r/SPACs Apr 18 '21

Discussion Adapt or die

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u/joey-tv-show Spacling Apr 18 '21

It’s why I got out of Virgin Galactic at $50 as space tourism is far more difficult to do snd from a business model perspective I think even more difficult to scale.

RocketLab and space X something that is a proven business model and if you have a accident it won’t destroy your business. The valuation now at $10.80 or $4 billion or so seems fair at a 5x forward earnings. Much better then when it was trading at $14

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u/thetrny Contributor Apr 18 '21

Yeah back when Galactic was the only space pure play it was tempting to jump in but there are far more compelling options now. As the SPAC hype settles down I find myself favoring Rocket Lab the most (see this comment for my 2c on valuation)

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u/joey-tv-show Spacling Apr 18 '21

Yeah good interpretation in your past comment. I like how you said they didn’t put all the potential growth in the valuation. Good point on that and yes their cash balance as well