Echostar (SATS) AI Stock Analysis

• Market Cap: $37.01B
• Dividend Yield: N/A
• Average Volume (3M): 5.14M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.90
• Revenue Growth: -44.95%
• EPS Growth: -430.47%
• Country: US
• Employees: 13,700
• Sector: Communication Services
• Sector Strength: 97
• Industry: Communication Equipment
• EPS (TTM): -44.37
• Shares Outstanding: 156,527,850
• 10 Day Avg. Volume: 5,815,537
• 30 Day Avg. Volume: 5,140,385
• PEG Ratio: 0.56
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.40
• P/FCF Ratio: -21.48
• Enterprise Value/Market Cap: 1.64
• Enterprise Value/Revenue: 3.99
• Enterprise Value/Gross Profit: 15.99
• Enterprise Value/Ebitda: -4.28
• 1Y Price Target: $127.00
• Price Target Upside: 11.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: $131.00 ▲(15.46% Upside)

The score is held back primarily by weak financial performance (large losses, high leverage, and deteriorating free cash flow). This is partially offset by strong recent price momentum and a constructive strategic narrative from the latest earnings call, while valuation remains constrained by negative earnings and no dividend support.

Positive Factors

Major AT&T and SpaceX transactions

Large strategic transactions with AT&T and SpaceX materially resolved FCC spectrum utilization reviews and inject significant capital or asset swaps. This reduces regulatory overhang, strengthens liquidity options, and can materially de-risk network strategy and funding over the medium term.

Creation of EchoStar Capital (asset-light shift)

Launching EchoStar Capital signals a durable shift to an asset-light, capital-management model focused on M&A and strategic investments. That can improve capital efficiency, lower recurring capex needs, and enable faster portfolio reshaping to capture higher-return opportunities over the coming years.

Hughes pivot to enterprise and aero growth

Shifting Hughes toward enterprise and aero customers diversifies revenue toward higher-contract, recurring and often higher-margin segments. A structural mix change toward enterprise can stabilize revenues, improve gross margins, and reduce retail churn sensitivity over multiple quarters.

Negative Factors

Very high leverage

Extremely elevated leverage constrains strategic flexibility and increases default and refinancing risk. High interest obligations limit reinvestment capacity, amplify downturn vulnerability, and make the firm dependent on asset sales or capital markets to meet obligations, pressuring medium-term stability.

Negative free cash flow & weak cash generation

Sustained negative FCF growth and weak operating cash relative to losses undermine the company's ability to service debt, fund operations, or invest organically. Persistent cash shortfalls force reliance on asset monetizations or external financing, raising dilution or restructuring risk over months.

Regulatory and legal overhang

Active FCC scrutiny, litigation with tower firms, and the underperforming Boost business create enduring operational and financial uncertainty. Spectrum constraints or adverse rulings could limit service capacity; litigation and weaker business units can produce material liabilities and hamper strategic execution.

Echostar Business Overview & Revenue Model

Company Description

EchoStar Corporation, together with its subsidiaries, provides networking technologies and services worldwide. The company operates in two segments, Hughes and EchoStar Satellite Services (ESS). The Hughes segment offers broadband network technologies, managed services, equipment, hardware, satellite services, and communications solutions to government and enterprise customers. The segment also designs, provides, and installs gateway and terminal equipment to customers for other satellite systems. In addition, it designs, develops, constructs, and provides telecommunication networks comprising satellite ground segment systems and terminals to mobile system operators and enterprise customers. Further, this segment designs, provides, and installs gateway and terminal equipment to customers for other satellite systems, as well as offers satellite ground segment systems and terminals for other satellite systems, including mobile system operators. The ESS segment provides satellite services using its owned and leased in-orbit satellites and related licenses to offer satellite services on a full-time and/or occasional-use basis to the U.S. government service providers, internet service providers, broadcast news organizations, content providers, and private enterprise customers. It serves customers in North America, South and Central America, Asia, Africa, Australia, Europe, India, and the Middle East. The company was incorporated in 2007 and is headquartered in Englewood, Colorado.

How the Company Makes Money

Echostar generates revenue through multiple streams. The primary revenue source comes from its broadband services, where it offers satellite internet connectivity to rural and underserved areas, and earns subscription fees from customers. Additionally, the company derives income from satellite services, which involves leasing satellite capacity to various telecommunications and media companies. Another significant revenue stream is from the sale of equipment, including set-top boxes and satellite terminals, to both retail and wholesale markets. Strategic partnerships with telecommunications companies and media providers enhance its distribution capabilities and broaden its customer base, contributing further to its earnings.

Echostar Financial Statement Overview

Summary

Financials are weak: revenue is shrinking (TTM -1.79%), profitability is deeply negative (net margin -140.13%) with negative EBIT/EBITDA trends, leverage is very high (debt-to-equity 8.47), and free cash flow growth is negative (-25.20%), indicating ongoing operating and funding pressure.

