SGC Slabs:Buy, Sell or hold

[livealoha]

It’s been an interesting last 24 hours in the grading world to say the least. So now with SGC being sold, do you buy, sell or hold SGC slabs?

[towerymt]

Buy? LOL

[rohara99]

I only have a couple (I'm not a fan) and I'm gonna sell them all right now.

[livealoha]

Originally Posted by towerymt

Buy? LOL

There is actually a lot of posts today on Social media that are saying that they feel SGC slabs will increase in value because of this deal.

[towerymt]

I wonder why. The holder or label could change, the grading could get tougher, or they could soon cease to exist as we currently know SGC.

The value-add scenarios seem unlikely. Maybe I'm missing what they could be.

Hold. Or crack out. If you own something you're not that interested in, sell if this news brings new speculators.

[Baraka]

...and I just sold a Mahomes RC SGC 10.

[Scottish Punk]

Originally Posted by towerymt

I wonder why. The holder or label could change, the grading could get tougher, or they could soon cease to exist as we currently know SGC.

The value-add scenarios seem unlikely. Maybe I'm missing what they could be.

Hold. Or crack out. If you own something you're not that interested in, sell if this news brings new speculators.

Most of my fairly large collection of slabs are SGC. I need more info on what this looks like in the short term. Long term, definitely leaning toward migrating to another slab. I don't think this is a good thing for SGC. So i am either holding my nose and start stabbing to PSA or use CGC more going forward.

[collective]

Seems like quite a few SGC 9.5s were sold on eBay since the news broke. Granted, I don't track SGC daily eBay sales.

[Gary]

If its vintage SGC slabs this buy out wont do much,prices for vintage SGC and PSA are so close this wont move the needle.Modern this will likely drive up prices and sales as time goes by and everyone gets used to the idea that PSA and SGC is one in the same no matter how much Peter or PSA will claim otherwise.

[livealoha]

I kind of see both sides of the dilemma with SGC now, part of me feels that with PSA now pulling the puppet strings on SGC, PSA will limit how much SGC grows. On the other hand, I think maybe PSA will bring some credibility to SGC and it might make SGC slabs soar in price as mentioned above, people will see PSA and SGC as one and the same. It’s all confusing but I must admit you guys were right along, PSA ain’t going anywhere and will be the king of grading for decades and generations especially after this deal. I see it now.

[Gary]

Originally Posted by livealoha

I kind of see both sides of the dilemma with SGC now, part of me feels that with PSA now pulling the puppet strings on SGC, PSA will limit how much SGC grows. On the other hand, I think maybe PSA will bring some credibility to SGC and it might make SGC slabs soar in price as mentioned above, people will see PSA and SGC as one and the same. It’s all confusing but I must admit you guys were right along, PSA ain’t going anywhere and will be the king of grading for decades and generations especially after this deal. I see it now.

Expect CGC to make a play for Beckett.

[livealoha]

There is so much out there, so many arm chair experts, not sure what to believe rumors that fanatics or cgc will buy Beckett, rumors that sgc will only do vintage , rumors that PSA will swallow sgc by raiding sgc prices to force our people submitting to them. Advice that now is the time to sell everything sgc, advice that now is the time to buy everything PSA , advice that now is the time to convert collections to PSA. Not sure what to believe or think. Part of me says slow down, let the dust settle then make an informed educated decision on what to collect. The other part of me says screw it, PSA has and will forever have a stronghold on the grading market and will at least in this lifetime of collecting, so maybe throw my hands up and jump on the PSA wagon as PSA slabs will surely never lose value in the future. They are a safe bet compared to 2,3,4 years from now Beckett, sgc , cgc slabs will all be worthless as PSA slabs will be king forever. What a wild past 24 hours in the grading world!

[discodanman45]

The answer if you want to make money is sell all slabs, buy more raw cards, grade them, sell them, buy more raw.

I don't think this move helps SGC. Anti-PSA SGC collectors are upset and say goodbye to the great SGC customer service. Eventually Collectors Universe will want to make it more profitable and will implement strategies like streamlining customer service and extending turnaround times.

[Scottish Punk]

Originally Posted by Gary

Expect CGC to make a play for Beckett.

I don't see any reason why CGC would want to do that. CGC just needs to make a big play/marketing push for all the anti-PSA crowd that uses SGC. It is an opportunity for them to gain a bit of market share.

As far as the armchair CEOs. It is mostly speculation from everybody. There isn't much news and I wouldn't make any big decisions until more information is given and look at the market data.

My speculation that SGC will be phased out just comes from working in the corporate world for 20 years and reading case studies from Finance classes during my MBA. Typically when a large company buys out the small one especially if is making money is to not disrupt in the short term. Back end stuff like marketing and finance will consolidate. Eventually, redundant staff is let go. IF SGCs market share shrinks and they are not meeting expectations, more squeezing, etc.

[KGD54]

When trying to determine buy, sell or hold. I think you need to look at type of card as well as what you think the outcome for SGC will be longer term. I think PSA buying SGC will eventually lead to SGC increasing prices or at least an increase in upcharges. If that is the case I would want to buy more cards in SGC holders that are in the $500 plus range as in the future it will cost more to grade those.
If you think SGC will become the "vintage wing" for PSA as many have said then vintage SGC cards would be a buy or at least a hold. I think vintage in general is a buy/hold regardless of what PSA decided to do with SGC.
If you think PSA is going to tank SGC long term then I would sell anything not vintage.

