HUGE NEWS for Virgin Galactic 🔥 SPCE Short Squeeze Coming │ SPCE Stock Analysis

Added: 2026-06-03

[00:00:08]What's going on? Welcome back to the channel. Today we're going to talk to you about Virgin Galactic. I want to go over some of the current data points, break it down on what came out from the company itself, and why it is a very big deal. Before I get into any of that, make sure you guys hit that thumbs up, and with that, let's get right to it.

[00:00:22]So, Virgin did go up 19.5% on Thursday. So far during the pre-market, it is continuing its nice push higher, up 5.5%.

[00:00:32]Ultimately, they did put out news after hours on Thursday, and that was this right here. So, Virgin Galactic announcing notice of settlement of derivative actions. So, ultimately, this was one thing that was kind of looming over them, but it does look as though that insurers actually did pay this, the sum of 2.75 million. So, in general, this is kind of a good thing. So, ultimately, company isn't really taking any fault, or I guess the executives and so forth, but one thing I do want to bring up is that the company's actually retaining 50% of this. And so, not to downplay Virgin, but based on their last earnings, they did only kind of make about 227,000 for revenue. Even the upcoming earnings, which hasn't been announced just yet, the official date, estimated for first week of August, but analysts are assuming about 126,000 for revenue. So, when it comes down to this, the fact that the company just got roughly around 1.3 million dollars from the settlement, which again is coming from insurers, this is a interestingly enough net positive for the company. So, in general, this is kind of a a big deal, right? Because Virgin kind of moves up, down, sideways based on their earnings, and analysts. Again, even for the upcoming earnings is only anticipating 126,000. So, for them to get 1.3 million, that is a huge deal.

[00:02:06]Aside from that though, the next point that I'm going to bring up, why Virgin's up during the pre-market, is kind of crude somewhat, but sometimes when bad things happen to competitors, usually that's seen as a positive, right? And unfortunately, we did have this that came out kind of overnight. So, Blue Origin rocket explodes during ground test. And the reason why I can say this kind of crudely is that nobody was injured, nobody died or anything like that. It was just a very crazy explosion that clearly is going to set them back, but nonetheless, this is kind of seen as a positive for Virgin.

[00:02:47]So, this might be a unpopular one, and usually these types of catalysts is only beneficial for one day. But, clearly there's a couple different things all coming out at once. So, you just have a broader sector that is hyped up because of SpaceX's IPO, as I brought up in my video yesterday. You also have kind of a lot of retail and also institutions really targeting heavily shorted stocks, and this is where Virgin for the most part is getting on a lot of people's radar. Then you have this news, and then the Blue Origin rocket exploding. So, you kind of have a lot of good things really working in Virgin's favor. Aside from that, during the pre-market, shorts are increasing about 31,000 shares. So, not doing too much, but 23.07% of the free float is being shorted.

[00:03:37]Works out to be 21.7 million shares overall being shorted.

[00:03:41]So, interestingly enough, shorts did increase yesterday. So, as Virgin was up 19.5% shorts were trying their very best to slow it. Didn't really work out all that well, but then again, as I mentioned in my video yesterday, one thing that kind of shorts of become very accustomed to is being the primary source of volume on a daily basis. Whereas we did see for the first time in a very long time, we did have some institutions actually buying up Virgin. And clearly, like I mentioned, this news right here, which came out at 4:33, you did see some transactions that did occur after hours.

[00:04:24]So, big money is really liking this news. So, again, this is what I I like to kind of see behind the scenes, what's truly happening. So, anything with they ask is a buy, anything with a bid is a sell. Dark pool transactions, definitely it's going to be a very popular one. So, as you can kind of see a lot of big stuff. Right now, though, based on Virgin, this is the open interest. So, currently where it is at at 4:73 during the pre-market, um it we have currently 14,000 at the four, 4,000 at the 450, 10,000 at the 350. So, ultimately, you might see a little bit of a gamma squeeze, which is very unique because Virgin, it's very heavily shorted, and so on occasion, you have kind of minor short squeezes, but very rarely, I don't think I've ever brought up that Virgin could have a little bit of a gamma squeeze. So, as long as Virgin can hold at at the very bare minimum $4, or even better yet, 450, then you could see market makers buying as that these will be considered in the money. So, at the end of the day, that is a pretty like positive thing. As why I did bring up in my video yesterday, though, it really needed to get above this 407, and if so, then we were going to see a very nice push higher. And then lo and behold, that's exactly what did happen.

[00:05:49]Realistically, I don't see this 407 being touched whatsoever today, or even let alone in the foreseeable future, because we did have PCE data yesterday, which did really drop the likelihood of a rate hike in the foreseeable future. So, growth stocks definitely moving on. Market itself, on a larger scope, is kind of pivoting to risk on. So, realistically, I don't see this 407 uh being hit unless something crazy negative operationally does uh affect Virgin, but does look like things are kind of moving higher. Next strong kind of target is going to be that 581. So, for those of you that are day traders or swing traders, kind of just watch for that 581. But, in addition to that, one thing I actually do anticipate to come out is surprisingly new analyst ratings. And the reason why I say that is because analysts are sheep, overpaid sheep. And if they see a stock starting to run, then they will come on and say, "Hey, you know what? Virgin is a buy." They're always dumb like that. But, nonetheless, market does generally like that and tends to kind of push the stock price up a little bit more because of that. So, as dumb as it sounds, we might be getting some new analyst ratings in the next little bit. Aside from all that fun stuff though, uh with us right now up 5.5% during the pre-market, I personally still feel that is kind of on the low end uh only because of what was announced after hours. Realistically, Virgin should be up about 10% in my opinion based on that. And that's not even factoring in the Blue Origin news. But, nonetheless, it is currently above all the key pivotal moving averages. I did get past that kind of dreaded $4 range, which in the past has always uh struggled with, but the moral of the story is you really want to watch for a nice continued push higher because Virgin does on occasion have these very impressive spikes but they are often enough very short-lived. So this is where if we do get more institutional attention, this is where we could be seeing a nice push higher and even comparing it to for instance the October run, we got sub par volume. So yes, that does make sense why we had a little bit of a spike in and it just diminished because big money's not getting behind it. This time around, completely different. So let me know your thoughts on Virgin. Don't forget to hit that thumbs up. If you are actually looking for some solid buy signals though, pop over to my Patreon. I put up daily day trades, numerous swing trades worth watch. Pop over there and check that out. With all that, appreciate all of you watching.