Viasat (NASDAQ:VSAT) Shares Break Below Fifty Day Moving Average - Here's Why

Key Points

• Viasat shares fell below their 50-day moving average, trading as low as $66.61 and last at $67.72, versus a 50-day average of $70.19.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $98.56, although several firms recently lowered their targets.
• Latest quarterly results beat EPS estimates ($0.32 loss versus an expected $0.42 loss), but revenue of $1.18 billion fell short of forecasts; revenue still grew 3.4% year over year.

Viasat Inc. (NASDAQ:VSAT - Get Free Report)'s stock price crossed below its 50 day moving average during trading on Friday. The stock has a 50 day moving average of $70.19 and traded as low as $66.61. Viasat shares last traded at $67.72, with a volume of 1,279,314 shares trading hands.

Analysts Set New Price Targets

VSAT has been the subject of a number of recent analyst reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Viasat in a research note on Thursday, October 15th. Raymond James Financial reissued an "outperform" rating and set a $95.00 target price on shares of Viasat in a research note on Friday, November 6th. JPMorgan Chase & Co. reduced their target price on Viasat from $130.00 to $120.00 and set an "overweight" rating for the company in a report on Monday, November 9th. Needham & Company LLC decreased their target price on Viasat from $105.00 to $85.00 and set a "buy" rating for the company in a research report on Friday, November 6th. Finally, Morgan Stanley set a $95.00 price target on Viasat in a report on Monday, August 10th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $98.56.

Viasat Stock Performance

The company has a debt-to-equity ratio of 1.26, a current ratio of 1.65 and a quick ratio of 1.49. The firm has a market capitalization of $9.43 billion, a price-to-earnings ratio of -94.06 and a beta of 1.76. The firm's fifty day moving average is $70.19 and its 200 day moving average is $64.99.

Viasat (NASDAQ:VSAT - Get Free Report) last released its quarterly earnings data on Thursday, November 5th. The communications equipment provider reported ($0.32) earnings per share for the quarter, beating the consensus estimate of ($0.42) by $0.10. Viasat had a negative net margin of 2.07% and a negative return on equity of 0.05%. The firm had revenue of $1.18 billion for the quarter, compared to analyst estimates of $1.20 billion. During the same quarter in the prior year, the business earned $0.09 EPS. The company's revenue for the quarter was up 3.4% compared to the same quarter last year. On average, analysts predict that Viasat Inc. will post -0.38 EPS for the current fiscal year.

Insider Activity at Viasat

In related news, Director John P. Stenbit sold 705 shares of the stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $66.75, for a total transaction of $47,058.75. Following the completion of the sale, the director directly owned 545 shares in the company, valued at approximately $36,378.75. This trade represents a 56.40% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Benjamin Palmer sold 2,000 shares of Viasat stock in a transaction on Thursday, October 1st. The shares were sold at an average price of $69.87, for a total value of $139,740.00. Following the sale, the senior vice president directly owned 28,087 shares of the company's stock, valued at approximately $1,962,438.69. The trade was a 6.65% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 51,098 shares of company stock valued at $3,593,911. Insiders own 1.40% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently bought and sold shares of VSAT. Aberdeen Wealth Management LLC bought a new stake in shares of Viasat in the 2nd quarter valued at approximately $30,000. Elevation Wealth Partners LLC raised its position in Viasat by 935.3% during the second quarter. Elevation Wealth Partners LLC now owns 352 shares of the communications equipment provider's stock valued at $32,000 after acquiring an additional 318 shares in the last quarter. Bullseye Investment Management LLC bought a new position in Viasat during the second quarter valued at approximately $37,000. Parallel Advisors LLC lifted its stake in Viasat by 169.3% in the third quarter. Parallel Advisors LLC now owns 412 shares of the communications equipment provider's stock valued at $29,000 after acquiring an additional 259 shares during the last quarter. Finally, Rakuten Securities Inc. acquired a new stake in Viasat in the second quarter valued at approximately $43,000. 86.05% of the stock is owned by institutional investors and hedge funds.

Viasat Company Profile

Viasat, Inc. is a global communications company that designs, develops and operates satellite and wireless communications systems. Its services support consumers, businesses, governments and other organizations that need connectivity in areas where terrestrial networks may be limited. The company provides satellite broadband for homes and businesses, in-flight connectivity for commercial and business aircraft, and communications services for maritime customers. Viasat also supplies secure communications, networking equipment and related services to government and defense customers.

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