While also manufactures air and space vehicles.
In short, a space tourism company. The business model is to be the first commercial Spaceline. While developing and operating a new generation of space vehicles to open space for everyone.
Stable Road Acquisition Corp. (SRAC)
This stock here is currently trading as a SPAC stock (which we mentioned in a previous blog post) is in a pre-deal talks to merge with Momentus.
Momentus is a space transportation company offering "last-mile" satellite and cargo delivery, payload hosting, and in-orbit servicing and technology options.
This "last-mile" is a service for spacecraft, with a transfer vehicle that helps deliver satellites from a rocket to a specific orbit.
What makes this company different is its technology it uses to transfer vehicle —called the water plasma engines.
Last year, the company launched its first demo of this technology and it was a success.
Wrap Up
The hype and advancement of technology in the aerospace industry will continue to gain momentum in the next 2-5 years. Yes there will be ups & downs in the stock prices, as we are still figuring out the technology.
Failed space launches & technology can lead to a stock falling or company going out of business. But if these companies can learn from their mistakes and make the technology work, the value of the companies will obviously grow.
As with space travel, stocks in this industry can be risky at the early stages of the company, but if you practice due diligence; you can limit your risk.