With Virgin Galactic Stock, No One Can Hear You Scream

By now, both professional explorers and thrill-seeking adventurers have covered much of the world. Even considering the vast depths of the ocean, the well heeled can buy a ride in a submersible. The only remaining frontier where most of humanity has not surveyed is space. However, Virgin Galactic (NYSE:SPCE) would like to change that narrative. As a pure space play, SPCE stock intrigues but oh, is the timing ever so awful!Source: Tun Pichitanon / Shutterstock.com Up until Feb. 19, SPCE stock was aptly named -- it launched so strongly, you'd have thought the initial public offering occurred in Cape Canaveral. Shortly thereafter, global coronavirus cases worsened significantly. After it became apparent that the U.S. would also suffer badly from the rapid spread of Covid-19, Virgin Galactic shares plummeted back down toward earth.While SPCE stock has picked up some momentum after its March 19 low, it faces a new crisis -- an economic one. Two weeks ago, a record 3.3 million Americans filed for unemployment benefits. Last week, a staggering 6.6 million made jobless claims.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIn this situation, no one is thinking about traveling to space. Heck, no one is thinking about traveling anywhere.Two points stood out to me. First, Bank of America had one of the highest jobless claim estimates at 5.5 million. Just that alone was enough to send shivers down economists' spines. Second, the real tally could be far worse. * 7 Stocks to Sell That Need a Quick End to the Stay-at-Home Orders With millions of desperate Americans filing their claims, individual states' communication networks have simply melted down. Obviously, we're facing some trying times in the nearer term. Therefore, you wouldn't want to buy Virgin Galactic right now.But ignore it altogether? That's where my contrarian side kicks in. SPCE Stock Isn't as Crazy as You ThinkIn my note to investors, I shared some thoughts that I hope will bring some much-needed perspective here. I wrote:There's a lot we don't know, but I do know this country and our world have dealt with pandemics in the past, and we've recovered every single time. We've dealt with other crises… and recovered every single time.Furthermore, I've often talked about the Roaring 2020s. Obviously, with the extreme volatility in the markets, we've concentrated our efforts toward protective measures. But don't think that I've abandoned this thesis, because I haven't. When we finally get out of this mess, Americans will get back to riding the record-breaking bull market.Even for speculative names like SPCE stock, the broader narrative is surprisingly robust. In October 2019, Virgin Galactic CEO George Whitesides told CNBC that, "More people are going to want to go to space" than either Virgin Galactic or Jeff Bezos' rival company Blue Origin "can bring in terms of service."Moreover, Whitesides added that he anticipates a market of two million space tourists. That's a bold figure considering that tickets are priced at $250,000 a pop.However, it's not unreasonable. In recent years, the number of millionaires in the U.S. has boomed. Better yet, these figures don't just include people sitting on old, immobile money. Instead, many Americans routinely make adjusted gross income of $200,000 or more. For instance, 1.43 million Americans earned an income of $515,000. Nearly 7.2 million earned $208,000.Conceivably, these folks could save up for what would truly be an adventure of a lifetime. And don't forget that millennials love vacations. As the older cohorts age into their 40s and 50s, we can expect the higher-income earners within this demographic to consider space travel. Technical Momentum Should Count for SomethingWhile there will always be vocal critics of SPCE stock, we shouldn't ignore its earlier technical momentum. Between the closes of Jan. 2 and Feb. 19, shares more than tripled.At the time, the coronavirus was a foreign problem. Both the markets and the economy were on a roll. Anybody who wanted a job -- especially if they were decently skilled -- could get one. Now, the situation is almost the exact opposite.Nevertheless, when society was in the "old normal," many investors were willing to gamble on SPCE stock. That tells me that without the coronavirus, we could be seeing a much different story.For now, be smart. There's no need to play a hero in this speculative bet. But once the clouds clear, you'll want to consider Virgin Galactic, especially since it aligns perfectly with demographic trends.Matthew McCall left Wall Street to actually help investors -- by getting them into the world's biggest, most revolutionary trends BEFORE anyone else. The power of being "first" gave Matt's readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA) and +1,044% in Tesla (TSLA), just to name a few. Click here to see what Matt has up his sleeve now. Matt does not directly own the aforementioned securities. More From InvestorPlace * 25 Stocks You Should Sell Immediately * 1 Under-the-Radar 5G Stock to Buy Now * This Stock Picker's Latest Video Just Went Viral * The 1 Stock All Retirees Must Own The post With Virgin Galactic Stock, No One Can Hear You Scream appeared first on InvestorPlace.

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