Virgin Galactic HoldingsMEX:SPCE -1.78%59 3-Year ROIIC % is 68.77 as of Dec. 2025, which is at its 10-year median of 68.77. GuruFocus rates MEX:SPCE with a GF Score™ of 59/100 and a GF Value™ of MXN76.91 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 320 Aerospace & Defense companies, Virgin Galactic Holdings ranks better than 89.06% on this metric.
3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year.
Virgin Galactic Holdings's 3-Year ROIIC % for the quarter that ended in Dec. 2025 was 68.77%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Virgin Galactic Holdings's 3-Year ROIIC % or its related term are showing as below:
MEX:SPCE's 3-Year ROIIC % is ranked better than 89.06% of 320
companies
in the Aerospace & Defense industry
Industry Median: 3.79
vs MEX:SPCE: 68.77
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
Virgin Galactic Holdings 3-Year ROIIC % Related Terms
Virgin Galactic Holdings 3-Year ROIIC % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:SPCE vs ISSC, BUKS, POWW: 3-Year ROIIC % Comparison
For the Aerospace & Defense subindustry, Virgin Galactic Holdings's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Virgin Galactic Holdings 3-Year ROIIC % vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Virgin Galactic Holdings's 3-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Virgin Galactic Holdings's 3-Year ROIIC % falls into.
Virgin Galactic Holdings's 3-Year ROIIC % for the quarter that ended in Dec. 2025 is calculated as:
3-Year ROIIC %
=
3-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
3-Year Incremental Invested Capital**
=
( -5137.8 (Dec. 2025) - -9747.688 (Dec. 2022) )
/
( 10495.324 (Dec. 2025) - 5278.677 (Dec. 2022) )
=
4609.888
/
5216.647
=
88.37%***
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
Virgin Galactic Holdings (MEX:SPCE) has a 3-Year ROIIC % of 68.77 as of Dec. 2025. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Virgin Galactic Holdings and its competitors. This is near median its historical median of 68.77. According to the industry distribution chart, Virgin Galactic Holdings ranks #35 out of 320 companies in the Aerospace & Defense industry, placing it in the top 10.9%.
Is Virgin Galactic Holdings' 3-Year ROIIC % too high?
Virgin Galactic Holdings' current 3-Year ROIIC % of 68.77 is near median its 10-year median of 68.77. The Aerospace & Defense industry median 3-Year ROIIC % is 3.79. Virgin Galactic Holdings' value of 68.77 is 1714.5% above this industry median. Based on the distribution chart, Virgin Galactic Holdings ranks #35 out of 320 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Virgin Galactic Holdings has a GF Score™ of 59/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Virgin Galactic Holdings' 3-Year ROIIC % compare to ISSC and BUKS?
According to the Aerospace & Defense industry distribution chart, Virgin Galactic Holdings ranks #35 out of 320 companies for 3-Year ROIIC %. This places Virgin Galactic Holdings in the top 11% of its industry — outperforming the majority of peers. The industry median 3-Year ROIIC % is 3.79. Virgin Galactic Holdings' value of 68.77 is 1714.5% above this benchmark. While the company's 10-year median is 68.77 vs. the industry median of 3.79, Virgin Galactic Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year ROIIC % for an Aerospace & Defense company?
The median 3-Year ROIIC % among Aerospace & Defense companies is 3.79, based on 320 companies in the industry. Companies in the top quartile (top 25%) have a 3-Year ROIIC % significantly above this median, while those in the bottom quartile fall well below. However, 3-Year ROIIC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Virgin Galactic Holdings's current 3-Year ROIIC % of 68.77 is 1714.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year ROIIC % mean?
A high 3-Year ROIIC % can signal that a stock is expensive relative to its fundamentals. 3-Year ROIIC % measures the change in earnings as a percentage of change in investment over 3-year. View historical data on Virgin Galactic Holdings and its competitors. For the Aerospace & Defense industry, the median 3-Year ROIIC % is 3.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Virgin Galactic Holdings's current 3-Year ROIIC % is 68.77, which is near median its own 10-year median of 68.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Virgin Galactic Holdings stock overvalued right now?
Based on GuruFocus' analysis, Virgin Galactic Holdings (MEX:SPCE) is currently considered Possible Value Trap. The stock's GF Value™ is MXN76.91, compared to a current price of MXN45.16 — trading 41.3% below its estimated fair value. The current 3-Year ROIIC % is 68.77, which is near median its 10-year median of 68.77 and 1714.5% above the Aerospace & Defense industry median of 3.79. Virgin Galactic Holdings' overall GF Score™ is 59/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year ROIIC % calculated?
3-Year ROIIC % is calculated from a company's financial statements. For Virgin Galactic Holdings (MEX:SPCE), the current 3-Year ROIIC % is 68.77 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Virgin Galactic Holdings (MEX:SPCE) Overvalued in 2026?
Based on GuruFocus' analysis, Virgin Galactic Holdings stock appears to be undervalued.
The current stock price of MXN45.16 is trading 41.3% below its estimated GF Value™ of MXN76.91.
GuruFocus considers Virgin Galactic Holdings to be Possible Value Trap.
Key valuation signals for MEX:SPCE:
3-Year ROIIC %: 68.77 (near median its 10-year median of 68.77)
GF Value™: MXN76.91 vs. price of MXN45.16 (41.3% below fair value)
Industry Position: 1714.5% above the Aerospace & Defense median (#35 of 320)
No single metric tells the full story. See the MEX:SPCE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Virgin Galactic Holdings Inc is a United States-based vertically integrated aerospace company pioneering human spaceflight for private individuals & researchers, and it also manufactures air and space vehicles. Using technologies, the company is developing a spaceflight system designed to offer its customers a multi-day and transformative experience. This culminates in a spaceflight that includes views of Earth from space and several minutes of weightlessness that will launch from Spaceport America, New Mexico.
59GF Score
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