Echostar (SATS) AI Stock Analysis

• Market Cap: $19.40B
• Dividend Yield: N/A
• Average Volume (3M): 2.83M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.11
• 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: 3,368,236
• 30 Day Avg. Volume: 2,826,050
• 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: 2.50
• Enterprise Value/Revenue: 3.20
• Enterprise Value/Gross Profit: 12.82
• Enterprise Value/Ebitda: -3.43
• 1Y Price Target: $92.75
• Price Target Upside: 32.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): -36.91
• Revenue Forecast (FY): $15.01B

• Rating: 44 Neutral
• Price Target: $69.00 ▼(-1.06% Downside)

Echostar's overall stock score is primarily impacted by its poor financial performance, characterized by substantial losses and high leverage. While the earnings call provided some positive strategic insights, the technical analysis and valuation metrics remain weak, reflecting ongoing challenges.

Positive Factors

Strategic Partnerships

These partnerships enhance Echostar's market position and resolve FCC spectrum issues, supporting long-term growth and operational stability.

Shift to Enterprise Focus

Focusing on enterprise services can drive higher margins and stable revenue, leveraging existing infrastructure for sustainable growth.

Creation of EchoStar Capital

This strategic shift aims to optimize capital allocation and enhance shareholder value through strategic investments and acquisitions.

Negative Factors

High Leverage

High leverage increases financial risk, potentially limiting flexibility in capital allocation and increasing vulnerability to interest rate changes.

Negative Revenue Growth

Declining revenue growth suggests challenges in market competitiveness and product demand, impacting long-term profitability.

Cash Flow Challenges

Limited cash generation affects the company's ability to invest in growth opportunities and meet financial obligations, posing long-term risks.

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 primarily through its broadband satellite services offered by Hughes Network Systems, which includes subscription fees from residential and business customers for internet access. Additionally, the company earns revenue from leasing satellite capacity and providing satellite transmission services through EchoStar Satellite Services. Key revenue streams include long-term contracts with telecommunications and media companies for satellite capacity, as well as government contracts for secure communications solutions. Strategic partnerships with major telecommunications providers further enhance its revenue by expanding service offerings and customer reach.

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: Neutral
• Last Price: 69.74
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 69.74 is below the 20-day moving average (MA) of 72.41, below the 50-day MA of 73.91, and above the 200-day MA of 39.44, indicating a neutral trend. The MACD of -0.93 indicates Positive momentum. The RSI at 36.24 is Neutral, neither overbought nor oversold. The STOCH value of 12.10 is Positive, 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	72 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%
VSAT	56 Neutral	$4.88B	―	-11.04%	―	1.23%	-31.80%
CMTL	54 Neutral	$92.38M	-0.46	-26.69%	―	-7.56%	-47.16%
ASTS	54 Neutral	$22.53B	―	-39.22%	―	641.24%	41.70%
AMPG	51 Neutral	$64.80M	―	-27.13%	―	93.47%	37.19%
SATS	44 Neutral	$19.40B	―	-98.16%	―	-44.95%	-430.47%

Echostar Corporate Events

EchoStar Reports Significant Loss Amid Strategic Shifts

EchoStar Corporation, a leading provider of technology, networking services, and television entertainment, operates in the satellite communications industry, offering solutions under various brand names including EchoStar, Hughes, and DISH. In its latest earnings report, EchoStar revealed a significant financial downturn with a net loss of $12.78 billion for the third quarter of 2025, primarily due to substantial impairments and strategic shifts in its business operations. Key financial metrics showed a decline in total revenue to $3.61 billion, down from $3.89 billion in the same period last year, with service revenue and equipment sales both experiencing decreases. The company also reported a substantial impairment charge related to its spectrum licenses and international licenses, which significantly impacted its financial results. Looking ahead, EchoStar is focused on completing major transactions with AT&T and SpaceX, which are expected to provide significant cash inflows and strategic realignments. These transactions are anticipated to close in the first half of 2026, subject to regulatory approvals, and are expected to bolster the company’s financial position and support its transition to a Hybrid MNO business model.

EchoStar’s Strategic Moves and Earnings Call Insights

EchoStar’s recent earnings call was marked by a strategic shift and significant transactions, reflecting a focus on capital management and enterprise growth. The sentiment was largely positive, highlighting strategic moves while acknowledging challenges such as FCC regulations and ongoing litigation.

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.

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.

The most recent analyst rating on (SATS) stock is a Hold with a $82.00 price target. To see the full list of analyst forecasts on Echostar stock, see the SATS Stock Forecast page.

EchoStar Sells Spectrum Licenses to SpaceX for $17B

On September 7, 2025, EchoStar Corporation entered into a License Purchase Agreement with SpaceX to sell its AWS-4 and H-block spectrum licenses for approximately $17 billion. This transaction, expected to close by November 30, 2027, involves a combination of cash and SpaceX stock and includes a long-term commercial agreement enabling EchoStar’s Boost Mobile subscribers to access SpaceX’s Starlink Direct to Cell service. The proceeds will be used to retire debt and fund EchoStar’s growth initiatives, while its current operations remain unaffected. This strategic move aims to enhance SpaceX’s Starlink capabilities and resolve FCC inquiries, potentially impacting the telecommunications industry by advancing satellite-based direct-to-cell connectivity.

The most recent analyst rating on (SATS) stock is a Hold with a $63.00 price target. To see the full list of analyst forecasts on Echostar stock, see the SATS Stock Forecast page.

EchoStar Sells Spectrum Licenses to AT&T for $22.65B

On August 25, 2025, EchoStar Corporation entered into a License Purchase Agreement with AT&T Mobility II LLC, a subsidiary of AT&T Inc., to sell spectrum licenses for $22.65 billion, with conditions for potential price adjustments. The transaction is expected to close in the first half of 2026, subject to regulatory approvals and other conditions. Simultaneously, DISH Wireless L.L.C., a subsidiary of EchoStar, and AT&T Mobility LLC amended their Network Services Agreement, introducing new terms for DISH’s transition to a hybrid MNO model, effective from January 1, 2026, with potential extensions through 2035.

The most recent analyst rating on (SATS) stock is a Hold with a $27.00 price target. To see the full list of analyst forecasts on Echostar stock, see the SATS Stock Forecast page.