Virgin Galactic price target raised to $3 from $2.50 at Susquehanna

Susquehanna raised the firm’s price target on Virgin Galactic (SPCE) to $3 from $2.50 and keeps a Neutral rating on the shares. The firm updated its model as it previewed Q1 earnings for the Aerospace and Defense sector. The Middle East conflict is showcasing U.S. military capabilities but also shines a light on the pressing need for the Defense Industrial base to expand capacity. Broadly speaking, the firm believes the stage is set for a very strong three- to five-year growth trajectory in the Defense industry, underpinned by a heightened geopolitical risk environment, prioritization of the Golden Dome initiative, the need to replenish inventories and expand capacity, and increased demand from U.S. allies.