Globalstar (NASDAQ:GSAT) Rating Increased to Hold at Zacks Research

Key Points

• Zacks Research upgraded Globalstar from a “strong sell” to a “hold” rating, adding to a mixed analyst picture that currently shows an overall average Hold rating.
• Globalstar’s shares opened at $79.85, near their 52-week high of $84.69, while the company carries a market cap of about $10.28 billion.
• The company reported a Q1 loss of $0.16 per share, missing estimates, though revenue rose 16.7% year over year to $70.06 million.

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

A number of other analysts have also commented on GSAT. Weiss Ratings upgraded Globalstar from a "hold (c-)" rating to a "hold (c)" rating in a report on Friday, June 5th. Clear Str cut Globalstar from a "strong-buy" rating to a "hold" rating in a research note on Friday, May 15th. Two investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and an average target price of $69.00.

Globalstar Stock Performance

Shares of GSAT stock opened at $79.85 on Tuesday. Globalstar has a one year low of $22.35 and a one year high of $84.69. The company has a market cap of $10.28 billion, a P/E ratio of -532.33 and a beta of 1.55. The firm has a 50-day moving average of $81.55 and a 200-day moving average of $70.54. The company has a debt-to-equity ratio of 1.26, a current ratio of 1.60 and a quick ratio of 1.56.

Globalstar (NASDAQ:GSAT - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported ($0.16) EPS for the quarter, missing the consensus estimate of ($0.02) by ($0.14). Globalstar had a negative net margin of 6.84% and a negative return on equity of 3.75%. The firm had revenue of $70.06 million during the quarter. The firm's revenue for the quarter was up 16.7% on a year-over-year basis. Equities research analysts forecast that Globalstar will post -0.02 EPS for the current fiscal year.

Insider Buying and Selling

In other Globalstar news, CFO Rebecca Clary sold 4,066 shares of the stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $81.24, for a total transaction of $330,321.84. Following the completion of the transaction, the chief financial officer directly owned 121,198 shares of the company's stock, valued at approximately $9,846,125.52. This represents a 3.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 9,023 shares of company stock valued at $727,886 in the last quarter. 60.00% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in GSAT. LBP AM SA bought a new position in Globalstar during the fourth quarter worth about $4,139,000. SG Americas Securities LLC raised its position in shares of Globalstar by 45.4% in the fourth quarter. SG Americas Securities LLC now owns 28,486 shares of the company's stock valued at $1,739,000 after purchasing an additional 8,897 shares during the period. Cannell Capital LLC lifted its stake in shares of Globalstar by 40.4% during the 3rd quarter. Cannell Capital LLC now owns 72,029 shares of the company's stock valued at $2,621,000 after buying an additional 20,709 shares in the last quarter. Van ECK Associates Corp boosted its holdings in Globalstar by 75.8% in the 3rd quarter. Van ECK Associates Corp now owns 489,326 shares of the company's stock worth $17,807,000 after buying an additional 210,993 shares during the period. Finally, State of New Jersey Common Pension Fund D purchased a new position in Globalstar in the 4th quarter valued at approximately $2,178,000. Institutional investors own 18.89% of the company's stock.

About Globalstar

Globalstar, Inc is a leading provider of mobile satellite voice and data communications services. Through a network of low Earth orbit (LEO) satellites, the company delivers reliable satellite connectivity to users in remote or underserved regions where terrestrial networks are unavailable or unreliable. Its product portfolio includes satellite phones, two-way satellite data modems and Internet of Things (IoT) devices designed for tracking, monitoring and emergency notification.

Founded in 1991 as a joint venture between Loral and Qualcomm, Globalstar launched its first fleet of 48 satellites between 1998 and 2000.

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