To the "thread,"
I may be traveling, but that doesn't mean I am not watching.
First of all, the new Standard 201 regs were totally expected by the market. There is no surprise, that is why the stock didn't react very strongly early in the day.
As the day went on, it was learned that Randall Taylor (of Simula) had been interviewed by all of the major networks and some print media. After Martinez gave Simula credit for the technology, the news organizations took notice. It is almost certain that the visibility will be rising later in the week.
BTW, though many traders have apparently missed the reality of it, the reason that Simula took so long to sign agreements with Delphi and TRW (and Breed, too, though for some reason that hasn't yet been publicly announced, though most traders close to the company are aware of it), is that in all three cases, the ITS is the primary sales effort of the ventures. In other words, when side impact head protection is requested by an auto company, these firms have a contractual obligation to show them ITS *first*. The only way they will sell "curtains" (or some other technology not known at this time) is if the auto company specifically requests that solution.
I consider this extremely important, and believe that it may be discussed on the conference call next week.
Lastly, though there is a relatively low street consensus forecast for the second quarter, my own guess is that the company may be reporting a better than expected result. The key to a management improving its company's stock evaluation is to underpromise and overdeliver. That is precisely opposite of what Simula did in 1997, but I think that the turn has arrived.
Have a good day, everyone. I will be back at my desk on Monday, following a final 1000+ miles with my youngest son...as we complete our trek to the west via Oklahoma City, Albuquerque, and the Grand Canyon. We are already over half way home.
Adios. |
