Virgin Galactic (NYSE: SPCE) shares gained 12% on Monday after Morgan Stanley initiated its coverage on the Company.

Morgan Stanley began its coverage on Virgin Galactic with an “overweight” rating, saying that that space tourism Company’s shares will soar as it proves out a long-term plan of flying people around the world at hypersonic speeds, according to CNBC.

“A viable space tourism business is what you pay for today … but a chance to disrupt the multi-trillion-dollar airline [total addressable market] is what is really likely to drive the upside,” Morgan Stanley analyst Adam Jonas wrote in a note to investors.

Morgan Stanley issued a price target of USD 22.00 per share, representing a 203% increase from Virgin Galactic’s current levels.

Originally, Morgan Stanely issued a price target of USD 10.00 per share, but the Company outlined a three phase plan to investors during its roadshow this year. During phase three, which is Virgin Galactic's hypersonic point-to-point air travel, Morgan Stanley sees USD 12.00 per share in value.

“The shares feature biotech-type risk/reward where today’s space tourism business serves as a funding strategy and innovation catalyst to incubate enabling tech for the hypersonic P2P (point-to-point) air travel opportunity,” Jonas said.

Along with Morgan Stanley, investment firms Credit Suisse and Vertical Research Partners have also issued a “buy” rating on Virgin Galactic’s stock.

Morgan Stanley is forecasting USD 800 Billion in annual sales for hypersonic travel by 2040.

Virgin Galactic said it plans to fly its first space tourism customers in the next six to nine months. Morgan Stanley anticipated that Virgin Galactic will be serving more than 3,000 passengers by 2030.