ViaSat (VSAT) AI Stock Analysis

• Market Cap: $1.73B
• Dividend Yield: N/A
• Average Volume (3M): 4.19M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.56
• Revenue Growth: 19.02%
• EPS Growth: 76.67%
• Country: US
• Employees: 7,500
• Sector: Technology
• Sector Strength: 82
• Industry: Communication Equipment
• EPS (TTM): -1.89
• Shares Outstanding: 130,319,580
• 10 Day Avg. Volume: 6,744,996
• 30 Day Avg. Volume: 4,188,461
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.67
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.23
• Enterprise Value/Market Cap: 2.28
• Enterprise Value/Revenue: 0.22
• Enterprise Value/Gross Profit: 2.91
• Enterprise Value/Ebitda: 1.09
• 1Y Price Target: $18.29
• Price Target Upside: 37.42% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 56 Neutral
• Price Target: ―

ViaSat's stock score reflects mixed financial performance with potential revenue growth and strong cash flow as positive factors. High leverage and profitability challenges weigh negatively on the score. The technical analysis indicates a neutral stance, while the earnings call and corporate events provide some optimism with strategic growth and debt reduction efforts.

Positive Factors

Financial Performance

The settlement with Ligado is seen as incrementally positive for VSAT, aiding in shoring up the company's balance sheet.

Market Position

Retaining American Airlines as a customer is a significant win for ViaSat, which is the largest global provider of inflight connectivity.

Strategic Partnerships

Recent aviation wins with American Airlines, Etihad, and Riyadh Air instill confidence that ViaSat will remain a satcom industry leader.

Negative Factors

Competitive Pressure

ViaSat continues to face intense competition from Starlink across the residential, maritime, aviation, and government end-markets.

Market Competition

Shares are expected to continue to be range-bound due to high competitive pressure from SpaceX.

Operational Challenges

Growth is slowing due to limited satellite capacity until new satellites enter service.

ViaSat Business Overview & Revenue Model

Company Description

ViaSat Inc. is a global communications company that provides high-speed satellite broadband services and secure networking systems. The company operates across several sectors including commercial, consumer, and government communications. ViaSat's core products and services include satellite internet services, in-flight connectivity systems for commercial and business aircraft, and secure networking solutions for military and government applications.

How the Company Makes Money

ViaSat makes money primarily through its satellite services, which include broadband internet connectivity for residential, commercial, and government customers. A significant portion of revenue is generated from consumer broadband services, particularly in areas with limited access to traditional high-speed internet. The company also earns revenue by providing in-flight Wi-Fi and entertainment services to airlines. Additionally, ViaSat secures revenue through government contracts, supplying secure communications and networking solutions. These revenue streams are complemented by strategic partnerships with satellite operators, airlines, and government entities, which enhance its service offerings and market reach.

ViaSat Financial Statement Overview

Summary

ViaSat's revenue growth and positive operating cash flows are promising. However, challenges remain due to ongoing profitability issues and high leverage, as evidenced by negative net income and a high debt-to-equity ratio.

Income Statement

ViaSat's revenue has seen some growth over the years, with a TTM revenue of approximately $4.52 billion. However, the company has been struggling with profitability, as indicated by negative net income in the most recent periods, leading to a negative net profit margin. The gross profit margin is reasonable at around 35.2% TTM, but EBIT and EBITDA margins remain low, with EBIT margin at 1.25% TTM. The negative net profit margin and volatile EBIT figures suggest ongoing challenges in achieving stable profitability.

Balance Sheet

ViaSat's balance sheet shows a relatively high level of debt with a debt-to-equity ratio of approximately 0.96 TTM. The equity ratio stands at 30.5% TTM, indicating moderate leverage. Return on equity is negative due to losses, which is a concern for investors. The company has a substantial asset base, but the high debt levels could pose risks if not managed properly.

