Virgin Galactic (NYSE:SPCE) Posts Quarterly Earnings Results, Misses Estimates By $0.02 EPS

Virgin Galactic (NYSE:SPCE) announced its quarterly earnings data on Thursday. The company reported ($0.81) EPS for the quarter, missing analysts’ consensus estimates of ($0.79) by ($0.02), FiscalAI reports. Virgin Galactic had a negative return on equity of 106.67% and a negative net margin of 18,063.93%.The firm had revenue of $0.23 million during the quarter, compared to the consensus estimate of $0.20 million.

Here are the key takeaways from Virgin Galactic’s conference call:

• Virgin Galactic said it remains on track for flight testing in Q3 and space flights in Q4 2026, with the first production spaceship moved into the test and launch hangar and ground testing underway.
• The company highlighted progress on commercial readiness, including hiring pilots, advancing FAA Part 450 licensing, and beginning construction of a rocket motor assembly line expected to be operational in Q4.
• Virgin Galactic said booking interest has been strong, with about 650 founding astronauts representing roughly a year of advanced bookings and new $750,000 tickets seeing qualified inquiries from customers in more than 20 countries.
• First-quarter results showed limited revenue but improving cost discipline, with $200,000 of revenue, operating expenses down 26% year over year to $66 million, and free cash flow improving to negative $93 million.
• Management emphasized a strengthening financial runway, citing $251 million in cash and marketable securities, continued ATM funding, and an early $10 million note redemption that reduces upcoming debt payments.

Virgin Galactic Trading Up 1.6%

Shares of NYSE:SPCE traded up $0.05 during midday trading on Thursday, hitting $2.93. The company had a trading volume of 12,951,013 shares, compared to its average volume of 8,225,928. Virgin Galactic has a 12 month low of $2.13 and a 12 month high of $6.64. The company has a current ratio of 1.78, a quick ratio of 1.78 and a debt-to-equity ratio of 1.01. The stock has a market cap of $238.12 million, a price-to-earnings ratio of -0.49 and a beta of 2.18. The firm has a fifty day simple moving average of $2.64 and a 200 day simple moving average of $3.03.

Institutional Trading of Virgin Galactic

Several hedge funds have recently added to or reduced their stakes in SPCE. Pitcairn Co. acquired a new stake in Virgin Galactic during the 2nd quarter worth $31,000. PharVision Advisers LLC acquired a new stake in Virgin Galactic during the 3rd quarter worth $43,000. Russell Investments Group Ltd. raised its stake in Virgin Galactic by 76.6% during the 2nd quarter. Russell Investments Group Ltd. now owns 16,773 shares of the company’s stock worth $46,000 after buying an additional 7,274 shares during the period. Moneta Group Investment Advisors LLC acquired a new stake in Virgin Galactic during the 4th quarter worth $48,000. Finally, Verition Fund Management LLC acquired a new stake in Virgin Galactic during the 3rd quarter worth $52,000. Institutional investors and hedge funds own 46.62% of the company’s stock.

Wall Street Analyst Weigh In

A number of analysts have commented on SPCE shares. Weiss Ratings reiterated a “sell (e+)” rating on shares of Virgin Galactic in a research report on Monday, April 20th. Susquehanna raised their price objective on Virgin Galactic from $2.50 to $3.00 and gave the stock a “neutral” rating in a research report on Friday, April 10th. Wall Street Zen downgraded Virgin Galactic from a “hold” rating to a “sell” rating in a research report on Saturday, April 4th. Finally, Jefferies Financial Group dropped their target price on Virgin Galactic from $8.00 to $5.00 and set a “buy” rating for the company in a report on Thursday, April 2nd. One analyst has rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Reduce” and an average target price of $3.33.

About Virgin Galactic

Virgin Galactic Holdings, Inc (NYSE: SPCE) is a commercial spaceflight company developing and operating spacecraft for private individuals and research customers. The firm’s primary business is suborbital human spaceflight, offering passengers a brief trip to the edge of space aboard its reusable spaceplane. In parallel, the company is building out infrastructure and support services for suborbital payload deployments and microgravity research missions.

The core flight system consists of a carrier aircraft, WhiteKnightTwo, which lifts the spaceplane SpaceShipTwo to high altitude before release.