Virgin Galactic Holdings Inc. (NYSE: SPCE) stock jumped 6.79% on Friday to $5.19 against a previous-day closing price of $4.86. With 10.37 million shares changed hands, the volume of the stock remained heavier than its average volume of 7.01 million shares. During the session, the Aerospace & Defense company that operates in wider Industrials sector, reached to the highest price of $5.24 whereas the lowest price it dropped to was $4.85. The 52-week range on SPCE shows that it touched its highest point at $11.25 and its lowest point at $3.24 during that stretch. It currently has a 1-year price target of $5.08. Beta for the stock currently stands at 1.00.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of SPCE was up-trending over the past week, with a rise of 12.34%, but this was up by 36.58% over a month. Three-month performance surged to 15.85% while six-month performance fell -32.95%. The stock lost -42.90% in the past year, while it has gained 49.14% so far this year. A look at the trailing 12-month EPS for SPCE yields -1.65 with Next year EPS estimates of -1.69. For the next quarter, that number is -0.52. This implies an EPS growth rate of 51.60% for this year and 9.10% for next year.
Float and Shares Shorts:
At present, 263.91 million SPCE shares are outstanding with a float of 223.91 million shares on hand for trading. On Oct 13, 2022, short shares totaled 46.28 million, which was 17.89% higher than short shares on Sep 14, 2022. In addition to Mr. Michael A. Colglazier as the firm’s CEO, Pres & Director, Mr. Douglas T. Ahrens serves as its Exec. VP, CFO & Treasurer.
Through their ownership of 39.08% of SPCE’s outstanding shares, institutional investors have minority control over the company. Other institutions hold 36.29% of SPCE, in contrast to 21.06% held by mutual funds. Shares owned by individuals account for 11.79%. As the largest shareholder in SPCE with 6.62% of the stake, The Vanguard Group, Inc. holds 18,177,589 shares worth 18,177,589. A second-largest stockholder of SPCE, BlackRock Fund Advisors, holds 16,012,644 shares, controlling over 5.83% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in SPCE, holding 13,271,346 shares or 4.83% stake. With a 4.12% stake in SPCE, the SPDR S&P Aerospace & Defense ETF is the largest stakeholder. A total of 11,321,944 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.37% of SPCE stock, is the second-largest Mutual Fund holder. It holds 6,498,979 shares valued at 22.62 million. iShares Russell 2000 ETF holds 1.96% of the stake in SPCE, owning 5,385,908 shares worth 18.74 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for SPCE since 13 analysts follow the stock currently. There are 2 analysts who recommend BUY ratings, while 3 suggest SELL ratings. Of the remaining analysts, 5 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 3 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With SPCE analysts setting a high price target of $11.00 and a low target of $3.00, the average target price over the next 12 months is $5.00. Based on these targets, SPCE could surge 111.95% to reach the target high and fall by -42.2% to reach the target low. Reaching the average price target will result in a decline of -3.66% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. SPCE will report FY 2022 earnings on 02/21/2024. Analysts have provided yearly estimates in a range of -$1.77 being high and -$1.94 being low. For SPCE, this leads to a yearly average estimate of -$1.86. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Virgin Galactic Holdings Inc. surprised analysts by -$0.14 when it reported -$0.55 EPS against a consensus estimate of -$0.41. The surprise factor in the prior quarter was -$0.07. Based on analyst estimates, the high estimate for the next quarter is -$0.45 and the low estimate is -$0.57. The average estimate for the next quarter is thus -$0.51.
Summary of Insider Activity:
Insiders traded SPCE stock several times over the past three months with 3 Buys and 5 Sells. In these transactions, 237,472 shares were bought while 7,199 shares were sold. The number of buy transactions has increased to 13 while that of sell transactions has risen to 23 over the past year. The total number of shares bought during that period was 1,229,430 while 106,626 shares were sold.