Virgin Galactic value jumps 25%
September 30, 2020
By Chris Forrester
Richard Branson’s space tourism business Virgin Galactic saw its share price rocket 24.9 per cent on September 28th following a highly favourable analyst overview.
A Bank of America report on Virgin Galactic firmly recommended the company’s shares to investors, bring up to eight the number of Wall Street analysts who are favouring the company.
“No company in our coverage universe has anywhere near comparable growth potential,” Bank of America analyst Ron Epstein told investors, adding that the company’s growth prospects are ”unparalleled”. Virgin Galactic “has a unique business with leading market position (no operating competition) and an experienced management team,” Epstein added in a note.
Investment bank UBS is already on record as saying space tourism could be a $3 billion industry by 2030.
Virgin Galactic stock is up about 78 per cent this year. It told shareholders in August it expects to fly founder Branson in the first quarter of 2021, which will effectively mark its beginning commercial service.
The company is planning a series of sub-orbital space flights from its Mojave Desert base on its SpaceShipTwo rocket plane. It will carry out its next test-flight on October 22nd.