Let's Put the Kabul Collapse Behind Us and Look to a Profitable Future

Written by Jason Simpkins
Posted August 23, 2021

There's been a lot of finger pointing and head shaking over the past week as Afghanistan rolled over for the Taliban in record time.

Of course, most of us had the luxury of sitting at a distance and marvelling as the chaos unfolded, second-guessing and bemoaning all the blunders of the last 20 years that brought us to this point.

And that's going to go on for a while as political pundits and politicians (many of which bear at least some responsibility for this disastrous undertaking) feign outrage and indignation for new infotainment.

Not me though.

I don't need to sit here and whine and scold and condemn.

We all know what happened. We all saw it in real time.

So what I want to do is look forward.

No lamentation of the massive failure that was Afghanistan is going to change anything.

And it surely won't make you any money.

Looking ahead toward the technologies that will revolutionize combat in the decades ahead, though?

That could be profitable indeed.

For example, way back in 2018, I wrote an article about military robotics — drones.

I even offered a special report on the three best drone stocks to buy. And one of those stocks, Kratos Defense and Security Solutions (NASDAQ: KTOS), surged for a 115% gain.

A year later, when everyone else was making fun of the newly announced Space Force, I once again seized the opportunity to profit.

I found a rocket-maker, recommended it, and watched it jump 40% when it was bought out — just like I said it would be.

No doubt, following the Pentagon and its enormous budget is a great way to find potential profit plays.

And that's why, when everyone else was watching the Kabul collapse, I zeroed in on another story.

It seems the Department of Defense is looking for ways to use commercial rockets to rapidly transport cargo — and potentially troops — across the globe. 

Indeed, it turns out rocket trips aren't just for billionaires and wealthy thrill-seekers.

And this is something I noted previously, when the Space Force was first established.

The list of its potential responsibilities included the following:

  • Surveillance and Reconnaissance: The Space Force would be the ultimate “eye in the sky,” giving unmatched insight into positions of enemies as well as allies.
  • Logistics: The Space Force should be able to deliver ordnance, vehicles, supplies, and personnel at speed to any area of operations using “high-load thruster-powered” rockets and other space carriers.
  • Orbital Strikes: Engaging an enemy from orbit with solar and laser cannons mounted on special satellites and installations.
  • Trade and Travel Routes: Like vital waterways, space passages will need to be kept open for high-speed, intercontinental, and interstellar travel.
  • Colonization: One of the main reasons that interest in space has grown is resources. The moon itself has gold, silver, titanium, and an isotope known as Helium-3 that could be used in nuclear fusion. And NASA estimates there’s $700 quintillion — that’s a seven followed by 20 zeros — worth of gold, iron, and nickel in the asteroid belt between Mars and Jupiter. In the not-so-distant future, these celestial bodies could be mined.

Well, now the Air Force Research Laboratory has designated its new Rocket Cargo effort a Vanguard program, making it a top science and technology priority.

“Logistics speed is at the heart of military supremacy,” the AFRL said. “If a commercial company is in advanced development for a new capability to move material faster, then DoD needs to promptly engage and seek to be early adopters.”

The latter part of that statement means the Space Force is looking to partner with commercial space companies. And AFRL Commander Major General Heather Pringle told reporters that the main goal is to deliver up to 100 tons of supplies and equipment “anywhere on the planet within tactical timelines.”

So the military clearly envisions procuring this capability as a service rather than buying or building its own rockets. 

And as it happens I just recommended a new space stock (another rocket company) that has already signed several deals with the U.S. Space Force.

It's even set to put a small Space Force satellite into orbit this week as part of a capabilities demonstration.

If all goes well this company, which just listed on the NASDAQ in July will have a long and profitable partnership with America's newest military branch.

So I once again encourage you to check out my latest report here.

Fight on,

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Jason Simpkins

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Jason Simpkins is Assistant Managing Editor of the Outsider Club and Investment Director of Wall Street's Proving Ground, a financial advisory focused on security companies and defense contractors. For more on Jason, check out his editor's page. 

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