u/BiggieMoe01 5.0 2 ideas

SpaceX filed a letter with the FCC that the author perceives as an aggressive and "desperate" attack on ASTS's "americanism." This action from a major competitor like SpaceX implies they view ASTS as a serious threat. This external validation from a rival is a strong bullish signal, suggesting ASTS's technology and market position are stronger than perceived. The author believes SpaceX's perceived desperation is a clear indicator of ASTS's potential for success, making it an extremely bullish investment. The author explicitly states they have a position. SpaceX, a much larger and better-funded company, could use its influence and resources to stifle ASTS through regulatory, legal, or competitive means. The letter could be a sign of strength, not weakness. ASTS also faces significant execution risk in deploying its satellite constellation.

Rocket Lab reported strong annual revenue growth of 38% and a rapidly growing backlog, which increased 73% year-over-year to $1.85 billion. These figures indicate strong business momentum, increasing demand for RKLB's services, and growing future revenue visibility, which could lead to a positive re-rating of the stock. The company's impressive growth in revenue and, more importantly, its backlog, suggests a strong operational trajectory that the market may not have fully priced in. The space industry is capital-intensive and execution-dependent. Delays in key projects like the Neutron rocket, increased competition, or a broader market downturn could negatively impact the stock despite the strong backlog.