I generally sent vintage as well as pack pulled autographs before 1997 to SGC as PSA only grades pre 1997 autos with dual service. I will continue to use SGC for what i have always used them for.

[livealoha]

I forgot to ask , that with the merger will SGC slabs from here on our still say SGC or will they eventually say PSA on the slabs? (Will the SGC slab be phased out)

Also, if I have a sgc 8 and crack it out of its case and send to PSA, do you think PSA will grade it a 9 (due to sgc grading harder) In Essence is a SGC 8 a PSA 9?)

[90skid]

Buy SGC slab, crack it and submit to PSA raw. Just did that today!

[Gary]

Originally Posted by Scottish Punk

I don't see any reason why CGC would want to do that. CGC just needs to make a big play/marketing push for all the anti-PSA crowd that uses SGC. It is an opportunity for them to gain a bit of market share.

As far as the armchair CEOs. It is mostly speculation from everybody. There isn't much news and I wouldn't make any big decisions until more information is given and look at the market data.

My speculation that SGC will be phased out just comes from working in the corporate world for 20 years and reading case studies from Finance classes during my MBA. Typically when a large company buys out the small one especially if is making money is to not disrupt in the short term. Back end stuff like marketing and finance will consolidate. Eventually, redundant staff is let go. IF SGCs market share shrinks and they are not meeting expectations, more squeezing, etc.

Starting at the part of your post "my speculation" i unfortunately agree with you.This was a smart move by PSA,i do not see anyone else this benefits though.

[dio]

Nothing is going to change, all these big corporation is doing the same thing, buying all these companies so you think you have an option, but at the end you're still paying to the same guy. non monopoly monopoly

[ChampionMan]

Originally Posted by livealoha

There is actually a lot of posts today on Social media that are saying that they feel SGC slabs will increase in value because of this deal.

I notice that too. There Black Tuxedo Slab make the card pop well with black background. I suppose now they will have funding to upgrade label close to PSA Lighthouse. It will bring in more customer as the added extra security check QR barcode can be check online easier. Keep in mind SGC have PRISTINE grade, the only thing PSA don't have that Beckett still the King Modern Black Label 10.

[MiamiMarlinsFan]

Right card? Right price? Buy.

[Jephthah]

I suspect it will not really matter...truly. Both are well known and have fairly secure places in the hobby, regardless of who the parent company is. PSA could jack it up by messing with SGC pricing, turnaround times, and customer service...only time will tell.

Keeping with your "armchair CEO" observation...my armchair input concerning what will happen is that PSA will eventually capitalize on SGC's strength by making them their sole grading branch for vintage, while focusing PSA proper on modern grading. By doing this they will (more or less) corner the market in two areas. BGS is slowly becoming irrelevant. Sure, there are folks who still like them but I recently saw a fairly deep dive into the market share of the top graders, and Beckett appears to have tanked terribly over the past couple of years, with no signs of recovery.

Personally...I always preferred SGC but over the past couple of months find myself gravitating toward CGC because they seem to be more consistent (accurate) in their grading, and those crystal cases they use are so much better looking and stronger than anything else out there. And as silly as it may sound, they FEEL awesome (better?) in hand. Grab a PSA (or SGC) and CGC in each hand and you'll see what I'm talking about. Obviously, this all just my opinion.

[johnscards]

Originally Posted by Jephthah

I suspect it will not really matter...truly. Both are well known and have fairly secure places in the hobby, regardless of who the parent company is. PSA could jack it up by messing with SGC pricing, turnaround times, and customer service...only time will tell.

Keeping with your "armchair CEO" observation...my armchair input concerning what will happen is that PSA will eventually capitalize on SGC's strength by making them their sole grading branch for vintage, while focusing PSA proper on modern grading. By doing this they will (more or less) corner the market in two areas. BGS is slowly becoming irrelevant. Sure, there are folks who still like them but I recently saw a fairly deep dive into the market share of the top graders, and Beckett appears to have tanked terribly over the past couple of years, with no signs of recovery.

Personally...I always preferred SGC but over the past couple of months find myself gravitating toward CGC because they seem to be more consistent (accurate) in their grading, and those crystal cases they use are so much better looking and stronger than anything else out there. And as silly as it may sound, they FEEL awesome (better?) in hand. Grab a PSA (or SGC) and CGC in each hand and you'll see what I'm talking about. Obviously, this all just my opinion.

Agreed on those CGC slabs being some of the best, they are real beauties in hand. I do really like the SGC black insert though, the contrast looks really good with light color toned cards, like Metal Platinum Portraits. Obv just my opinion

[ArmyDC]

I said buy, I think PSA bought them to slow down their production. They were getting killed in turn around time and customer service. I’m guessing they will make SGC slower and grade harder.. just my opinion though

[towerymt]

Originally Posted by ArmyDC

I said buy, I think PSA bought them to slow down their production. They were getting killed in turn around time and customer service. I’m guessing they will make SGC slower and grade harder.. just my opinion though

Buy company. Kill what it does well. Drive down revenue. I guess that's an option.

I don't think it makes sense to take action that would drive customers away from a company they just acquired.