Globalstar (NASDAQ:GSAT) Downgraded by Zacks Research to Hold

Key Points

• Globalstar has been downgraded by Zacks Research from a "strong-buy" to a "hold" rating, reflecting decreased confidence in the stock's performance.
• Despite the downgrade, Globalstar's share price increased by 4.1%, opening at $45.53, with a market cap of $5.77 billion.
• Insider trading saw significant activity as CFO and CEO sold substantial amounts of stock, leading to notable decreases in their ownership in the company.

Globalstar (NASDAQ:GSAT - Get Free Report) was downgraded by research analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research note issued to investors on Tuesday,Zacks.com reports.

Several other brokerages have also commented on GSAT. Wall Street Zen upgraded Globalstar from a "sell" rating to a "hold" rating in a report on Monday, June 23rd. Weiss Ratings reissued a "sell (d-)" rating on shares of Globalstar in a report on Wednesday. One equities research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Globalstar currently has an average rating of "Reduce".

Globalstar Trading Up 4.1%

Shares of NASDAQ:GSAT opened at $45.53 on Tuesday. The stock has a market cap of $5.77 billion, a P/E ratio of -101.18 and a beta of 0.99. The company has a debt-to-equity ratio of 1.30, a current ratio of 2.81 and a quick ratio of 2.72. Globalstar has a 12-month low of $15.00 and a 12-month high of $46.50. The firm has a fifty day moving average of $31.48.

Globalstar (NASDAQ:GSAT - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported $0.13 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.09) by $0.22. Globalstar had a negative return on equity of 1.17% and a negative net margin of 17.80%. Globalstar has set its FY 2025 guidance at EPS.

Insiders Place Their Bets

In other news, CFO Rebecca Clary sold 2,100 shares of the firm's stock in a transaction that occurred on Thursday, September 25th. The shares were sold at an average price of $35.01, for a total transaction of $73,521.00. Following the sale, the chief financial officer owned 105,661 shares of the company's stock, valued at $3,699,191.61. This trade represents a 1.95% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Paul E. Jacobs sold 53,479 shares of the stock in a transaction on Thursday, September 25th. The stock was sold at an average price of $34.95, for a total transaction of $1,869,091.05. Following the sale, the chief executive officer directly owned 58,895 shares in the company, valued at $2,058,380.25. This trade represents a 47.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 113,605 shares of company stock worth $3,758,155. Corporate insiders own 61.00% of the company's stock.

Institutional Trading of Globalstar

Several institutional investors have recently bought and sold shares of the business. Greenhouse Funds LLLP increased its position in shares of Globalstar by 11.6% in the second quarter. Greenhouse Funds LLLP now owns 2,025,516 shares of the company's stock valued at $47,701,000 after buying an additional 209,825 shares in the last quarter. Senvest Management LLC increased its holdings in Globalstar by 51.6% in the 2nd quarter. Senvest Management LLC now owns 1,330,533 shares of the company's stock worth $31,334,000 after acquiring an additional 452,624 shares in the last quarter. Geode Capital Management LLC raised its position in Globalstar by 1.6% during the second quarter. Geode Capital Management LLC now owns 1,274,523 shares of the company's stock worth $30,019,000 after acquiring an additional 20,514 shares during the period. American Century Companies Inc. grew its position in shares of Globalstar by 39.5% in the second quarter. American Century Companies Inc. now owns 1,014,336 shares of the company's stock valued at $23,888,000 after purchasing an additional 287,163 shares during the period. Finally, Broad Bay Capital Management LP purchased a new stake in shares of Globalstar during the second quarter worth about $18,405,000. 18.89% of the stock is owned by institutional investors and hedge funds.

Globalstar Company Profile

Globalstar, Inc provides mobile satellite services worldwide. The company offers duplex two-way voice and data products, including mobile voice and data satellite communications services and equipment for remote business continuity, recreational usage, safety, emergency preparedness and response, and other applications; fixed voice and data satellite communications services and equipment at industrial, commercial, and residential sites, as well as rural villages and ships; and data modem services and equipment.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.