TD Cowen analyst Oliver Chen maintained a Buy rating on Virgin Galactic Holdings today and set a price target of $4.50.
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Oliver Chen has given his Buy rating due to a combination of factors that highlight Virgin Galactic Holdings’ promising trajectory towards commercial space operations. The company has reaffirmed its flight test program for the third quarter of 2026 and its commercial flight timeline for the fourth quarter of 2026, aiming to fulfill its passenger backlog by 2027. This progress is supported by significant liquidity and a strategic plan to reach cash flow neutrality by the first quarter of 2027, as well as the hiring of a Chief Growth Officer and the launch of an astronaut portal.
Moreover, Virgin Galactic is advancing with the development of its Delta Class Spaceships, expected to conduct approximately 125 flights annually, and has achieved key technical milestones. The company’s strategic partnerships and innovation initiatives, such as research missions and institutional collaborations, further enhance its credibility and demand. Additionally, the reopening of ticket sales in early 2026 at increased prices and the exploration of growth opportunities beyond suborbital flights, including avionics and rocket systems, contribute to a positive outlook. The management’s prudent financial strategy, with sufficient cash reserves and growth capital, positions the company well for its planned commercial operations.
According to TipRanks, Chen is a 4-star analyst with an average return of 6.2% and a 53.01% success rate. Chen covers the Consumer Cyclical sector, focusing on stocks such as Tapestry, LVMH Moet Hennessy Louis Vuitton, and Canada Goose Holdings.