‘Buy Virgin Galactic Stock,’ Says TD Cowen

Virgin Galactic (SPCE) saw a massive jump in its stock price on Friday, thanks to better-than-expected Q1 earnings and a smaller loss compared to last year. The company also shared positive updates about its future plans by confirming that it is on track to begin payload flights with its new Delta Class SpaceShips in the summer of 2026 and private astronaut flights in the fall of 2026. Additionally, Virgin Galactic plans to raise ticket prices to above $600,000, which analysts see as a sign of strong future demand and higher profitability.

As a result, analysts reacted positively to the news, with TD Cowen giving Virgin Galactic a Buy rating with a $4.50 price target. Indeed, analyst Oliver Chen believes that the company is well-positioned to build a profitable commercial spaceflight business. He highlighted Virgin Galactic’s first-mover advantage in the space tourism market and its efficient manufacturing model, which uses external suppliers for spacecraft parts. Chen also sees Virgin Galactic expanding into international markets for space tourism, especially for high-net-worth individuals.

Interestingly, Virgin Galactic’s stock was up over 80% at the time of writing and reached a high of $6.64 for the day, which was its best price this year. Interestingly, the stock’s volatility is partly due to its high short interest, which stands at 26.3% of the total shares available for trading. This could lead to more price swings as the company continues its progress that includes plans for new spaceports like the one it’s considering in Italy.

Is SPCE Stock a Good Buy?

Turning to Wall Street, analysts have a Hold consensus rating on SPCE stock based on one Buy and three Holds assigned in the past three months, as indicated by the graphic below. Furthermore, the average SPCE price target of $14.58 per share implies 144% upside potential.

See more SPCE analyst ratings