Replies to post #185094 on Kraig Biocraft Laboratories Inc (KBLB)

[gruber72]

Absolutely! Good post. If people are smart about limiting their interactions and limit the spread of the virus, it will die out in those infected within a week or two, and then we're back to normal. Give it a couple of extra weeks for good measure and then the economy, which was VERY healthy going into this mess, will come roaring back quick enough to make your head spin.

Those who have panicked and sold everything during this time will be left in the dust.

[WebSlinger]

<< This is a damn virus, that's it. >>

You are dismissing the fact that it has caused a global recession. A recession will not go away in a few weeks.

The cruise industry has been devastated.

The airline industry has been devastated.

The oil industry has been devastated.

The entertainment industry has been devastated.

These will all take time to recover.

This is just the beginning. There are more dominoes to fall.

[DimesForShares]

"America will be right behind China when it comes to getting back to normal sometime in May."

First, let's take a look at what happened in Italy. Here are pages of obituaries from a newspaper in Bergamo, located in Northern italy:

If that looks like a place that will 'get back to normal' by May, I disagree.

The US is wisely engaged in social isolation. This demonstrably slows the pace of infection and helps for society to preserve resources needed to treat the most needy patients, rather than having doctors and hospitals triage patients and letting the sickest die. However, the slow pace of infection also reduces the number of people who have immunity, so the problem will last longer. No one knows whether warm weather will reduce the infection rate, but even if it does, infections will likely increase in the fall.

Social isolation will cause significant hardship on many different industries and the people they hire. My doctor recently advised me to expect a year-long period of disruption due to the spread of the virus. He did not speak of the consequent economic issues, but we will not be back to normal in May.

What all of this means for KBLB is anyone's guess. As long as the area around Prodigy remains relatively infection-free, I don't think their activities will be much affected. A nightmare scenario (albeit an unlikely one): Thompson contracts covid-19 and dies from it. KBLB is now in the hands of his heirs, who have a controlling interest in the company. What a mess that would be.

I am far less worried about KBLB than I am about my BKS.B shares, which have dropped about 20% in the past several days. Mojo knew I should have sold when the news first started to break. Again, further evidence of how foolish I am when it comes to trading stocks.