The stock of Virgin Galactic Holdings Inc. (NYSE:SPCE) increased by $0.05 on Monday to finish at $2.59, up 1.97 percent. The last five days have seen an average of 11,037,400 shares of common stock traded. 11 times new highs were reached in the current year, with a fall of -$0.89. The average number of shares traded over the last 20 days was 16,104,165, while the average volume over the last 50 days totaled 27,283,660.
SPCE stock dropped -34.10% since last month. On 08/25/23, the company’s shares reached a one-month low of $2.46. The stock touched a high of $6.61 on 02/06/23, after rallying from a low of $2.46 in 52 weeks. The price of SPCE stock has declined by -25.57% or -$0.89 this year, reaching a new high 11 times. Still, the stock price is down -60.82% from the 52-week high.
Valuation Metrics
Beta for the stock is 1.22. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 247.65, the price-to-book (PB) ratio of 1.57.
Financial Health
For the three months ended June 29, Virgin Galactic Holdings Inc.’s quick ratio was 5.40, while its current ratio was 5.50, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.86, and the total debt to equity ratio is 0.86. As far as profitability goes, gross margin for the trailing twelve months is 40.70% percent. Based on annual data, it had gross profit of $2.31 million and revenue of $2.31 million.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. SPCE’s return on assets (ROA) during the last 12 months has been -51.50%. There was a -55.90% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -121.40%.
Earnings Surprise
According to Virgin Galactic Holdings Inc.’s quarterly financial report for the quarter that ended June 29. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $1.87 million, while revenues rose by 80.75% to $0.39 million. It was predicted that Virgin Galactic Holdings Inc.’s quarterly earnings would be -$0.46, but it ended up being -$0.51, beating the consensus by 9.80%. EBITDA was -$135.83 million for the quarter. At the end of Virgin Galactic Holdings Inc.’s most recent quarter ended June 29, its liabilities totaled 662.24 million, while its total debt was $477.17 million. Equity owned by shareholders amounts to $367.14 million.
Technical Picture
Here’s a quick look at Virgin Galactic Holdings Inc.’s (SPCE) price momentum from a technical perspective. As of 28 August, the RSI 9-day stood at 24.44%, suggesting the stock is oversold, with a 59.77% historical volatility rate.
The stochastic %K and %D were 8.48% and 8.90% respectively, while the average true range (ATR) was 0.21. Based on the 14-day stochastic reading of 11.02%, the RSI (14) reading is 29.41%. On the 9-day MACD Oscillator, the stock is at -0.14, and the 14-day reading is at -0.31.
Analyst Ratings
In its most recent analyst report, Alembic Global Advisors raised its rating on Virgin Galactic Holdings Inc. (NYSE: SPCE) to a Neutral. Prior to this, analysts firm rated the stock as an Underweight. Analysts have assigned Virgin Galactic Holdings Inc. (SPCE) an Hold rating. SPCE is a stock that is recommended for selling by 2 brokerage firms, while 6 companies recommend holding. The stock is underweighted by 3 analysts. Among the analysts who rate the stock, 0 rates it overweight and 2 others recommend it as a buy.
What is SPCE’s price target for the next 12 months?
The current consensus forecast for the stock is between $2.50 and $8.00, with a median target price of $3.50. In analyzing these forecasts, the average price target given by analysts for Virgin Galactic Holdings Inc. (SPCE) is $4.25.
