September 9, 2020

Credit Suisse: Don’t ‘be on the sidelines’ for Virgin Galactic with final test milestones coming up


Virgin Galactic’s carrier aircraft releases its spacecraft Unity during a glide flight test.Virgin Galactic

Credit Suisse reinstated its outperform rating of Virgin Galactic’s stock (SPCE) on Wednesday, telling investors to not “be on the sidelines” as the space tourism company enters the final stage of development testing.

“With flight schedule visibility improving, and with scarce public investment opportunities in Space, we see a healthy demand environment for shares during the catalyst period,” Credit Suisse analyst Robert Spingarn said in a note.

Shares of Virgin Galactic rose as much as 7% Wednesday from its previous close of $17.40 but later slipped to trade little changed on the day. It jumped 9.3% in trading Tuesday, as CNBC reported its next spaceflight test is planned for Oct. 22 and UBS gave the stock a buy rating. It is up more than 50% since the beginning of this year.

Virgin Galactic’s spacecraft Unity flies to its new home in at Spaceport America in New Mexico on Feb. 13, 2020.
Virgin Galactic

By Michael Sheetz

Leave a Reply