Reassessing The Changing Outlook For Virgin Galactic Holdings Inc. (SPCE)

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UPWK stock

Mubadala Investment Co. PJSC (Inv.. recently announced the acquisition of new stake in Virgin Galactic Holdings Inc. (NYSE:SPCE). This fresh investment now brings its stake to 7.08% valued currently at $334.22 million. In addition, The Vanguard Group, Inc. raised its holdings by 2.17 million to 7.59 million shares. And SSgA Funds Management, Inc. has lifted its position by 9,673.39% or 4.33 million shares – to 4.38 million shares.

With over 12.7 million Virgin Galactic Holdings Inc. (SPCE) shares trading Monday and a closing price of $17.90 on the day, the dollar volume was approximately $227.27 million. The shares have shown a positive weekly performance of 1.53% and its price on 08/31/20 gained nearly 2.52%. Currently, there are 211.79M common shares owned by the public and among those 168.10M shares have been available to trade.

An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 4 analysts who have offered their price forecasts for SPCE have a consensus price objective of $24.00. The analysts have set the share’s price value over the next 12 months at a high of $28.00 and a low of $22.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Virgin Galactic Holdings Inc. stock is 2.00 for the next 12 months. The average price target is 33.7% above its last price level and an upside to the estimated low will see the stock gain 18.64% over that period. But an upside of 36.07% will see the stock hit the forecast high price target while mean target price for the stock is $23.00.

Insiders at the company have transacted a total of 38 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 30 of these insider trades were purchases, accounting for 34,342,668 shares. Insider sales of the common stock occurred on 8 occasions, with total insider shares sold totaling 232,348,054 shares.

The top 3 mutual fund holders in Virgin Galactic Holdings Inc. are SPDR S&P Aerospace & Defense ETF, Vanguard Total Stock Market Index, and Vanguard Small Cap Index Fund. SPDR S&P Aerospace & Defense ETF owns 3.32 million shares of the company’s stock, all valued at over $74.47 million. Vanguard Total Stock Market Index bought 131.0 shares to see its total holdings expand to 2.53 million shares valued at over $56.86 million and representing 1.20% of the shares outstanding. Vanguard Small Cap Index Fund sold 21720.0 shares to bring its total holdings to over 2.19 million shares at a value of $49.09 million. Vanguard Small Cap Index Fund now owns shares totaling to 1.04% of the shares outstanding.

Shares of Virgin Galactic Holdings Inc. (NYSE: SPCE) opened at $18.13, up $0.67 from a prior closing price of $17.46. However, the script later closed the day at $17.90, up 2.52%. The company’s stock has a 5-day price change of 1.53% and 13.15% over the past three months. SPCE shares are trading 54.98% year to date (YTD), with the 12-month market performance up to 72.95% higher. It has a 12-month low price of $6.90 and touched a high of $42.49 over the same period. Currently, 12.7 million shares have been traded, compared to an average intraday trading volume of 17.89 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -3.32%, -6.70%, and 6.97% respectively.

Institutional ownership of Virgin Galactic Holdings Inc. (NYSE: SPCE) shares accounts for 19.60% of the company’s 211.79M shares outstanding. Mutual fund holders own 37.33%, while other institutional holders and individual stakeholders account for 8.37% and 20.78% respectively.

It has a market capitalization of $4.15B. The earnings-per-share (ttm) stands at -$1.56. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.73% over the week and 5.72% over the month.

Analysts forecast that Virgin Galactic Holdings Inc. (SPCE) will achieve an EPS of -$0.25 for the current quarter, -$0.23 for the next quarter and -$0.56 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.26 while analysts give the company a high EPS estimate of -$0.22. Earnings per share for the fiscal year are expected to increase by 2.80%, and 47.20% over the next financial year.

If you are looking to buy this stock, then you may note that the average analyst recommendation by 4 brokerage firm advisors rate Virgin Galactic Holdings Inc. (SPCE) as a “Moderate Buy” at a consensus score of 2.00. Specifically, 3 Wall Street analysts polled rate the stock as a buy, while 1 of the 4 advise that investors “hold,” and 0 rated it as a “Sell.”

Looking at the support for the SPCE, a number of firms have released research notes about the stock. Cowen stated their Outperform rating for the stock in a research note on August 31, 2020, with the firm’s price target at $22. Alembic Global Advisors coverage for the Virgin Galactic Holdings Inc. (SPCE) stock in a research note released on July 13, 2020 offered a Overweight rating with a price target of. Morgan Stanley was of a view on March 24, 2020 that the stock is Overweight, while Morgan Stanley gave the stock Equal-Weight rating on February 27, 2020, issuing a price target of $30. Credit Suisse on their part issued Neutral rating on February 27, 2020.


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