Traders Buy Large Volume of Call Options on Globalstar (NASDAQ:GSAT)

Globalstar, Inc. (NASDAQ:GSAT) was the recipient of some unusual options trading on Thursday. Investors acquired 40,110 call options on the stock. This is an increase of 708% compared to the typical volume of 4,964 call options.

Insider Buying and Selling at Globalstar

In other news, CFO Rebecca Clary sold 1,260 shares of Globalstar stock in a transaction that occurred on Monday, December 29th. The stock was sold at an average price of $61.42, for a total value of $77,389.20. Following the completion of the transaction, the chief financial officer owned 108,123 shares in the company, valued at approximately $6,640,914.66. This trade represents a 1.15% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Paul E. Jacobs sold 845 shares of the company’s stock in a transaction that occurred on Wednesday, January 7th. The shares were sold at an average price of $65.80, for a total value of $55,601.00. Following the sale, the chief executive officer directly owned 58,830 shares in the company, valued at approximately $3,871,014. This represents a 1.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 52,663 shares of company stock worth $3,061,073 over the last quarter. 61.00% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in GSAT. US Bancorp DE increased its stake in shares of Globalstar by 610.7% during the third quarter. US Bancorp DE now owns 931 shares of the company’s stock valued at $34,000 after acquiring an additional 800 shares during the period. Fortitude Family Office LLC acquired a new position in shares of Globalstar during the 3rd quarter valued at $37,000. Advisory Services Network LLC bought a new stake in shares of Globalstar in the 3rd quarter worth $40,000. Rialto Wealth Management LLC lifted its holdings in shares of Globalstar by 519.9% in the fourth quarter. Rialto Wealth Management LLC now owns 1,246 shares of the company’s stock valued at $76,000 after buying an additional 1,045 shares during the period. Finally, Dakota Community Bank & Trust NA bought a new position in Globalstar during the third quarter valued at about $46,000. 18.89% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages recently weighed in on GSAT. B. Riley boosted their price objective on shares of Globalstar from $60.00 to $75.00 and gave the company a “buy” rating in a research report on Monday, November 10th. Deutsche Bank Aktiengesellschaft began coverage on Globalstar in a report on Tuesday, December 16th. They set a “hold” rating and a $62.00 target price for the company. Zacks Research cut Globalstar from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, October 7th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Globalstar in a research report on Monday, December 29th. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $68.50.

Globalstar Stock Performance

Shares of NASDAQ GSAT opened at $62.79 on Friday. Globalstar has a 12-month low of $17.24 and a 12-month high of $74.88. The company has a market cap of $7.96 billion, a PE ratio of -136.50 and a beta of 1.10. The stock has a 50 day simple moving average of $62.71 and a 200-day simple moving average of $43.49. The company has a current ratio of 2.53, a quick ratio of 2.46 and a debt-to-equity ratio of 1.33.

Globalstar (NASDAQ:GSAT) last posted its earnings results on Thursday, November 6th. The company reported ($0.01) EPS for the quarter, beating the consensus estimate of ($0.03) by $0.02. Globalstar had a negative return on equity of 3.67% and a negative net margin of 21.07%.The firm had revenue of $73.85 million for the quarter. During the same quarter in the prior year, the business earned $0.06 earnings per share. The firm’s revenue was up 2.1% compared to the same quarter last year.

About Globalstar

Globalstar, Inc is a leading provider of mobile satellite voice and data communications services. Through a network of low Earth orbit (LEO) satellites, the company delivers reliable satellite connectivity to users in remote or underserved regions where terrestrial networks are unavailable or unreliable. Its product portfolio includes satellite phones, two-way satellite data modems and Internet of Things (IoT) devices designed for tracking, monitoring and emergency notification.

Founded in 1991 as a joint venture between Loral and Qualcomm, Globalstar launched its first fleet of 48 satellites between 1998 and 2000.