A few years back I got to take the tour of a lifetime.
Here I am in the CO’s chair aboard the USS Gerald Ford. This is the largest warship ever constructed, and currently the world’s largest aircraft.
It’s an absolute unit of a boat.
The US Navy is the front line to defend the hegemony of the United States. If we can’t protect maritime trade, especially through a few key choke points, then it harms our ability to be the reserve currency.
Unfortunately, China has been making some moves. They have 232 times the shipbuilding capacity than the United States.
This is an aerial view of the Jiangnan Shipyard, which has more capacity than all the US shipyards combined.
It’s a big problem, and given the fact that the previous administration did not have a functioning executive branch (because President Biden had dementia), we weren’t able to make any changes.
The Navy’s morale has suffered as well.
In 2020, the USS Bonhomme Richard had an internal fire that was set by a disgruntled US service member. In 2021, the ship was sold for scrap.
And during the latter years of the Biden administration, the Houthi rebels in Yemen were flying drones at any ship they didn’t want in the Red Sea. This effectively shut down any trade that was friendly to the United States.
The follow-on effect is that the Suez canal hasn’t seen much traffic. That’s bad for Egypt, as the fees collected from the Suez Canal represent about 10% of the GDP for the country. It’s the third largest source of income for the country, behind tourism and remittances.
If they can’t raise revenues, then you get another revolution like what we saw with the “Arab Spring” back in 2011.
The US Navy needs to get its groove back. It means better combat readiness, improved morale, and ships.
A lot more ships.
The Trump administration is aware of that.
There is a new plan in place to build out 40 icebreakers to help protect and defend the new waterways that are developing in the Arctic circle.
Russia already knows this. They have modernized 50 naval posts from the Soviet era, and are further building out their footprint.
(This is why the US needs to have Greenland become a part of our Umbrella.)
Back to ships. Lots of ships. A ship-ton of ships.
And there are publicly traded companies that are set to profit. There’s a defense contractor I’ve discovered that could be ready to ramp their stock price, as none of this has been priced into the stock yet.
But we did see an “Early Warning Signal,” with a key member of the financial deep state executing a six-figure buy on the stock. If this company gets a few new contracts from the DOD, then it's game on.
That member of the financial deep state also was a key leader in the US Navy, so he probably has some info on the inside.
If the stock does what I expect it to do, then my clients are positioned in an options trade that could return well over 300% on the next catalyst higher…
Original Post Can be Found Here