Virgin Galactic manufactures air and space vehicles and is also involved in human spaceflight for researchers and individuals in the United States. Virgin Galactic’s share price is up over 100% year-to-date, mostly on speculation of launching a test flight early in 2021.
When Does Virgin Galactic Report Q4 Earnings?
Virgin Galactic reports its fourth-quarter and full-year 2020 financial results on the 25th of February, 2021.
Market Expectations from Virgin Galactic’s Earnings Statement?
The market expects EPS of -$1.26 and YoY growth of 24.46% in the Q4 of last year. Any negative surprise should weigh on the share price, but the test flight is the wild card to any financial outcome revealed next week. As always, the market participants will focus on the forward guidance given by the management.
Virgin Galactic Shares: Technical Analysis
Virgin Galactic’s technical picture reveals a possible triple top at $60 that formed recently. If we look back in the past in search of support, the $42 area corresponds to a level where the share price found resistance in the past before blasting it over. As such, on any negative surprise, either from the test flight or from the financial results, the previous resistance area should act as support.
As for the triple top, technical traders have a saying that triple tops rarely hold. However, it depends on the price action that follows shortly after the rejection. What matters at this point is that the $60 level caps the upside and the $ 42 the downside. Any break and close above, respectively below these levels, should be met with more continuation in the same direction.
What Is the Outlook for the Virgin Galactic Share Price?
The frenzy surrounding Virgin Galactic’s share price is mostly about its upcoming test flight rather than about the upcoming financial results. 2021 started with the world’s three spacecraft from the United States, China, and the United Arab Emirates reaching the Red Planet (a.k.a. Mars), so people are keen to see further developments in this space. The more Virgin Galactic delays the test flight, the bigger the disappointment will be. Also, it may very well be that the test flight is already priced at current levels, considering the 100% gain in the share price in less than two months.