Virgin Galactic's Plans for Profit Aren't Realistic
Once upon a time, Virgin Galactic (NYSE: SPCE) had the space market to itself -- but no longer. The only pure-play space stock on the market when it went public in 2019, it soared some 370% over the next 20 months and ignited interest in a whole series of "me-too" space stocks that came public during the pandemic.
But my, how the mighty have fallen. Today, Virgin Galactic trades for roughly $1 a share and flirts daily with penny stock status. At any moment, it might receive a warning letter from the New York Stock Exchange threatening to delist its Stock if it doesn't raise its share price significantly.
Now there's some good news here for investors: If and when Virgin Galactic does receive a warning letter from the NYSE, it has a plan in place to reverse split its stock, raise the price of its shares, and avoid delisting. Not everyone would applaud this outcome, but it would at least be better than getting booted off the NYSE.
Source Fool.com
