The CIA Is Buying This Stock — You Should Too

Jason Simpkins

Posted April 27, 2024

Have you ever heard of In-Q-Tel?

If you have, kudos, because most investors I talk to don’t even know it exists.

Nevertheless, In-Q-Tel is the CIA’s investment arm. It’s essentially a venture capital firm whose primary goal isn’t turning a profit, but rather getting access to cutting-edge technology for U.S. intelligence services. 

In-Q-Tel Investments

In-Q-Tel doesn’t even try to hide its purpose. Its name is literally the word “Intel” with “Q” sandwiched in between as an allusion to the James Bond character with all the crazy gadgets.

The firm averages one investment per week and now sports a portfolio of more than 500 investments. The investments generally range from $500,000–$3 million. And they usually involve multiple government partners. 

They bear two key hallmarks: 

  1. A work program that funds technology development for defense and spy agencies;
  2. And an equity stake that usually comes in the form of a warrant.

In 2023, In-Q-Tel generated $184 million revenue against $118 million in expenses. And it has more than $1 billion in assets and less than $100 million in total liabilities.

In-Q-Tel Investments

So while turning a profit on its investments isn’t the primary objective, In-Q-Tel frequently does just that. And its returns can be quite lucrative indeed.

For example in 2005, In-Q-Tel sold 5,636 shares of Google, worth over US$2.2 million, on November 15, 2005. The shares were a result of Google’s acquisition of Keyhole Inc., the CIA-funded satellite mapping software now known as Google Earth.

So, obviously, this is something worth tracking. And I do track it as part of the work I do for my Secret Stock Files investment service. 

That’s why I can tell you that most of the companies In-Q-Tel backs are still private. Most — not all. 

One publicly traded company debuted on the Nasdaq in 2021 and I’ve been keeping an eye on it for the past few years. 

Right now it’s actually at a pretty low point — its lowest point in two years, in fact. But that’s actually a good thing, because it means investors can get it on the cheap. 

And they should, because this stock is destined to launch into the stratosphere. Beyond it, even, because that’s what this company does…

Rocket launches. 

The Space Launch Economy

You see, for a long time (too long) the space launch business was dominated by NASA and the federal government. But SpaceX changed that. 

Rather than bear the full burden of the launch business, the federal government, local agencies, and private-sector companies now rely on commercial launch companies like SpaceX to get their equipment into orbit. 

We’re talking about satellites here — thousands of them, which is a big step up from where we were just a few short years ago. 

Take a look back and you’ll see that a decade ago the United States was only launching a few dozen satellites into space each year. By 2020, that number had climbed close to 1,000, and in 2023 it was more than twice that (2,166, to be exact).

Space Launch Boom

And that trend is going to continue for years, even decades to come. 

Just think of how reliant our world has become on satellite communications. They provide internet access, enable our phones to gobble up data, and allow our streaming services to give us tv shows and music to gorge ourselves on. Perhaps most importantly, though, they allow our government agencies, intelligence services, and military to communicate. 

Furthermore, satellites are getting smaller and cheaper to make. So much so that they’re now deploying in massive constellations like Elon Musk’s Starlink. In fact, just a few weeks ago it was revealed that SpaceX’s Starshield business unit signed $1.8 billion with the National Reconnaissance Office (NRO) in 2021.

If you’re not familiar, the NRO is the intelligence agency that manages our spy satellites.

No wonder the CIA is interested in a space launch company of its own. Of course, the one the CIA has invested in is much smaller than SpaceX. But it’s up-and-coming. 

So much so that it figures to be Elon Musk’s only real competition in the arena in the next few years. And that’s good.

Elon Musk should have competition, because frankly, he’s proven to be something of a loose cannon. I hate to be so frank (kidding, I love it), but we should absolutely not be trusting “The Dogefather” with one of the most sensitive and crucial aspects of our defense. 

Especially given the collapse of Twitter and the total embarrassment of the Cybertruck. It wasn’t that long ago that Elon Musk was siding with Russia against our ally Ukraine, either.

The U.S. government could definitely stand to diversify its rocket launch service providers in light of that. 

Regardless, the sheer volume of satellites now being launched into the sky demands increased capacity. And that’s what this upstart company provides — a fast, easy, comprehensive, and affordable rocket launch service. 

And it’s currently trading at a pittance — less than $4.00 per share, if you can believe it. 

So if you want to do what the CIA does and profit from cutting-edge nat-sec tech, check out my full report here.

It’ll give you all the details you need.

Fight on,

Jason Simpkins Signature

Jason Simpkins

Simpkins is the founder and editor of Secret Stock Files, an investment service that focuses on companies with assets — tangible resources and products that can hold and appreciate in value. He covers mining companies, energy companies, defense contractors, dividend payers, commodities, staples, legacies and more…

In 2023 he joined The Wealth Advisory team as a defense market analyst where he reviews and recommends new military and government opportunities that come across his radar, especially those that spin-off healthy, growing income streams. For more on Jason, check out his editor’s page.

Be sure to visit our Angel Investment Research channel on YouTube and tune into Jason’s podcasts.

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