Globalstar (GSAT) AI Stock Analysis

• Market Cap: $7.86B
• Dividend Yield: N/A
• Average Volume (3M): 559.80K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.53
• Revenue Growth: 8.54%
• EPS Growth: -59.63%
• Country: US
• Employees: 389
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -0.11
• Shares Outstanding: 126,838,420
• 10 Day Avg. Volume: 550,228
• 30 Day Avg. Volume: 559,799
• PEG Ratio: 11.99
• Price to Book (P/B): 21.75
• Price to Sales (P/S): 28.34
• P/FCF Ratio: 100.76
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 28.78
• Enterprise Value/Gross Profit: 58.28
• Enterprise Value/Ebitda: 74.81
• 1Y Price Target: $67.67
• Price Target Upside: 9.15% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): -0.07
• Revenue Forecast (FY): $295.21M

• Rating: 60 Neutral
• Price Target: $65.00 ▲(4.84% Upside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

The score is driven primarily by improving financial trajectory and cash generation, reinforced by a positive earnings-call outlook and margin guidance. These positives are tempered by balance-sheet leverage and continued GAAP losses, while technical signals are neutral and valuation is constrained by a negative P/E and no dividend.

Positive Factors

Cash Generation

Globalstar's operating cash flow and adjusted free cash flow strengthened materially, providing durable funding for network replacement and expansion. Consistent positive cash conversion supports capital programs, reduces near-term refinancing needs, and underpins ability to fund growth despite GAAP losses.

Revenue Growth & IoT Traction

Revenue has grown to record levels for four consecutive years with service and equipment lines expanding. IoT hardware revenue and commercial IoT subscribers showed meaningful growth, broadening the addressable market and supporting multi-year demand for satellite connectivity and telemetry solutions.

Margin Expansion & Profitability Trends

A sustained ~50% adjusted EBITDA margin demonstrates strong unit economics and scalability of the service model. High operating margins improve cash generation capacity and provide room to invest in satellites and ground infrastructure while aiming to convert operational gains into lasting operating income.

Negative Factors

GAAP Net Loss

Despite improvement, persistent GAAP net losses limit retained earnings and could constrain strategic flexibility over time. Ongoing accounting losses may hinder investor confidence, influence borrowing terms, and mean the company remains reliant on strong cash generation rather than reported profitability to fund expansion.

Leverage & Capital Structure

Debt-to-equity near 1.5 and principal debt outstanding raise interest and refinancing risk. A debt-tilted capital structure reduces financial flexibility for large program investments and increases susceptibility to cash-flow variability, potentially forcing trade-offs between growth spending and balance-sheet repair.

High Capex & Execution Risk

Very large capex and multi-year ITU obligations create sustained cash demands and execution risk. Advanced investments (XCOM RAN, satellite replacements) occur ahead of material revenue, so delays, cost overruns, or slow customer integration could pressure margins, cash buffers and force additional financing.

Globalstar Business Overview & Revenue Model

Company Description

Globalstar, Inc. provides mobile satellite services worldwide. The company offers duplex two-way voice and data products, including mobile voice and data satellite communications services and equipment for remote business continuity, recreational usage, safety, emergency preparedness and response, and other applications; fixed voice and data satellite communications services and equipment at industrial, commercial, and residential sites, as well as rural villages and ships; and data modem services and equipment. It also provides SPOT consumer retail products, such as SPOT satellite GPS messenger for personal tracking, emergency location, and messaging solutions; and SPOT Trace, an anti-theft and asset tracking device. In addition, the company offers commercial Internet of Things one-way transmission products to track cargo containers and rail cars, as well as to monitor utility meters, and oil and gas assets. Further, it sells wholesale minutes to independent gateway operators (IGOs); and provides engineering services, such as hardware and software designs to develop specific applications; and installation of gateways and antennas. The company distributes its products directly, as well as through independent agents, dealers and resellers, retailers, IGOs, and sales force and e-commerce Website. As of December 31, 2020, it had approximately 745,000 subscribers. The company primarily serves recreation and personal, government, public safety and disaster relief, oil and gas, maritime and fishing, construction, utilities, and transportation, as well as natural resources, mining, and forestry markets. Globalstar, Inc. has a strategic alliance with XCOM Labs to jointly commercialize XCOM's capacity-multiplying technology with Globalstar's Band n53 for 5G deployments in the United States and other countries where Globalstar has terrestrial rights. The company was founded in 1993 and is headquartered in Covington, Louisiana.

