What's Going On With Virgin Galactic Stock After Reverse Split?

Virgin Galactic Holdings, Inc. SPCE shares are trading lower Monday after the company effected a 1-for-20 reverse stock split. 

The Details:

Virgin Galactic shares began trading on a reverse-split adjusted basis Monday morning. The company said its primary goal in introducing the split is to increase its common stock’s price per share to meet the minimum bid price requirement for continued listing on the New York Stock Exchange.

Virgin Galactic marked its second spaceflight this year on June 8 when it launched four tourists aboard its VSS Unity spaceplane. The mission was the last commercial flight for the space plane which Virgin Galactic plans to replace with its Delta class spaceships, expected to enter commercial flight in 2026.

Virgin Galactic's stock has fallen more than 40% over the past month despite the successful spaceflight. 

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Will SPCE Stock Go Up?

When trying to assess whether or not Virgin Galactic Holdings will trade higher from current levels, it's a good idea to take a look at analyst forecasts.

Wall Street analysts have an average 12-month price target of $1.67 on Virgin Galactic. The Street high target is currently at $3.50 and the Street low target is $0.75. Of all the analysts covering Virgin Galactic, one has a positive rating, 2 have neutral ratings and 2 have negative ratings.

In the last month, no analysts have adjusted price targets. Here's a look at recent price target changes [Analyst Ratings]. Benzinga also tracks Wall Street's most accurate analysts. Check out how analysts covering Virgin Galactic Holdings have performed in recent history.

Stocks don't move in a straight line. The average stock market return is approximately 10% per year. Virgin Galactic is 91.24% down year-to-date. The average analyst price target suggests the stock could have further downside ahead.

For a broad overview of everything you need to know about Virgin Galactic, visit here. If you want to go above and beyond, there's no better tool to help you do just that than Benzinga Pro. Start your free trial today.

SPCE Price Action: According to Benzinga Pro, Virgin Galactic shares are down 20.5% at $10.90 at the time of publication Monday.

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