The exploration of space has always been an area of study where astronomers, scientists and visionaries have yearned to learn more. This fascination is still present today with individuals like Jeff Bezos. While he is most well known as the CEO of the retail giant Amazon.com, he is also the founder of Blue Origin, a suborbital spaceflight services company and aerospace manufacturer.
What Is Blue Origin?
Started in 2000, Blue Origin is completely funded by its founder, Jeff Bezos. It’s headquartered in Kent, Washington and led by CEO Bob Smith. One of the main goals of Blue Origin is to develop technologies that are more reliable and affordable in enabling private human access to space. It’s estimated that Bezos sells about $1 billion of his interest in Amazon each year and allocates it into this company. However, his private funding is going to be supplemented soon. In the second quarter of 2020, NASA announced that it had awarded one of its three major contracts to develop lunar landing systems that will be used to revisit the moon.
Future Outlook of Blue Origin
Many individuals wonder if a man will ever revisit the moon. With the recent announcement of NASA’s contract with Blue Origin, the prospect for this event is looking more confident. A target of 2024 has been set as the date for sending astronauts on this mission. With only four years to accomplish this feat, NASA is spending the money required to make it happen. The contract awarded includes the following details:
– $579 million
– Blue Origin is the prime contractor and will build the Blue Moon lunar lander
– In charge of safety and mission assurance, systems engineering and program management
With this contract rolling in, it gives the company a chance to shine as the prime contractor. If all goes well, the company should receive more deals in the future, strengthening its bottom line.
Buying Blue Origin Stock
Considering the success that Jeff Bezos has had with Amazon, many wonder if they can invest in Blue Origin. While the spaceflight company is currently private, the possibility that shares of Blue Origin stock will be offered in the future is possible. Like any startup, there is a stage where groundwork needs to be done to show viability for the business model. Building the necessary equipment to transport and land astronauts on the moon is a giant step towards this.
Is It a Buy at Its IPO?
Investing in any company that’s just getting started is usually riskier than buying shares of a seasoned business. However, it can also provide higher growth. According to the experts at Money Morning, “There’s a bright future ahead for Blue Origin.” It’s in a prime position to take advantage of space exploration. If this type of risk suits your investment profile, this IPO will be worth investigating. Having a mix of conservative and speculative stocks can help you generate consistent gains and allow you to take advantage of growth simultaneously.
You’ll probably want to keep an eye on the future developments of this company. If the moon landing is successful and shares are offered, it could be a wise investment.