Telesat (NASDAQ:TSAT) Reaches New 1-Year High - Here's What Happened

Key Points

• Telesat shares hit a new 52-week high, trading as high as $53.17 and last at $52.75 on Monday with roughly 239,769 shares changing hands, while the 50‑day and 200‑day moving averages are $36.12 and $31.79, indicating recent upward momentum.
• Analyst sentiment remains bearish: MarketBeat shows a consensus rating of Reduce with a $37.00 consensus price target, as Deutsche Bank raised its target to $37 and Weiss Ratings reaffirmed a "sell (d+)" rating.
• Recent results were mixed—quarterly EPS of ($0.97) beat estimates by $0.08 but revenue of $68.48M missed expectations—and the company has a negative net margin (~37.25%), low liquidity (current ratio 0.25), and a market cap around $794M.

Telesat Corporation (NASDAQ:TSAT - Get Free Report) shares hit a new 52-week high during mid-day trading on Monday . The company traded as high as $53.17 and last traded at $52.7530, with a volume of 239769 shares trading hands. The stock had previously closed at $51.80.

Analyst Upgrades and Downgrades

TSAT has been the subject of several research analyst reports. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of Telesat in a research note on Wednesday, January 21st. Deutsche Bank Aktiengesellschaft increased their price objective on shares of Telesat from $19.00 to $37.00 and gave the stock a "hold" rating in a report on Thursday, March 19th. One research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, Telesat has a consensus rating of "Reduce" and a consensus price target of $37.00.

Telesat Price Performance

The company has a debt-to-equity ratio of 0.66, a current ratio of 0.25 and a quick ratio of 0.25. The company has a market cap of $794.30 million, a price-to-earnings ratio of -7.08 and a beta of 1.89. The company's 50-day simple moving average is $36.12 and its 200-day simple moving average is $31.79.

Telesat (NASDAQ:TSAT - Get Free Report) last released its quarterly earnings results on Tuesday, March 17th. The company reported ($0.97) earnings per share for the quarter, topping analysts' consensus estimates of ($1.05) by $0.08. The business had revenue of $68.48 million during the quarter, compared to the consensus estimate of $91.95 million. Telesat had a negative net margin of 37.25% and a negative return on equity of 1.10%.

Institutional Investors Weigh In On Telesat

Hedge funds and other institutional investors have recently modified their holdings of the stock. Royal Bank of Canada grew its holdings in Telesat by 32.2% during the fourth quarter. Royal Bank of Canada now owns 2,922 shares of the company's stock worth $85,000 after acquiring an additional 712 shares during the period. BNP Paribas Financial Markets grew its holdings in Telesat by 1,335.3% during the third quarter. BNP Paribas Financial Markets now owns 3,818 shares of the company's stock worth $101,000 after acquiring an additional 3,552 shares during the period. Acadian Asset Management LLC grew its holdings in Telesat by 63.3% during the first quarter. Acadian Asset Management LLC now owns 6,381 shares of the company's stock worth $119,000 after acquiring an additional 2,473 shares during the period. Virtu Financial LLC acquired a new position in Telesat during the fourth quarter worth about $211,000. Finally, Quarry LP acquired a new position in Telesat during the third quarter worth about $212,000.

About Telesat

Telesat is a leading global satellite operator that designs, builds and delivers high-performance satellite communications solutions across multiple markets. The company operates a fleet of geostationary satellites to provide video distribution, data networking and managed broadband services to media companies, network operators, governments and enterprise customers. Telesat's infrastructure supports television distribution, cellular backhaul, rural broadband and corporate network applications.

In addition to its geostationary offerings, Telesat is developing a low Earth orbit (LEO) satellite constellation known as Lightspeed.

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