Echostar (SATS) AI Stock Analysis

• Market Cap: $25.41B
• Dividend Yield: N/A
• Average Volume (3M): 4.09M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.10
• 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: 5,464,525
• 30 Day Avg. Volume: 4,087,592
• 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: 1.91
• Enterprise Value/Revenue: 3.20
• Enterprise Value/Gross Profit: 12.82
• Enterprise Value/Ebitda: -3.43
• 1Y Price Target: $99.00
• Price Target Upside: 5.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): -4.06
• Revenue Forecast (FY): $15.01B

• Rating: 58 Neutral
• Price Target: $92.00 ▼(-1.65% Downside)

Echostar's overall stock score is primarily impacted by its poor financial performance, which is a significant risk factor. Despite strong technical indicators suggesting bullish momentum, the company's valuation metrics are weak, with a negative P/E ratio and no dividend yield. Strategic shifts and leadership changes provide some optimism, but financial challenges remain a critical concern.

Positive Factors

Strategic Partnerships

These partnerships enhance EchoStar's market position and provide substantial growth opportunities, leveraging AT&T's and SpaceX's capabilities.

Enterprise Focus Shift

Focusing on enterprise services can stabilize revenue streams and improve margins by targeting higher-value customers and expanding service offerings.

Leadership and Strategic Shift

This strategic shift aims to optimize capital allocation and drive growth through strategic investments, enhancing long-term business resilience.

Negative Factors

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting the company's ability to invest in growth opportunities.

Cash Flow Challenges

Negative cash flow growth indicates difficulties in generating sufficient cash, which can constrain operations and strategic investments.

Declining Revenue and Profitability

Declining revenue and profitability suggest operational inefficiencies and competitive pressures, undermining long-term financial health.

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

Echostar faces significant financial challenges with negative revenue growth, high leverage, and cash flow difficulties. The income statement shows substantial losses, the balance sheet indicates financial risk, and cash flow analysis reveals limited cash generation.

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: Positive
• Last Price: 93.54
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SATS, the sentiment is Positive. The current price of 93.54 is above the 20-day moving average (MA) of 73.27, above the 50-day MA of 74.05, and above the 200-day MA of 42.87, indicating a bullish trend. The MACD of 3.50 indicates Negative momentum. The RSI at 82.95 is Negative, neither overbought nor oversold. The STOCH value of 79.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SATS.

Echostar Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GILT	70 Outperform	$801.90M	31.82	6.95%	―	29.67%	41.90%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SATS	58 Neutral	$25.41B	―	-98.16%	―	-44.95%	-430.47%
VSAT	56 Neutral	$4.73B	―	-11.04%	―	1.23%	-31.80%
ASTS	54 Neutral	$27.16B	―	-39.22%	―	641.24%	41.70%
AMPG	51 Neutral	$70.79M	―	-27.13%	―	93.47%	37.19%
CMTL	48 Neutral	$97.48M	-0.47	-26.69%	―	-7.56%	-47.16%

Echostar Corporate Events

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.

FCC Concludes Investigation into EchoStar’s 5G Compliance

On September 8, 2025, the FCC concluded its investigation into EchoStar’s compliance with federal obligations related to its 5G service provision in the U.S., which began on May 9, 2025. While this resolves the FCC’s inquiries, EchoStar’s transactions with AT&T and SpaceX still require FCC approval, highlighting ongoing regulatory scrutiny in the telecommunications sector.