Telesat (NASDAQ:TSAT) Stock Breaks Below Two Hundred Day Moving Average - Here's What Happened

Key Points

• Telesat shares fell below their 200-day moving average of $42.62, reaching as low as $40.31 before closing at $42.52.
• The company exceeded quarterly earnings and revenue expectations, but widening losses and significant debt-repayment uncertainty continue to weigh on investor sentiment ahead of a December deadline.
• Analyst opinions remain mixed, resulting in a consensus “Hold” rating and a $33.50 price target, below the stock’s recent trading level.

Telesat Corporation (NASDAQ:TSAT - Get Free Report)'s share price passed below its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $42.62 and traded as low as $40.31. Telesat shares last traded at $42.52, with a volume of 194,629 shares changing hands.

Trending Headlines about Telesat

Here are the key news stories impacting Telesat this week:

• Positive Sentiment: Quarterly results exceeded expectations: Telesat reported earnings of C$1.00 per share, compared with analysts’ expected loss of approximately C$0.69–C$0.72 per share. Revenue was C$80.6 million, above the FactSet estimate of C$77.1 million. Telesat Q3 earnings and revenue estimates
• Positive Sentiment: Analyst support provided a counterpoint: ATB Cormark Capital Markets issued a Buy rating on Telesat, potentially helping sentiment following the earnings release. Telesat receives Buy rating from ATB Cormark
• Neutral Sentiment: Management’s earnings call is under scrutiny: Investors are assessing the company’s outlook, operating performance and financing plans following the third-quarter results. Telesat Q3 2026 earnings call transcript
• Negative Sentiment: Underlying profitability remains weak: Telesat’s net loss widened year over year, while the company continues to report a negative net margin and negative return on equity. The strong per-share result therefore appears less reassuring than the headline beat. Telesat Q3 net loss widens
• Negative Sentiment: Debt repayment risk is the main overhang: Telesat is evaluating alternatives ahead of a December deadline to repay debt. Uncertainty over refinancing, asset sales or other funding measures is likely outweighing the earnings beat and contributing to the stock’s decline. Telesat evaluates alternatives as debt deadline approaches

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on TSAT shares. Weiss Ratings reiterated a "sell (d-)" rating on shares of Telesat in a report on Monday, September 14th. Royal Bank Of Canada initiated coverage on shares of Telesat in a research report on Thursday, August 27th. They set a "moderate buy" rating on the stock. Zacks Research upgraded Telesat from a "strong sell" rating to a "hold" rating in a report on Monday, October 19th. Stifel Nicolaus began coverage on Telesat in a research report on Thursday, July 16th. They issued a "buy" rating for the company. Finally, Scotiabank assumed coverage on Telesat in a research note on Monday, July 13th. They set a "hold" rating for the company. Three research analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $33.50.

Telesat Stock Performance

The stock has a market cap of $647.15 million, a price-to-earnings ratio of -2.38 and a beta of 2.11. The company has a debt-to-equity ratio of 0.90, a quick ratio of 0.17 and a current ratio of 0.17. The stock's 50-day simple moving average is $45.70 and its two-hundred day simple moving average is $42.62.

Telesat (NASDAQ:TSAT - Get Free Report) last issued its quarterly earnings results on Thursday, August 13th. The company reported ($7.85) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.71) by ($7.14). The business had revenue of $57.30 million during the quarter, compared to analyst estimates of $56.11 million. Telesat had a negative net margin of 102.62% and a negative return on equity of 15.53%. Analysts forecast that Telesat Corporation will post -11.93 earnings per share for the current year.

Institutional Trading of Telesat

Several hedge funds have recently added to or reduced their stakes in the business. Senvest Management LLC increased its position in Telesat by 2.2% during the first quarter. Senvest Management LLC now owns 137,668 shares of the company's stock worth $4,984,000 after acquiring an additional 3,000 shares during the period. TD Waterhouse Canada Inc. boosted its holdings in Telesat by 18.0% in the 3rd quarter. TD Waterhouse Canada Inc. now owns 63,361 shares of the company's stock valued at $2,938,000 after purchasing an additional 9,653 shares during the period. Walleye Capital LLC grew its position in Telesat by 210.1% in the 1st quarter. Walleye Capital LLC now owns 57,017 shares of the company's stock worth $2,064,000 after purchasing an additional 38,630 shares during the last quarter. Bank of America Corp DE grew its position in Telesat by 72.5% in the 1st quarter. Bank of America Corp DE now owns 34,794 shares of the company's stock worth $1,260,000 after purchasing an additional 14,626 shares during the last quarter. Finally, Van Berkom & Associates Inc. bought a new position in shares of Telesat during the 1st quarter worth about $991,000.

Telesat Company Profile

Telesat is a Canadian satellite communications operator that provides connectivity and related services to telecommunications companies, broadcasters, governments, enterprises and other organizations worldwide. The company operates a fleet of geostationary satellites and delivers satellite capacity for broadband communications, video distribution, enterprise networking, mobility and government applications.

In addition to its geostationary satellite services, Telesat is developing Telesat Lightspeed, a planned low Earth orbit satellite network designed to provide high-speed, low-latency broadband connectivity.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.