EchoStar deal highlights spectrum owned by ViaSat, says William Blair

William Blair analyst Louie DiPalma believes EchoStar’s (SATS) sale of spectrum to AT&T (T) should highlight ViaSat’s (VSAT) “elite” spectrum holdings. The transaction will cause investors to increasingly take a sum-of-the-parts approach when valuing ViaSat that takes into account its excess spectrum holdings in addition to its defense and advanced technologies business, the analyst tells investors in a research note. Blair believes ViaSat will establish spectrum deals for the spectrum it holds in certain markets outside of the U.S. The company’s international spectrum could be worth in excess of $2B dollars, the firm estimates. The analyst sees over 30% upside in the stock despite the recent rally and keeps an Outperform rating on ViaSat.