Hello.
I asked the administration for permission to start a thread, and permission was granted immediately. I was advised to first lay some groundwork for the thread and share my own thoughts, etc. Well, I’ll give it a try.
GENERAL
As everyone (except for the youngsters) remembers, Saab manufactured Saabs for decades, ugly but warm and durable cars. Nowadays, car manufacturing has been abandoned, and efforts have been put into various weapons, weapon systems, and also something for the civilian aviation sector.
PRODUCTS
Among the most well-known products (IMO) are Gripen fighter jets and NLAW anti-tank missiles / launchers. When I explored the company’s website, I noticed that the company manufactures all sorts of defense-related items. For me, Saab brings to mind (besides cars) precisely the Gripen fighter jets, and I assume many others feel the same way. To my shame, I didn’t even know that NLAW is a Swedish weapon, even though I have followed the war in Ukraine very closely. If you are interested in what other weapons and radars Saab actually manufactures, then check out the links below.
SAAB GRIPEN E/F (a single example.)
96 units manufactured. Gripen E/F fighter jets have been ordered by Sweden (60 aircraft) and Brazil (36 aircraft). In addition to Sweden, the basic C/D version of the Gripen has been purchased and is used by South Africa (27 aircraft) and Thailand (12 aircraft). Furthermore, NATO countries Hungary and the Czech Republic have each leased 14 Gripens from Sweden for their air forces.
Source: Gripen E on testeissä Pirkkalassa ja ensi kertaa Ruotsin ulkopuolella – Saab kehuu koneen uudenaikaisuutta, mutta onko se valmis? | Yle
My own thoughts: The Gripen is certainly a capable aircraft, and it was indeed one of the candidates to replace the Hornet. Fighter jets are enormously expensive, regardless of the brand, model, or manufacturer. IF Sweden manages to sell these, it means a big pot of money. There’s a big question mark here. If and if. And what might one submarine manufactured by Saab cost? A lot! War, warfare, weapons, and developing and updating a credible defense cost absolutely insane amounts.
INVESTING IN PRODUCTS INTENDED FOR KILLING HUMANS
Everyone can ponder this title in their own mind and value system. Some may have to grapple with ethical-moral questions, others may not. I personally think about the matter in the following way: After Russia cowardly attacked its neighboring country and daily bombed civilian targets without any pangs of conscience, I have no obstacles whatsoever to supporting the arms industry in Western countries, on the side of good and right. Every country always has an army - if not its own, then a foreign one.
IMPACTS OF THE WAR IN UKRAINE
Immediately after Russia’s (sic) attack, the stock price shot towards the sky like a missile. Countries across Europe reacted, and (as I understand it) Saab’s order books are screaming red. And these weapons and weapon systems are not bought to attack Moldova or Portugal, but so that that one utterly mad dwarf doesn’t dare to attack Europe. These are ordered and bought for DEFENSE against the Russian threat.
P/E, EBIT, P/S, EPS
Key figures, or at least their basics, should be familiar to every investor. For my part, I can tell you (again) that they are not. They just don’t sink in well enough, no matter how much I try to learn. That’s why I ask you, esteemed colleagues: What do you think of Saab’s key figures? Do you think the stock is now (with the war-driven price increase) cheap or expensive? Does any key figure stand out to you in a good or bad way? And I’m not begging or soliciting investment tips here, but perhaps I too can read and deduce something from the figures or between the lines.
FINALLY, MY OWN THOUGHTS
Next month I will receive my tax refunds and invest them in Saab. As I stated, I do not feel that I am acting ethically wrong by investing in weapons. I am investing in the security of Europe and, above all, Finland. The investment is also a kind of statement, at least in my own heart. Investing in one’s own and one’s loved ones’ security is never wrong. The amount to be invested is small for many of you, but for me, it is large. My largest single investment.
#slavaukraini #stopputin saab
EDIT: Stock chart added
