Virgin Galactic shares rose 28% in one day and fell 13%

Richard Branson, the owner of Virgin Galactic, went into space on July 11, 2021, along with 3 other passengers on the VSS Unity (SpaceShipTwo). This move made it more likely that such flights would become available to tourists in 2022. 

Sharp price spikes

On 12.07.2021 the share price of Virgin Galactic rose by 28% and reached its all-time high of $63.88. Analysts emphasize that it was difficult to accurately predict the value of the company’s securities on July 12. This is due to increased volatility, provoked by the fixing of profits by short-term traders. The experts state that the shares are overvalued and in the absence of positive news in the nearest future they are unlikely to show significant price growth. 

Virgin Galactic’s stock price fluctuated throughout Monday, and by late afternoon it was down more than 13%. At 18:00 MSK the value of the shares was at $43.8. The decline in quotations occurred after the announcement of the company about the additional sale of securities to the amount of $500 mln.