Now You Can Buy The Worlds First Spaceship Stock – Forbes

Posted: October 24, 2019 at 11:31 am

Rumor has it, pop star Justin Bieber and actor Leonardo DiCaprio are taking a trip to outer space...

It sounds like a sci-fi movie, but have you heard of Virgin Galactic? Founded by British billionaire Richard Branson, the company has built the worlds first spaceship.

Let me be clear...

Its not just an idea. Its not just a concept. Its not just a glorified airplane.

Its a real, working SPACESHIP tested and approved by the US Federal Aviation Administration.

Last December, this spaceship completed a successful test flight with two astronauts and a passenger on board. It blasted to the edge of earths atmosphere, 51.4 miles up then safely landed just outside Orlando, Florida.

Now, the company is preparing to launch the first commercial space flight in history, which is expected to take off as soon as 2020.

For the first time, civilians will have a chance to shuttle around in outer space.

The good news is you can be one of the first investors to buy the worlds first spaceship stock. And as Ill explain its an investment opportunity you should take seriously, just like these three I told you about before.

Virgin Galactic is an ultra-luxury tourism company, for now...

Virgin Galactic has already sold out its first batch of 600 flight tickets for a hefty fare of $250,000 collecting over $80 million. Another 1,500+ rich folks are on the waiting list.

As I mentioned before, the first passengers include celebrities like pop star Justin Bieber and actor Leonardo DiCaprio

Which led investors to label Virgin Galactic an ultra-luxury tourism company. Ive heard folks compare it to companies renting 300-foot-long yachts or private islands.

But make no mistake, Virgin Galactics ships are much more than a playground for rich people. Thats just step one in its plan to disrupt the space industry.

Space tourism is just a testing ground

Virgin Galactic has a unique business model that will let it earn hundreds of millions of dollars right out of the gate.

As a testing ground, it will sell its space flights to very rich folks as an expensive vacation.

And believe it or not, theres a huge market for this service.

The company says it needs to fly only 1,000 people a year to be a viable business. As I mentioned, there are already 1,500 on its waitlist and the company has barely marketed the concept at all.

If Virgin Galactic pulls this off, it will rake in $250 million in its first year as a public company. Thats 2X more than Amazon and Apple earned in their first years combined, as you can see below

RiskHedge

While the company rakes in hundreds of millions of dollars by pleasing ultra-rich folks, it will quietly start preparing for the next phase of space travel.

Virgin Galactic is coming to disrupt dreaded long-haul flights

Virgin Galactic sees an opportunity to disrupt long-haul travel by flying folks through outer space.

These flights can potentially get you from, say, New York to Tokyo in two hours as opposed to the 14 hours it takes today. And the company is making great strides toward it.

Virgin Galactic has recently joined forces with Boeing, the worlds largest plane-maker. They are developing a commercial spaceship that will travel at 5X the speed of sound 7X faster than todays commercial planes.

Within a decade, space travel will be a $23 billion industry and threaten airlines, according to UBS. And Virgin Galactic is positioned to be the unquestioned leader in this space.

Virgin Galactic is quietly tapping into an $800 billion industry

Air travel is an $800 billion a year industry. UBS estimates the space industry will be worth $805 billion by 2030. And space travel is just a tiny part of it.

Virgin Galactic is planning to use its spaceships to conduct science experiments, launch small satellites, and bring other cargo to space.

The possibilities are endless.

For example, president of Virgin Galactic Will Whitehorn thinks we could put computer servers powering the internet in space quite easily.

You see whats happening?

Most investors dismiss Virgin Galactics space flights as a gimmick. But the company is actually an up-and-coming space giant.

How to buy the worlds first commercial space stock

Earlier this year, Virgin Galactic announced it would merge with Social Capital Hedosophia (IPOA), a publicly traded shell company. The company will buy a 49% stake in Virgin Galactic.

That makes Social Capital Hedosophia the first publicly traded space stock available to the public.

I have to warn you, though.

The upside of this company is limitless. You would be buying into the very early stage of the company as well as the commercial space industry.

Social Capital Hedosophia is worth a little shy of a billion today, and its going after an $800 billion industry. Theres plenty of room for the company to grow 10X or more.

It could be like investing in Boeing right after it rolled the first Boeing 707 out of the hangar in 1957 a moment that changed aviation for good.

That said, Virgin Galactic has a very small margin for error. Any accident threatening human lives could send Virgin Galactic stock plunging down.

My recommendation: Put a small position in this stock, just like I did a couple of months ago. Make it small enough that big a drop in its price wouldnt hurt you badly.

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Now You Can Buy The Worlds First Spaceship Stock - Forbes

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