Globalstar, Inc. GSAT recently held its Investor Day 2024 event, where it emphasized the company’s prospects by leveraging its core assets, expanding its technological capabilities and issuing robust financial targets. GSAT boasts its global presence across various categories, from government and wholesale consumer partnerships to retail consumers to IoT, XCOM RAN and Band n53.
Following the event’s major financial updates and announcements, GSAT’s shares went up 3.7% and closed at $1.95 on Dec. 20, 2024.
analysis， About Globalstar Stock (NYSEAMERICAN:GSAT)
Company Overview
Globalstar Inc is a telecommunications company that derives revenue from the provision of mobile satellite services. Mobile satellite services are typically used by customers where existing terrestrial wireline and wireless communications networks are impaired or do not exist. The company provides communications services such as two-way voice and data transmission. In addition, one-way data transmission is also offered. Both services are offered using mobile or fixed devices. The company is an owner of satellite assets. The company generates the vast majority of its revenue within the United States.
GSAT’s Financial Performance
Globalstar’s financial outlook highlights its focus on sustainable growth and profitability. At the Investor Day 2024, the company reconfirmed its full-year revenue guidance of $245-250 million, with an adjusted EBITDA margin of 54%. For 2025, revenues are expected to be in the band of $260-285 million, with an adjusted EBITDA margin of approximately 50%. These projections are fueled by strategic investments in terrestrial networks and long-term growth initiatives.
Going forward, Globalstar anticipates its revenues to more than double, exceeding $495 million, with adjusted EBITDA margins surpassing 54%. Additional upside potential lies in the expansion of the terrestrial spectrum and XCOM RAN.
With a loyal customer base and continued investment in innovative solutions, Globalstar is well-positioned to capture new market opportunities in the consumer and commercial IoT segments. Also, partnerships with Parsons and wholesale customers boost its ability to deliver advanced satellite services while maintaining strong revenue streams.
Director at $GSAT (GSAT) Buys 500,000 Shares
James III Monroe, a director at $GSAT ($GSAT), bought 500,000 shares of the company on 12-23-2024. This trade was reported by Quiver Quantitative using data from a recent SEC filing. This increased their holdings by approximately 5.1%. Following this trade, they now own 10,334,090 shares of $GSAT stock.
Here’s a breakdown of recent trading of $GSAT stock by insiders over the last 6 months:
- JAMES III MONROE has traded it 10 times. They made 10 purchases, buying 9,040,855 shares and 0 sales.
- TIMOTHY EVAN TAYLOR (VP, Finance & Operations) has traded it 3 times. They made 0 purchases and 3 sales, selling 4,290,000 shares.
- L BARBEE IV PONDER (General Counsel) has traded it 2 times. They made 0 purchases and 2 sales, selling 76,312 shares.
- REBECCA CLARY (VP & Chief Financial Officer) has traded it 2 times. They made 0 purchases and 2 sales, selling 112,688 shares.
- WILLIAM A HASLER sold 90,000 shares.
- PAUL E JACOBS (Chief Executive Officer) sold 4,510,855 shares.
Globalstar Company latest news
Satellite Operator Globalstar Soars After Agreement With Apple
Globalstar will deliver expanded services to Apple over a new mobile satellite services network, including a new satellite constellation, expanded ground infrastructure, and increased global MSS licensing, the company said Friday.
Apple will prepay for certain services to be delivered, it added, including an infrastructure prepayment of up to $1.1 billion and an amount necessary for Globalstar to retire its outstanding 13% senior notes due 2029.
Globalstar estimates that its total annual revenue will more than double in the year following the launch of the expanded satellite services. It also expects that profit margins will improve.
In 2022, Apple announced that its then-new iPhone 14 would be able to connect via satellite to text emergency services when out of cellular and Wi-Fi coverage, and that Globalstar would provide the satellite service and increase sales by hundreds of millions. This agreement has now been extended.
The company’s stock price is low, and the future partnership with Apple in the satellite communications business is a good investment.The company’s stock is worth buying in 2025. Some analysts have given a target price of $5.