Virgin Galactic Holdings (SPCE) AI Stock Analysis

• Market Cap: $233.84M
• Dividend Yield: N/A
• Average Volume (3M): 3.56M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.22
• Revenue Growth: -82.36%
• EPS Growth: 56.88%
• Country: US
• Employees: 744
• Sector: Industrials
• Sector Strength: 72
• Industry: Aerospace & Defense
• EPS (TTM): -1.09
• Shares Outstanding: 63,200,245
• 10 Day Avg. Volume: 3,040,888
• 30 Day Avg. Volume: 3,563,019
• PEG Ratio: <0.01
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 20.85
• P/FCF Ratio: -0.31
• Enterprise Value/Market Cap: 1.20
• Enterprise Value/Revenue: 168.38
• Enterprise Value/Gross Profit: -3.62
• Enterprise Value/Ebitda: -1.06
• 1Y Price Target: $4.11
• Price Target Upside: 6.20% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): -5.55
• Revenue Forecast (FY): $2.39M

• Rating: 47 Neutral
• Price Target: $4.00 ▲(3.36% Upside)

Virgin Galactic Holdings' overall stock score is primarily impacted by its weak financial performance, with significant challenges in profitability and cash flow. Technical analysis provides a mixed outlook, with some short-term positive momentum but overall bearish signals. The valuation metrics are unattractive due to negative earnings. While the earnings call provided some positive future prospects, it was not factored into the score due to its exclusion from the weighted calculation.

Positive Factors

SpaceShip Program Progress

The progress in the SpaceShip program indicates a strong pipeline and potential for future revenue growth as the company nears commercial spaceflight operations.

Financial Improvements

Improvement in financial metrics suggests better cost management and operational efficiency, which could lead to enhanced profitability as the company scales.

Reusability of SpaceShips

Enhanced reusability of spacecraft can significantly reduce costs per flight, improving margins and making space tourism more economically viable.

Negative Factors

High Debt Levels

High leverage poses financial risks, potentially limiting the company's ability to invest in growth opportunities and affecting long-term financial stability.

Negative Cash Flow

Negative cash flow highlights liquidity challenges, which could hinder the company's ability to fund operations and future projects without additional financing.

Declining Revenue

Declining revenue growth indicates challenges in market penetration and customer acquisition, which could impact long-term sustainability and profitability.

Virgin Galactic Holdings Business Overview & Revenue Model

Company Description

Virgin Galactic Holdings, Inc. focuses on the development, manufacture, and operation of spaceships and related technologies for conducting commercial human spaceflight and flying commercial research and development payloads into space. It is also involved in the ground and flight testing, and post-flight maintenance of its spaceflight system vehicles. The company serves private individuals, researchers, and government agencies. Virgin Galactic Holdings, Inc. was founded in 2017 is headquartered in Las Cruces, New Mexico. Virgin Galactic Holdings, Inc. was a former subsidiary of Virgin Orbit Holdings, Inc.

How the Company Makes Money

Virgin Galactic generates revenue primarily through ticket sales for its suborbital spaceflights. The company has pre-sold tickets to customers aspiring to experience space travel, with prices initially set at around $200,000 to $250,000 per ticket. Additionally, Virgin Galactic is exploring partnerships with government and commercial entities to facilitate research and payload flights, which represent another potential revenue stream. The company may also derive income from merchandise and future developments in space tourism and technology, including potential collaborations with other aerospace companies or sectors. As it scales operations and increases flight frequency, the company anticipates enhancing its earnings through expanded customer bases and operational efficiencies.

Virgin Galactic Holdings Financial Statement Overview

Summary

Virgin Galactic Holdings faces significant financial challenges, with negative profitability and cash flow issues. The income statement shows negative margins and declining revenue, while the balance sheet indicates high leverage. Despite some positive aspects like a moderate equity ratio, the overall financial health is weak.

Income Statement

Virgin Galactic Holdings has experienced significant challenges in its income statement metrics. The company shows negative gross profit and net profit margins, indicating it is not currently profitable. Revenue growth is also negative in the TTM period, suggesting declining sales. The EBIT and EBITDA margins are deeply negative, reflecting operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage, which could pose financial risks. The return on equity is negative, showing that the company is not generating returns for shareholders. However, the equity ratio suggests a moderate level of equity financing relative to total assets, which provides some stability.

