Shares of Virgin Galactic Holdings Inc. SPCE,
14.9% in active trading soared toward a four-month high in Thursday morning trading, after Vertical Research analyst Darryl Genovesi reiterated his bullish stance on the space travel company after the appointment of a former DIS from Walt Disney Co.,
executive Michael Colglazier as its new CEO. Trading volume was 20.9 million shares, more than the full-day average of approximately 17.4 million shares. Genovesi kept his buy rating and target price for his shares at $ 29, which is approximately 36% above current levels. “[CEO] the transition is a clear indication of the company’s evolving priorities as development of its central suborbital space flight capability appears to be ending, and its focus shifts from engineering to marketing, “Genovesi wrote in a note to clients. He said some investors might be skeptical of an outside organization running the company, and because former CEO George Whitesides, who will become space director, was well-liked, but the company’s logic in CEO transition “seems sound.” on the surface. “He said Virgin Galactic remains” thematically attractive “because it’s the only way investors can get pure exposure to human space flight, or any exposure to space tourism. The stock is up 85% to date , while the S&P 500 SPX,
It has fallen 0.8%.
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