Virgin Galactic Holdings, Inc. SPCE

Competitive advantage analysis · industrials

Corporate Default
Overall moat score
10/100
Weak

About Virgin Galactic Holdings, Inc.

Virgin Galactic Holdings, Inc., an aerospace and space travel company, focuses on the development, manufacture, and operation of spaceships and related technologies. It engages in the design and development, manufacturing, ground and flight testing, spaceflight operation, and post-flight maintenance of spaceflight systems for private individuals, researchers, and government agencies. The company is headquartered in Tustin, California. Full SPCE analysis →

Competitive advantage assessment

Key risks

  • Commodity Pressure / Weak Differentiation Gross margin at 1.4th percentile with high volatility suggests weak pricing power or commoditized products.
  • ROIC Below WACC or Peers ROIC at 13.7th percentile suggests inefficient capital deployment.

The dashed ring is the peer median. Defense scores are percentile ranks against peers, so 50 is roughly the typical company in this group.

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Pricing Power

Weak
3

Where SPCE ranks in Aerospace & Defense

Virgin Galactic Holdings, Inc. ranks #74 of 80 scored companies in Aerospace & Defense by moat score — the top 92%. The widest moat in the group is Howmet Aerospace Inc. (HWM) at 80/100.

Moat scores for companies ranked near SPCE in Aerospace & Defense
# Company Moat score Rating
70 Archer Aviation Inc. ACHR 14/100 Weak
71 Nauticus Robotics, Inc. KITTW 12/100 Weak
72 Sidus Space, Inc. SIDU 12/100 Weak
73 Nauticus Robotics, Inc. KITT 12/100 Weak
74 Virgin Galactic Holdings, Inc. SPCE 10/100 Weak
75 Embraer S.A. ERJ 0/100 Weak
76 KWESST Micro Systems Inc. KWE 0/100 Weak
77 KWESST Micro Systems Inc. warra KWESW 0/100 Weak
78 Spirit Aerosystems Holdings, In SPR 0/100 Weak

See every General Corporate company ranked by moat score →

How SPCE scores on the Corporate Default defenses

Pricing Power

Score 3 · 20% of the moat score

Pricing power is the ability to raise prices without losing volume.

Cost Advantage

Score 4 · 15% of the moat score

A cost advantage means delivering the same product for structurally less — better purchasing, denser distribution, a more automated process.

Customer Stickiness

Score 3 · 15% of the moat score

Stickiness is what makes revenue repeat without being re-won every year.

Capital Efficiency

Score 16 · 18% of the moat score

Capital efficiency asks what the company earns on the money tied up in the business.

Resilience

Score 24 · 17% of the moat score

Resilience is the capacity to get through a bad year on its own terms — enough liquidity, enough interest cover, and enough cash generation to avoid a rescue financing or a forced sale.

Scale & Market Position

Score 6 · 15% of the moat score

Scale matters only when it converts into economics.

How each Corporate Default defense is measured, in full →

Understanding SPCE's moat

What is Virgin Galactic Holdings, Inc.'s moat score?

Virgin Galactic Holdings, Inc. (SPCE) scores 10 out of 100 on the StatsAlpha Moat Map, which rates its competitive advantage as weak. It ranks #74 of 80 scored companies in Aerospace & Defense, the top 92%. The score is a weighted composite of 6 competitive defenses, each measured against industry peers of 79 companies in Aerospace & Defense. Its strongest defense is Resilience (24/100) and its weakest is Customer Stickiness (3/100).

How does Virgin Galactic Holdings, Inc. compare with other Aerospace & Defense companies?

Virgin Galactic Holdings, Inc. ranks #74 of 80 scored companies in Aerospace & Defense by moat score. The widest moat in Aerospace & Defense is Howmet Aerospace Inc. (HWM) at 80/100. The companies ranked closest are Nauticus Robotics, Inc. (KITT) at 12 just above it and Embraer S.A. (ERJ) at 0 just below it.

How is the moat score calculated?

Each company is scored with an industry-specific template — Corporate Default in this case, chosen because the defenses that matter to a bank are not the ones that matter to a software company. Every defense combines several financial signals, and each signal is measured as a percentile against a peer group of 79 companies in Aerospace & Defense. The defenses are then weighted to produce the overall score out of 100.

Why is Virgin Galactic Holdings, Inc. scored with the Corporate Default template?

Most public companies sell a product or a service at a margin, so the moat question is whether that margin survives contact with competitors. The Corporate template scores the six defenses that show up in a general operating company's financial signature: whether it can hold price, produce more cheaply than rivals, keep its customers, earn a return above its cost of capital, withstand a downturn, and turn size into economics.

Which competitive defenses are measured for Virgin Galactic Holdings, Inc.?

The Corporate Default template measures 6 defenses, and SPCE scores: Pricing Power (3), Cost Advantage (4), Customer Stickiness (3), Capital Efficiency (16), Resilience (24), Scale & Market Position (6). Each is scored independently as a percentile against peers, so a company can be strong on one and weak on another — the overall score reflects how those defenses are weighted for this industry.

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