The Patriot Missile August 09 2018
Back in the 90s, one would have heard the name "Patriot" very often in the news, especially during the first Gulf War of 1991, I remember this because I was starting college in the US.
The Patriot Missile was credited of shooting a good number Iraqi Scud missiles aimed at Israel. Effectively, the Patriot Missile was the weapon system what kept Israel out of the Gulf War, which Iraq wanted to bring in an attempt of weakening the Coalition forces.
In January 1991, I was taking "Business 101: Principles of American Business" at the University of San Francisco. The professor, a gentle former NAVY officer mentioned "Overnight Raythoen is a valuable company, you should buy some shares."
Why? WhyWould we buy shares of Raytheon? Well, Professor Johnson, explained that Raytheon was the maker of the Patriot Missile, and the previous days, the news reported the first successful interceptions of Scud missiles in the field.
So out of curiosity I went and looked up the share price for Raytheon in 1991.
- January 1991 Share price = $18.95
- Aug 2018 Share price = $195.81
Not bad....A nice 10X in 27 years. Maybe I should have paid more attention in class.