Virgin Galactic Holdings, Inc. (NYSE:SPCE) shares are trading lower Friday, and the stock is down by more than 20% over the past five days.
The Details:
Virgin Galactic announced Wednesday that its board had approved a 1-for-20 reverse stock split, effective after the market close on Friday. Virgin Galactic's common stock is expected to begin trading on a split-adjusted basis on Monday.
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 shares are falling ahead of the reverse split on heavy trading volume. According to data from Benzinga Pro, Virgin Galactic stock is trading well-below its 50-day moving average of 96 cents and marked a new 52-week low of 67 cents Friday.
Related News: What's Going On With Longeveron Stock?
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 Hldgs. 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 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 85.63% down year-to-date. The average analyst price target suggests the stock could have further upside ahead.
For a broad overview of everything you need to know about Virgin Galactic Holdings, 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 7.64% at 67 cents at the time of publication Friday.
Image: Courtesy of Virgin Galactic Holdings, Inc.