Share prices of Virgin Galactic (NYSE: SPCE) have fallen roughly 60% over the past year. The stock is down over 95% from its highs in 2021. Contrarian investors might view that level of pessimism as an indication that there's a buying opportunity here. Be careful; there are also very big risks. Here are three things you need to know before you buy this deeply out-of-favor space stock.

The first big thing that any investor in Virgin Galactic needs to understand is that this company is still, basically, in the start-up phase. It has proven that it can fly paying customers into space, which is great. But it hasn't proven that this is a viable long-term business. There are two facts to consider here.

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Source Fool.com