Down 53%, Is Virgin Galactic a Buy?
I and many others had high hopes for Virgin Galactic (NYSE: SPCE), a company that offers tourist flights to near space. But one of the most exciting stocks to recently go public has failed to live up to expectations, leaving investors with a 53% decline so far this year. Can management turn the ship around, or is its business model fundamentally broken? Let's dig deeper.
If there is one thing the space industry has, it's potential. According to Citigroup, the revenue opportunity could expand from $424 billion in 2020 to $1 trillion by 2040. And while this growth will be heavily slanted toward existing industries such as satellite manufacturing and launch services, analysts expect combined revenue in brand-new industries, such as space tourism, to rise from zero to $101 billion over the period.
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Source Fool.com
