Here's what Wall Street analysts are saying about Virgin Galactic's third quarter results

Published Fri, Nov 6 202012:20 PM EST

Michael Sheetz @in/michaeljsheetz @thesheetztweetz

(This story is for CNBC PRO subscribers only.) Wall Street was largely unsurprised by the loss Virgin Galactic reported in the third quarter , with analysts welcoming clarity on the company's upcoming spaceflight test schedule and the vision outline by CEO Michael Colglazier, who was appointed over the summer. "The financial results in the Q were far less important than the initial presentation of the new CEO and update on the next powered flight. Overall, we think it hit all the right notes on tone longer term with near-term catalysts, though not without risk," UBS analyst Myles Walton wrote in a note to investors on Friday. Here's what every major Wall Street analyst had to say about the company's third quarter results. Morgan Stanley's Adam Jonas: Overweight, $24 price target "On the quarter, results were uneventful as the company continues to work toward commercialization ... Most important thing is the Nov 19th-23rd human test flight window including NASA-related revenue-generating payload ... The company reiterated Richard Branson's first flight is scheduled for 1Q21, which is in line with market expectations. Some clarification may be needed for how this flight remains on track given the risk language in the release related to COVID impacting efficiencies and schedule. We note that the company said it remains 'on track' for upcoming flights." UBS' Myles Walton: Buy, $25 price target "The financial results in the Q were far less important than the initial presentation of the new CEO and updated on the next powered flight. Overall, we think it hit all the right notes on tone longer term with near-term catalysts, though not without risk ... Cash burn will be higher in 4Q due to timing of payments for some public company costs vs. the ~$60M burn rate of the first 3 quarters ... We think the market will be provided more confidence builders in the business model as technical milestones retire and ticket sales open up with customers committing significant capital for the products being offered--- both will happen over the next 6mo." Bank of America's Ron Epstein: Buy, $35 price target "Virgin Galactic's vertical integration capabilities are unparalleled, in our view. We view SPCE's growth potential as unparalleled vs. our coverage and believe the current nascent stages of the company provide investors with a unique entry point into the stock ... We are decreasing EPS in 2020e to $(1.28) from $(1.15), in 2021e to $(0.23) from $(0.21), and in 2022e to $(0.18) from $(0.14). These changes are primarily driven by slightly lower revenues from R & D and higher test flight costs. We leave our $35 PO unchanged, driven by long term [discounted cash flow]." Cowen's Oliver Chen: Outperform, $22 price target "SPCE is in the final innings of technological feasibility test programs and success should yield commercial operations and associated revenue generation. By the end of 1Q21, SPCE should achieve FAA approvals & a flight with Sir Richard Branson. We reiterate our Outperform rating ... We estimate net cash burn of ~$295mn and ~$330mn in FY21 and FY22, respectively, and $12.4mn in revenue for FY21, assuming commercial flights commence in 2H21. We expect SpaceShip Two to commercially operate in 2H22. We also caution that the stock is likely to remain volatile given the company's early-stage and lack of current revenue generation." Credit Suisse's Robert Spingarn: Outperform, $26 price target "Since SPCE remains in the pre-revenue phase, last night's Q3 report served, as expected, more as a progress report on the path to commercial service than a measure of financial performance. However, new CEO Michael Colglazier went a step further and discussed higher levels of revenue potential than we (and likely others) had anticipated ... The Not so Good News; Commercial service ramp to be gradual in 2021 ... But now, the Branson flight, which we previously believed would commence revenue service, is a third powered test flight." – CNBC's Michael Bloom contributed to this report. Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world.

Virgin Galactic's carrier aircraft releases its spacecraft Unity during a glide flight test.

Virgin Galactic

(This story is for CNBC PRO subscribers only.)

Wall Street was largely unsurprised by the loss Virgin Galactic reported in the third quarter, with analysts welcoming clarity on the company's upcoming spaceflight test schedule and the vision outline by CEO Michael Colglazier, who was appointed over the summer.

"The financial results in the Q were far less important than the initial presentation of the new CEO and update on the next powered flight. Overall, we think it hit all the right notes on tone longer term with near-term catalysts, though not without risk," UBS analyst Myles Walton wrote in a note to investors on Friday.

Here's what every major Wall Street analyst had to say about the company's third quarter results.