SRACU - Stable Road Acquisition: A Cheaper Mess Is Still A Mess

July, 28 2021 12:57 PM Stable Road Acquisition Corp. Unit

SPAC Stable Road is merging with space cargo company Momentus.
The deal has been marred by misstatements by Momentus' former chief executive officer, a delayed launch schedule, and significantly reduced financial projections.
A resulting cut in the implied enterprise value of Momentus might seem to offset those worries, and indeed SRAC stock has held modestly above $10.
But the cheaper price doesn't seem like enough: Momentus has very real problems and very real questions about its viability.
With many weaker SPACs recently falling after deal close, Stable Road stock looks like an avoid even with the lower valuation and a cheaper stock price.

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Company Name:	Stable Road Acquisition Corp. Unit
Stock Symbol:	SRACU
Market:	NYSE