GeoEye: Finally Announces Start of Commercial Operations

Feb. 5.09 | About: GeoEye, Inc. (GEOY)

GeoEye (NASDAQ: GEOY) is starting to fulfill some of the promise that has been baked into my investment thesis cake.

Thursday the company announced that they have finally begun selling imagery from their latest and greatest satellite, GeoEye-1. More importantly for the company and us as investors, they have submitted the imagery to the National Geospatial-Intelligence Agency (NGA) for approval from their largest customer.

This is huge news, and came much sooner than I anticipated.

New to the GeoEye story?

GeoEye LogoGeoEye provides space-based, and aerial imagery and geospatial information through high-resolution and low-resolution imagery, imagery-derived products, and image processing services to customers worldwide.

This capability benefits a broad array of industries including national defense and intelligence, online mapping, state and local governments, environmental monitoring and land use management, oil and gas, utilities, disaster management, insurance and others.

Want more?

  • Read my latest buy recommendation here.
  • OR: listen to my EXCLUSIVE interview with GeoEye’s management team here.
  • OR: Read my latest update on the company’s Q3/2008 earnings release and conference call here.

GeoEye-1 Officially Online!

GeoEye just issued a press release detailing the announcement and stated:

“We are now selling imagery from GeoEye-1 to commercial customers around the world and to our government customers in Europe, Asia and the Middle East,” said Matthew O’Connell, GeoEye’s chief executive officer. “We are submitting imagery to the National Geospatial-Intelligence Agency for certification and look forward to beginning to serve NGA under our new Service Level Agreement with them.”

I’ll have more thoughts about this in the coming days, but I wanted to pass along the great news.

It looks like GeoEye’s stock is following suit as well, and spiking up sharply in today’s trading.

Shorts beware!