How the Company Makes Money

Globalstar generates revenue through multiple streams, primarily from subscription services, device sales, and value-added services. The company charges customers monthly fees for satellite phone and data services, which provide ongoing recurring income. Device sales contribute to revenue as well, with customers purchasing satellite phones and data modems. Additionally, Globalstar offers value-added services, such as tracking and monitoring solutions for enterprises, which further enhance its revenue potential. Strategic partnerships with various industries, including maritime and logistics, are crucial for expanding its customer base and creating tailored solutions that meet specific market needs. Moreover, Globalstar's focus on enhancing its network capacity and introducing new technologies, such as the integration of IoT applications, positions the company to capitalize on emerging trends in satellite communication.

Globalstar Financial Statement Overview

Summary

Revenue has grown materially and operating performance improved, with a major step-up in operating cash flow and positive free cash flow in recent years. Offsetting this, the company remains GAAP net-loss making and leverage has increased (debt-to-equity ~1.5), which limits financial flexibility.

Income Statement

Revenue has expanded meaningfully over the period (up from ~$128M in 2020 to ~$273M in 2025), and profitability has improved versus earlier years, with EBITDA margins remaining strong (mid-20s% to mid-40s%). However, the business is still not consistently profitable at the bottom line (net losses continue, including 2025), and operating profitability has been volatile (EBIT swung from deeply negative in 2021–2022 to modestly positive in 2025).

Balance Sheet

Leverage has increased, with debt-to-equity rising from below 1.0 historically to ~1.5 in 2024–2025, which reduces financial flexibility. Equity remains positive, but returns on equity are negative across all years provided, reflecting ongoing net losses. Asset growth is substantial, but the capital structure is meaningfully debt-tilted for a company that has not yet stabilized net profitability.

Cash Flow

Cash generation strengthened materially, with operating cash flow rising sharply (notably in 2024–2025) and free cash flow turning strongly positive, including a large step-up in 2025. Cash flow has generally covered accounting losses well in recent years, supporting funding capacity and liquidity. The key weakness is variability: 2023 saw negative free cash flow, highlighting that cash generation can fluctuate materially year to year.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	272.99M	250.35M	223.81M	148.50M	124.30M
Gross Profit	95.00M	167.57M	154.34M	83.48M	72.33M
EBITDA	102.66M	88.59M	88.39M	37.58M	30.98M
Net Income	-8.65M	-63.16M	-24.72M	-256.92M	-112.63M
Balance Sheet
Total Assets	2.33B	1.71B	924.31M	833.39M	814.11M
Cash, Cash Equivalents and Short-Term Investments	447.47M	391.16M	56.74M	32.08M	14.30M
Total Debt	538.34M	541.93M	392.55M	222.07M	269.67M
Total Liabilities	1.97B	1.35B	545.33M	518.62M	448.68M
Stockholders Equity	355.73M	358.88M	378.98M	314.77M	365.43M
Cash Flow
Free Cash Flow	76.79M	320.29M	-92.46M	23.85M	86.34M
Operating Cash Flow	621.65M	439.19M	74.34M	63.80M	131.88M
Investing Cash Flow	-550.38M	-260.57M	-175.61M	-39.95M	-45.19M
Financing Cash Flow	-16.18M	157.18M	125.79M	-6.05M	-140.28M

Globalstar Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 62.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GSAT, the sentiment is Positive. The current price of 62 is above the 20-day moving average (MA) of 59.74, above the 50-day MA of 61.43, and above the 200-day MA of 42.44, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 52.51 is Neutral, neither overbought nor oversold. The STOCH value of 47.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GSAT.

Globalstar Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VEON	75 Outperform	$3.87B	6.01	53.38%	―	6.42%	―
IRDM	69 Neutral	$2.60B	22.58	22.01%	3.30%	7.30%	21.31%
TEO	68 Neutral	$5.11B	-33.28	-2.95%	0.40%	15.38%	-292.52%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GSAT	60 Neutral	$7.86B	―	-2.42%	―	8.54%	-59.63%
TDS	56 Neutral	$4.74B	―	2.65%	0.39%	-22.79%	79.90%
CCOI	54 Neutral	$1.11B	-5.80	-229.15%	13.93%	-6.48%	-588.01%