GLOBALSTAR INC (GSAT) Stock Fundamental Analysis
USA - NASDAQ:GSAT - US3789735079 - Common Stock
44.67 USD
+1.11 (+2.55%)
GSAT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 36 industry peers in the Diversified Telecommunication Services industry. While GSAT seems to be doing ok healthwise, there are quite some concerns on its profitability. GSAT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
GSAT had negative earnings in the past year.
GSAT had a positive operating cash flow in the past year.
In the past 5 years GSAT always reported negative net income.
In the past 5 years GSAT always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of -2.57%, GSAT perfoms like the industry average, outperforming 41.67% of the companies in the same industry.
GSAT's Return On Equity of -13.58% is in line compared to the rest of the industry. GSAT outperforms 41.67% of its industry peers.
GSAT has a worse Return On Invested Capital (0.45%) than 63.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.57% | ||
| ROE | -13.58% | ||
| ROIC | 0.45% |
ROA(3y)-14.37%
ROA(5y)-13.86%
ROE(3y)-37.31%
ROE(5y)-33.73%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
GSAT has a Operating Margin of 3.88%. This is in the lower half of the industry: GSAT underperforms 61.11% of its industry peers.
GSAT has a Gross Margin of 66.74%. This is amongst the best in the industry. GSAT outperforms 80.56% of its industry peers.
In the last couple of years the Gross Margin of GSAT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.88% | ||
| PM (TTM) | N/A | ||
| GM | 66.74% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.78%
GM growth 5Y2.46%
2. Health
2.1 Basic Checks
GSAT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, GSAT has more shares outstanding
GSAT has more shares outstanding than it did 5 years ago.
GSAT has a better debt/assets ratio than last year.
2.2 Solvency
GSAT has an Altman-Z score of 0.88. This is a bad value and indicates that GSAT is not financially healthy and even has some risk of bankruptcy.
GSAT has a Altman-Z score (0.88) which is in line with its industry peers.
The Debt to FCF ratio of GSAT is 3.76, which is a good value as it means it would take GSAT, 3.76 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GSAT (3.76) is better than 88.89% of its industry peers.
A Debt/Equity ratio of 1.30 is on the high side and indicates that GSAT has dependencies on debt financing.
GSAT has a Debt to Equity ratio (1.30) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.3 | ||
| Debt/FCF | 3.76 | ||
| Altman-Z | 0.88 |
ROIC/WACC0.05
WACC8.23%
2.3 Liquidity
A Current Ratio of 2.81 indicates that GSAT has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.81, GSAT belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
GSAT has a Quick Ratio of 2.72. This indicates that GSAT is financially healthy and has no problem in meeting its short term obligations.
GSAT's Quick ratio of 2.72 is amongst the best of the industry. GSAT outperforms 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.81 | ||
| Quick Ratio | 2.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.09% over the past year.
GSAT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.85%.
GSAT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.71% yearly.
EPS 1Y (TTM)9.09%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%186.67%
Revenue 1Y (TTM)14.85%
Revenue growth 3Y26.29%
Revenue growth 5Y13.71%
Sales Q2Q%11.2%
3.2 Future
Based on estimates for the next years, GSAT will show a very strong growth in Earnings Per Share. The EPS will grow by 36.41% on average per year.
The Revenue is expected to grow by 9.81% on average over the next years. This is quite good.
EPS Next Y88.67%
EPS Next 2Y41.67%
EPS Next 3Y36.41%
EPS Next 5YN/A
Revenue Next Year7.13%
Revenue Next 2Y9.21%
Revenue Next 3Y15.17%
Revenue Next 5Y9.81%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for GSAT. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 8758.82, which means the current valuation is very expensive for GSAT.
GSAT's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of GSAT to the average of the S&P500 Index (22.94), we can say GSAT is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8758.82 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GSAT is valued a bit more expensive than 72.22% of the companies in the same industry.
GSAT's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.33 | ||
| EV/EBITDA | 56.9 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GSAT does not grow enough to justify the current Price/Earnings ratio.
GSAT's earnings are expected to grow with 36.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.67%
EPS Next 3Y36.41%
5. Dividend
5.1 Amount
GSAT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:GSAT (10/20/2025, 12:21:00 PM)
44.67
+1.11 (+2.55%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners23.06%
Inst Owner Change0.01%
Ins Owners60.57%
Ins Owner Change0.76%
Market Cap5.66B
Analysts82.5
Price Target53.55 (19.88%)
Short Float %5.84%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.08
Dividend Growth(5Y)N/A
DP-21.64%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-17.65%
Min EPS beat(2)-390.2%
Max EPS beat(2)354.9%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.76%
Min Revenue beat(2)-7.79%
Max Revenue beat(2)4.27%
Revenue beat(4)2
Avg Revenue beat(4)3.38%
Min Revenue beat(4)-7.79%
Max Revenue beat(4)17.49%
Revenue beat(8)5
Avg Revenue beat(8)2.59%
Revenue beat(12)9
Avg Revenue beat(12)4.91%
Revenue beat(16)13
Avg Revenue beat(16)7.56%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)66.67%
EPS NY rev (1m)0%
EPS NY rev (3m)77.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8758.82 | ||
| P/S | 21.71 | ||
| P/FCF | 43.33 | ||
| P/OCF | 9.71 | ||
| P/B | 15.68 | ||
| P/tB | 25.98 | ||
| EV/EBITDA | 56.9 |
EPS(TTM)-0.45
EYN/A
EPS(NY)0.01
Fwd EY0.01%
FCF(TTM)1.03
FCFY2.31%
OCF(TTM)4.6
OCFY10.29%
SpS2.06
BVpS2.85
TBVpS1.72
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.57% | ||
| ROE | -13.58% | ||
| ROCE | 0.57% | ||
| ROIC | 0.45% | ||
| ROICexc | 0.54% | ||
| ROICexgc | 0.6% | ||
| OM | 3.88% | ||
| PM (TTM) | N/A | ||
| GM | 66.74% | ||
| FCFM | 50.09% |
ROA(3y)-14.37%
ROA(5y)-13.86%
ROE(3y)-37.31%
ROE(5y)-33.73%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.78%
GM growth 5Y2.46%
F-Score5
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.3 | ||
| Debt/FCF | 3.76 | ||
| Debt/EBITDA | 4.68 | ||
| Cap/Depr | 501.71% | ||
| Cap/Sales | 173.36% | ||
| Interest Coverage | 1.13 | ||
| Cash Conversion | 581.37% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.81 | ||
| Quick Ratio | 2.72 | ||
| Altman-Z | 0.88 |
F-Score5
WACC8.23%
ROIC/WACC0.05
Cap/Depr(3y)171.1%
Cap/Depr(5y)115.13%
Cap/Sales(3y)67.18%
Cap/Sales(5y)49.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.09%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%186.67%
EPS Next Y88.67%
EPS Next 2Y41.67%
EPS Next 3Y36.41%
EPS Next 5YN/A
Revenue 1Y (TTM)14.85%
Revenue growth 3Y26.29%
Revenue growth 5Y13.71%
Sales Q2Q%11.2%
Revenue Next Year7.13%
Revenue Next 2Y9.21%
Revenue Next 3Y15.17%
Revenue Next 5Y9.81%
EBIT growth 1Y180.68%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year851.24%
EBIT Next 3Y147.74%
EBIT Next 5Y92.3%
FCF growth 1Y356.48%
FCF growth 3Y29.75%
FCF growth 5YN/A
OCF growth 1Y577.09%
OCF growth 3Y49.33%
OCF growth 5Y170.23%