Virgin Galactic Confirmed Test Flight and Lordstown Motors Facing Pressure from Competitors
Virgin Galactic is one of the most popular stocks in the market, catching the attention of investors in January of 2020. They are an aerospace company looking to bring private citizens through its space vehicles, and their market cap sits at $4.769 billion.
The space tourism company announced some exciting news on Thursday. Virgin Galactic reported to shareholders that their spacecraft, the VSS Unity, has a test flight on Saturday after a maintenance review. This surprised many as people thought it would be delayed once again, but CEO Michael Colglazier shut the rumors down. This gives Virgin Galactic the opportunity to beat competitor Blue Origin, which is led by Jeff Bezos.
On Thursday, Virgin Galactic closed at $19.81, up 14.71%.
Lordstown is a company that specializes in manufacturing electric vehicles. Yes, they are an EV stock, which I’m sure you’re familiar with. They have a market cap of $1.6 billion, and they entered the market recently through a SPAC.
On Wednesday, they didn’t announce bad news themselves, but instead witnessed good news from someone else. Ford, the automotive giant, unveiled their electric F-150 Lightning truck, further entrenching them into the EV industry. The truck was also set at an affordable price of $40,000 dollars, and the F-150 is often very reliable. Lordstown didn’t like this news because Ford can easily dominate the EV market due to their experience, leaving the company to dry.
With investors pessimistic about the stock’s future, Lordstown sold off to $9.70 on Thursday, down 15.28%.
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.