Cash Flow

Cash flow metrics indicate negative operating and free cash flows, with a declining free cash flow growth rate. The operating cash flow to net income ratio is negative, highlighting cash flow challenges. However, the free cash flow to net income ratio is positive, suggesting some ability to cover net losses with free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.66M	7.04M	6.80M	2.31M	3.29M	238.00K
Gross Profit	-77.26M	-82.99M	-43.74M	406.00K	3.02M	65.00K
EBITDA	-263.07M	-318.27M	-475.64M	-476.33M	-341.28M	-635.06M
Net Income	-292.60M	-346.74M	-502.34M	-500.15M	-352.90M	-644.89M
Balance Sheet
Total Assets	853.54M	961.23M	1.18B	1.14B	1.07B	803.99M
Cash, Cash Equivalents and Short-Term Investments	423.57M	563.23M	874.04M	909.01M	629.45M	665.92M
Total Debt	474.53M	420.12M	491.10M	475.38M	42.48M	27.15M
Total Liabilities	627.65M	638.95M	674.04M	659.72M	174.57M	276.91M
Stockholders Equity	225.90M	322.28M	505.48M	480.22M	894.26M	527.08M
Cash Flow
Free Cash Flow	-460.30M	-474.56M	-492.50M	-396.73M	-235.40M	-250.36M
Operating Cash Flow	-268.70M	-352.70M	-448.19M	-380.24M	-230.76M	-233.16M
Investing Cash Flow	89.08M	175.66M	-116.27M	-286.17M	-387.52M	-17.20M
Financing Cash Flow	133.70M	134.34M	475.43M	459.00M	489.36M	436.59M

Virgin Galactic Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.87
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SPCE, the sentiment is Positive. The current price of 3.87 is above the 20-day moving average (MA) of 3.58, above the 50-day MA of 3.81, and above the 200-day MA of 3.43, indicating a bullish trend. The MACD of -0.06 indicates Negative momentum. The RSI at 56.76 is Neutral, neither overbought nor oversold. The STOCH value of 77.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SPCE.

Virgin Galactic Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
PL	53 Neutral	$3.61B	―	-19.90%	―	11.33%	35.92%
ACHR	49 Neutral	$5.49B	―	-59.13%	―	―	11.14%
SPCE	47 Neutral	$233.84M	―	-98.87%	―	-82.36%	56.88%
EH	43 Neutral	$1.02B	―	-31.44%	―	23.58%	-0.70%
SIDU	41 Neutral	$24.47M	―	-142.81%	―	-30.18%	80.43%
EVTL	25 Underperform	$432.54M	―	―	―	―	―

Virgin Galactic Holdings Corporate Events

Virgin Galactic’s Earnings Call: Progress Amid Challenges

Virgin Galactic Holdings Inc. recently held an earnings call that painted a picture of promising developments and strategic advancements, despite some minor setbacks. The overall sentiment was optimistic, with significant progress in the SpaceShip program and financial improvements taking center stage. While there were some delays and limited current revenue, the future prospects appear bright, outweighing the challenges faced.

Virgin Galactic Reports Q3 2025 Financial Results

Virgin Galactic Holdings Inc. is an aerospace and space travel company focused on pioneering human-first spaceflight for private individuals, researchers, and governments using advanced SpaceShips and launch vehicles. In its latest earnings report, Virgin Galactic announced its third-quarter financial results for 2025, highlighting a continued track towards its first commercial spaceflight in Q4 2026 and ongoing preparations for commercial operations. The company reported a net loss of $64 million, an improvement from the previous year’s $75 million loss, driven by reduced operating expenses. Despite a modest revenue of $0.4 million, Virgin Galactic maintains a strong cash position with $424 million in cash, cash equivalents, and marketable securities. The company is actively preparing for its commercial launch, with 90% of the structural parts for its first SpaceShip expected by the end of 2025 and sales for spaceflights on new SpaceShips anticipated to begin in Q1 2026. Looking ahead, Virgin Galactic is optimistic about its ability to ramp up spaceflight capacity quickly, with most current customers expected to embark on their space journeys in 2027, supported by enhanced flight rate capabilities and efficient turnaround times.

Virgin Galactic Updates Bylaws for Modern Governance

On August 28, 2025, Virgin Galactic Holdings, Inc. amended its by-laws to change voting standards, address universal proxy rules, and enhance procedural mechanics for stockholder meetings. These amendments aim to modernize governance practices and ensure compliance with regulatory requirements, potentially impacting shareholder engagement and corporate governance.

The most recent analyst rating on (SPCE) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on Virgin Galactic Holdings stock, see the SPCE Stock Forecast page.