Scary times currently for the SAS share price and holders lost a LOT of market cap in the last 6 months. I wonder whether it can hold at 10C probably not based on the current downward trend will be interesting to see how low it trends before bottoming out.
Two things that disturb me about this Singapore presentation are to quote:
"Cost and delivery of ~200 nanosatellites spread over 4 years, commencing in Q1 2019 • PDR milestone completed"
-- on that specified time it will be 2022 before the have 200 nano's up covering the equatorial belt at 15+/15- and thats assuming that can fund the 200 let alone the first batch once you include daily business admin exec salaries, travel and promotion. Seems like the timeline is stretching by the day! Remember first batch of Pearls was meant to be up by Q4 of THIS year!
Second point that sits uneasily with me is this:
"Estimated cost of total contract is AUD $50 to $75 million, depending on final specifications from SAS"
-- This tells me they are a long way off finalising their specs for the Pearls let alone launching any!
Will be an interesting today and perhaps volatile next week. I will be watching SAS on the ASX very carefully.
For the record I currently hold SAS but I hold uneasily at the moment.
If it drops into single cent range I think i'll exit and come back later when theres more certainty in the medium term until then I hold but only just.
SAS Price at posting:
10.0¢ Sentiment: Hold Disclosure: Held
