Hafnia (NYSE:HAFN) and Virgin Galactic (NYSE:SPCE) Critical Analysis

Virgin Galactic (NYSE:SPCE) and Hafnia (NYSE:HAFN) are both aerospace companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, dividends, earnings, risk, analyst recommendations, valuation and institutional ownership.

Earnings and Valuation

This table compares Virgin Galactic and Hafnia”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Virgin Galactic	$10.74 million	17.42	-$502.34 million	($25.00)	-0.26
Hafnia	$2.97 billion	0.99	$793.28 million	$1.57	3.70

Hafnia has higher revenue and earnings than Virgin Galactic. Virgin Galactic is trading at a lower price-to-earnings ratio than Hafnia, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Virgin Galactic and Hafnia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Virgin Galactic	-3,764.43%	-83.64%	-34.95%
Hafnia	47.30%	34.28%	20.51%

Analyst Ratings

This is a summary of current recommendations and price targets for Virgin Galactic and Hafnia, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Virgin Galactic	2	3	1	0	1.83
Hafnia	0	0	1	0	3.00

Virgin Galactic currently has a consensus price target of $25.50, indicating a potential upside of 288.13%. Hafnia has a consensus price target of $10.00, indicating a potential upside of 72.27%. Given Virgin Galactic’s higher probable upside, analysts plainly believe Virgin Galactic is more favorable than Hafnia.

Institutional and Insider Ownership

46.6% of Virgin Galactic shares are owned by institutional investors. 1.1% of Virgin Galactic shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Hafnia beats Virgin Galactic on 8 of the 12 factors compared between the two stocks.

About Virgin Galactic

Virgin Galactic Holdings, Inc., an aerospace and space travel company, focuses on the development, manufacture, and operation of spaceships and related technologies. The company 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. Virgin Galactic Holdings, Inc. is headquartered in Tustin, California.

About Hafnia

Hafnia Limited owns and operates oil product tankers in Bermuda. It operates through Long Range II, Long Range I, Medium Range (MR), Handy size, and Specialized segments. The company transports clean and dirty, refined oil products, vegetable oil, and easy chemicals to national and international oil companies, and chemical companies, as well as trading and utility companies; and owns and operates 200 vessels. It provides ship owning, ship-management, investment, management, corporate support, and agency office services. In addition, the company provides integrated shipping platform, including technical management, commercial and chartering services, pool management, and large-scale bunker desk services. Hafnia Limited is based in Hamilton, Bermuda.