Income Statement

Echostar's income statement shows significant challenges. The TTM data reveals a negative revenue growth rate of -1.79% and a net profit margin of -140.13%, indicating substantial losses. Historical data shows a declining trend in revenue and profitability, with EBIT and EBITDA margins also turning negative. This suggests operational inefficiencies and declining market performance.

Balance Sheet

The balance sheet reflects high leverage with a TTM debt-to-equity ratio of 8.47, indicating significant financial risk. The return on equity is negative, suggesting that the company is not generating sufficient returns on shareholder investments. The equity ratio has decreased over time, highlighting increased reliance on debt financing.

Cash Flow

Cash flow analysis shows a negative free cash flow growth rate of -25.20% in the TTM period, indicating cash flow challenges. The operating cash flow to net income ratio is low, suggesting limited cash generation relative to reported losses. The free cash flow to net income ratio is negative, further emphasizing cash flow difficulties.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	15.18B	15.83B	17.02B	18.63B	19.82B	1.89B
Gross Profit	3.79B	5.69B	5.07B	6.42B	7.32B	1.14B
EBITDA	-14.16B	2.34B	-247.35M	4.59B	4.67B	645.10M
Net Income	-12.95B	-119.55M	-1.70B	2.48B	2.49B	-40.15M
Balance Sheet
Total Assets	45.27B	60.94B	57.11B	58.75B	6.05B	7.07B
Cash, Cash Equivalents and Short-Term Investments	4.08B	5.55B	2.44B	4.31B	1.55B	2.53B
Total Debt	30.59B	29.81B	25.89B	25.72B	1.65B	2.52B
Total Liabilities	38.26B	40.69B	36.72B	36.70B	2.63B	3.47B
Stockholders Equity	6.95B	20.19B	19.88B	21.49B	3.35B	3.54B
Cash Flow
Free Cash Flow	-1.09B	-292.18M	-668.27M	570.72M	160.25M	86.94M
Operating Cash Flow	371.50M	1.25B	2.43B	3.62B	632.23M	534.39M
Investing Cash Flow	-3.52B	-3.05B	-2.81B	-9.06B	168.81M	-1.14B
Financing Cash Flow	3.05B	4.48B	-277.12M	-274.45M	-1.16B	-15.62M

Echostar Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 113.46
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SATS, the sentiment is Neutral. The current price of 113.46 is below the 20-day moving average (MA) of 120.55, above the 50-day MA of 101.49, and above the 200-day MA of 57.84, indicating a neutral trend. The MACD of 5.60 indicates Positive momentum. The RSI at 47.93 is Neutral, neither overbought nor oversold. The STOCH value of 43.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SATS.

Echostar Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GILT	70 Outperform	$1.46B	48.96	6.95%	―	29.67%	41.90%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
ASTS	60 Neutral	$44.54B	-98.05	-39.22%	―	641.24%	41.70%
VSAT	58 Neutral	$6.44B	-11.54	-11.04%	―	1.23%	-31.80%
AMPG	56 Neutral	$83.35M	-6.20	-27.13%	―	93.47%	37.19%
SATS	54 Neutral	$37.01B	-2.52	-98.16%	―	-44.95%	-430.47%
CMTL	52 Neutral	$174.22M	-2.49	-7.88%	―	-1.89%	76.61%

Echostar Corporate Events

Echostar Updates CEO Hamid Akhavan’s Compensation Agreement

On December 26, 2025, EchoStar Corporation entered into a new letter agreement with recently appointed Chief Executive Officer Hamid Akhavan, replacing his prior October 2, 2023 arrangement while keeping his base salary and bonus opportunity unchanged. The updated agreement, which runs through December 31, 2026, enhances Akhavan’s compensation package by accelerating vesting of the final tranche of his December 31, 2023 option award upon a qualifying termination and clarifies that any future equity awards will be granted at the discretion of the chairman and the executive compensation committee, underscoring the board’s tailored approach to CEO incentives and retention.

The most recent analyst rating on (SATS) stock is a Hold with a $111.00 price target. To see the full list of analyst forecasts on Echostar stock, see the SATS Stock Forecast page.

EchoStar Announces New Division and Leadership Changes

On November 5, 2025, EchoStar Corporation entered into an Amended and Restated License Purchase Agreement with Space Exploration Technologies Corp. and Spectrum Business Trust 2025-1, revising their previous transaction to include the transfer of 15 MHz of AWS spectrum, increasing the total transaction value to over $19.6 billion. Additionally, on November 6, 2025, EchoStar announced the creation of a new division, EchoStar Capital, and appointed Charles W. Ergen as Chairman, President, and CEO, while Hamid Akhavan became CEO of the new division, reflecting strategic leadership changes within the company.

The most recent analyst rating on (SATS) stock is a Hold with a $74.00 price target. To see the full list of analyst forecasts on Echostar stock, see the SATS Stock Forecast page.