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Virgin Galactic (SPCE) Exceeds Market Returns: Some Facts to Consider

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The latest trading session saw Virgin Galactic (SPCE - Free Report) ending at $1.04, denoting a +1.96% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a gain of 0.03% for the day. Elsewhere, the Dow saw an upswing of 0.41%, while the tech-heavy Nasdaq appreciated by 0.12%.

Heading into today, shares of the company had lost 32% over the past month, lagging the Aerospace sector's loss of 5.49% and the S&P 500's loss of 0.9% in that time.

The upcoming earnings release of Virgin Galactic will be of great interest to investors. On that day, Virgin Galactic is projected to report earnings of -$0.26 per share, which would represent year-over-year growth of 54.39%. Meanwhile, our latest consensus estimate is calling for revenue of $2 million, up 412.82% from the prior-year quarter.

For the full year, the Zacks Consensus Estimates project earnings of -$0.96 per share and a revenue of $8.31 million, demonstrating changes of +35.14% and +22.21%, respectively, from the preceding year.

It is also important to note the recent changes to analyst estimates for Virgin Galactic. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Virgin Galactic currently has a Zacks Rank of #3 (Hold).

The Aerospace - Defense industry is part of the Aerospace sector. Currently, this industry holds a Zacks Industry Rank of 103, positioning it in the top 41% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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