RE: RR SMR ownership14 Oct 2023 23:18
Rolls-Royce's share price has been on a downward trend in recent months, but who knows it might keep the recent channel 213/223 flight patch for a while longer before making a decisive deviation either way.. meanwhile, there is some great potential for a rebound in February 2025, especially if the company's small modular reactor (SMR) business takes off.
SMR is a new technology that has the potential to revolutionize the nuclear power industry. Rolls-Royce is one of the leading developers of SMRs, and its technology is considered to be among the most advanced in the world.
If Rolls-Royce is successful in commercializing its SMR technology, it could lead to a significant increase in revenue and profits for the company. This would have a positive impact on the share price.
In addition to SMR, Rolls-Royce is also well-positioned to benefit from other trends in the aerospace and defence industries, such as the growing demand for electric aircraft and the increasing militarization of space.
Overall, there is some huge potential for a rebound in Rolls-Royce's share price in February 2025, especially if the company's SMR business takes off. However, it is important to note that the share price is also influenced by a number of other factors, such as the overall state of the economy and the performance of the aerospace and defence industries.
Here is a more detailed evaluation of the factors that could affect Rolls-Royce share price in February 2025:
SMR: The success or failure of Rolls-Royce's SMR business will have a major impact on the share price. If the company is able to commercialize its SMR technology and secure a significant number of orders, it could lead to a significant increase in revenue and profits. This would have a positive impact on the share price.
Aerospace and defence industries: The aerospace and defence industries are cyclical, meaning that they experience periods of growth and decline. The current outlook for both industries is positive, but there is always the risk of a downturn. A downturn in either industry would have a negative impact on Rolls-Royce's share price.
Overall state of the economy: The overall state of the economy will also affect Rolls-Royce's share price. A strong economy will lead to increased demand for Rolls-Royce's products and services, while a weak economy will have the opposite effect.
Conclusion:
Overall, there is some potential for a rebound in Rolls-Royce's share price in February 2025, especially if the company's SMR business takes off. However, it is important to note that the share price is also influenced by a number of other factors, such as the overall state of the economy and the performance of the aerospace and defence industries.
Investors should carefully consider all of these factors before making any investment decisions.
Sorry, this may sound like old broken vinyl records getting stuck playing in the same lane.