Cash Flow

The cash flow statement reveals some positive trends, with an operating cash flow to net income ratio indicating a strong conversion of earnings into cash. Free cash flow improved significantly in the TTM period, turning positive at $463.8 million from a negative position previously. However, the volatility in free cash flow growth rates over the years highlights potential uncertainties in cash generation.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
4.52B	4.28B	2.56B	2.79B	2.26B	2.31B
	Gross Profit
1.36B	1.38B	721.40M	847.51M	691.82M	699.55M
	EBIT
56.60M	-889.81M	-155.96M	12.45M	58.23M	38.42M
	EBITDA
1.32B	363.98M	365.03M	386.93M	351.59M	382.25M
	Net Income Common Stockholders
-394.00M	-1.07B	-211.57M	-2.20M	16.55M	9.34M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.56B	1.90B	1.35B	310.46M	295.95M	304.31M
	Total Assets
15.60B	16.33B	7.73B	6.39B	5.35B	4.88B
	Total Debt
7.52B	7.64B	2.73B	2.81B	2.15B	2.14B
	Net Debt
5.96B	5.74B	1.38B	2.50B	1.85B	1.83B
	Total Liabilities
10.75B	11.26B	3.87B	3.71B	2.96B	2.83B
	Stockholders Equity
4.76B	5.03B	3.82B	2.63B	2.35B	2.03B
Cash Flow		Free Cash Flow
-318.62M	-851.19M	-796.46M	-484.67M	-158.06M	-324.14M
	Operating Cash Flow
841.73M	688.20M	367.86M	505.64M	727.22M	436.94M
	Investing Cash Flow
-364.22M	-1.29B	768.04M	-1.13B	-885.27M	-758.80M
	Financing Cash Flow
-547.62M	1.12B	-66.13M	643.63M	149.69M	365.19M

ViaSat Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.31
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VSAT, the sentiment is Positive. The current price of 13.31 is above the 20-day moving average (MA) of 10.34, above the 50-day MA of 9.68, and above the 200-day MA of 10.09, indicating a bullish trend. The MACD of 0.87 indicates Negative momentum. The RSI at 78.35 is Negative, neither overbought nor oversold. The STOCH value of 85.05 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VSAT.

ViaSat Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LITE	64 Neutral	$6.14B	―	-42.79%	―	3.58%	-22.74%
CIEN	64 Neutral	$10.44B	102.83	3.71%	―	2.86%	-29.92%
Sector *	62 Neutral	$11.95B	9.93	-7.21%	4.85%	7.32%	-8.25%
VIAV	60 Neutral	$2.09B	444.76	0.71%	―	3.34%	―
VSAT	56 Neutral	$1.73B	―	-12.00%	―	19.02%	76.67%
SATS	51 Neutral	$7.01B	―	-1.08%	―	-23.85%	88.39%
BOXL	44 Neutral	$4.04M	―	-97.40%	―	-29.78%	45.35%

ViaSat Corporate Events

Viasat Redeems $442.55M Senior Notes Early

On May 2, 2025, Viasat, Inc. redeemed all $442,550,000 of its outstanding 5.625% Senior Notes due 2025, ahead of their September 15, 2025 maturity date, using cash on hand. This strategic move involved satisfying and discharging the indenture governing the Notes, potentially strengthening Viasat’s financial position and operational flexibility.

Spark’s Take on VSAT Stock

According to Spark, TipRanks’ AI Analyst, VSAT is a Neutral.

ViaSat’s overall stock score reflects its revenue growth and strong cash flow potential. However, high debt levels and negative profitability weigh on the score. The positive outlook from the earnings call, driven by growth in key business areas, provides some optimism, but valuation challenges persist due to the negative P/E ratio.

To see Spark’s full report on VSAT stock, click here.

Viasat Announces EVP Kevin Harkenrider’s Retirement

On April 28, 2025, Viasat, Inc. announced the upcoming retirement of Kevin Harkenrider, the Executive Vice President and Chief Corporate Officer, effective June 30, 2025, or potentially later, but no later than December 31, 2025. Post-retirement, Mr. Harkenrider will remain as a non-executive employee until the end of 2025, which may impact the company’s leadership structure and operational continuity.

Spark’s Take on VSAT Stock

According to Spark, TipRanks’ AI Analyst, VSAT is a Neutral.

ViaSat’s stock score reflects a mixed outlook. While revenue growth and operating cash flow are positives, profitability struggles and high leverage raise concerns. The technical analysis indicates bearish momentum, and the valuation suggests unattractiveness due to ongoing losses. The earnings call provided a balanced view with growth in specific segments, but highlighted challenges in others, impacting the overall score.

To see Spark’s full report on VSAT stock, click here.