I posted 500 words yesterday about why (+ some flights of fancy). Scroll up to find it
This is not a short-term hold, there won't be any substantial short term gains imo. In a couple of months when commercial testing is completed, we will start to generate revenue, but with intermittent signal from only 3 test nanosats the revenue is petty cash. Far more meaningful than the amount we will be earning is the demonstration that we have a product that works, and that sells for money, even if a (relatively) tiny amount.
As has been said before,
@loofah21, this story won't escalate until we near the launch of the first cluster of our 100 nanosat deployment in 2018. If you're looking for reasons why the share price isn't going gangbusters, it's twofold:
1) the announcement was no more out-of-left-field-wonderful than any other encouraging ann SAS have posted in recent months. It was a 'business as usual, finished that bit now onto the next bit' announcement, further de-risking potential investment but not massively so, and it was
nothing we were not already expecting, though the long TH made us wonder if it was something else at the time.
2) who wants to sink cash into a stock that won't reach a MAJOR escalation in their financial wellbeing for over a year? Most regular posters to SAS will say 'me', because they already have. Others, especially people newer to SAS might not, or may be disappointed when they buy in hoping to make a quick 20% on the next ann. These guys keep us fully informed, and most anns are just letting us know things are running smoothly.
Caveats are potential announcements regarding binding deals for the entire (or half) constellation contingent upon successful deployment, announcements regarding funding of the construction, announcements of a launch date for the first of our four flights on Virgin Galactic, and to a lesser extent closure of risk on licensing.
All this bouncing around of the share price +/- 20% is chickenfeed relative to the endgame, I personally don't care what the SP does (ceteris paribus), because it only matters a) if I spend all day watching the SP bob up and down like a cork in the sea, and b) if I sell.
IMO, barring the caveats above, SAS' SP will only rerate during the countdown up to our first 2018 launch, because with a similar timeframe to the 3-Diamonds process we will be awfully close to the big payday, and I mean REALLY big.
Disclaimer: it is entirely possible that I do not have a clue. DYOR, there's plenty out there
