EchoStar (NASDAQ:SATS) Stock Price Up 8.7% – What’s Next?

EchoStar Corporation (NASDAQ:SATS)’s share price traded up 8.7% during mid-day trading on Thursday . The company traded as high as $124.98 and last traded at $125.2340. 6,068,253 shares traded hands during trading, a decline of 5% from the average session volume of 6,367,020 shares. The stock had previously closed at $115.24.

Trending Headlines about EchoStar

Here are the key news stories impacting EchoStar this week:

• Positive Sentiment: EchoStar remains closely tied to enthusiasm around the SpaceX IPO, and that relationship helped drive a sharp run-up in the stock earlier in the week as traders speculated on the value of EchoStar’s SpaceX stake. All Eyes on SpaceX IPO Today
• Positive Sentiment: Analyst targets on SATS remain above the current share price, with recent estimates implying upside if the company can stabilize operations and reduce balance-sheet risk. SpaceX IPO Crowds Pre-Market Sentiment
• Neutral Sentiment: The SpaceX IPO is dominating market chatter and has increased trading interest in Space-related names, which has boosted volatility in EchoStar rather than changing the company’s fundamentals directly. Stock Movers Ahead of SpaceX Debut
• Negative Sentiment: EchoStar disclosed that its DISH DBS subsidiary missed about $183 million in interest payments due June 1, which is a default under the indentures unless cured during the grace period; that has renewed default and liquidity worries. EchoStar shares slide as missed interest payment rekindles default and liquidity concerns
• Negative Sentiment: After the recent surge, traders appear to be taking profits, and Friday’s weakness reflects a pullback from the SpaceX-linked rally combined with renewed concern about refinancing risk. Stock Market Today, June 12: EchoStar Falls as SpaceX-Linked Rally Meets DISH DBS Payment Risk

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on SATS shares. Williams Trading set a $155.00 price objective on shares of EchoStar in a research note on Monday, May 18th. New Street Research began coverage on shares of EchoStar in a research report on Wednesday, May 13th. They set a “buy” rating and a $161.00 target price for the company. TD Cowen upped their target price on shares of EchoStar from $129.00 to $155.00 and gave the company a “buy” rating in a report on Monday, May 18th. Wall Street Zen upgraded shares of EchoStar from a “sell” rating to a “hold” rating in a research report on Saturday, May 16th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of EchoStar in a research note on Monday, April 20th. Four investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, EchoStar presently has an average rating of “Hold” and a consensus price target of $137.14.

EchoStar Stock Performance

The company has a market cap of $33.06 billion, a P/E ratio of -2.28 and a beta of 0.94. The business’s 50 day simple moving average is $126.01 and its 200 day simple moving average is $114.51. The company has a current ratio of 0.30, a quick ratio of 0.27 and a debt-to-equity ratio of 3.17.

EchoStar (NASDAQ:SATS) last posted its quarterly earnings results on Saturday, May 9th. The communications equipment provider reported ($0.51) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.48) by ($0.03). The firm had revenue of $3.67 billion during the quarter, compared to the consensus estimate of $3.65 billion. EchoStar had a negative return on equity of 4.80% and a negative net margin of 97.56%.During the same quarter in the previous year, the company earned ($0.71) earnings per share. Sell-side analysts predict that EchoStar Corporation will post -5.2 earnings per share for the current fiscal year.

Insider Buying and Selling at EchoStar

In related news, CEO Hamid Akhavan sold 52,586 shares of the company’s stock in a transaction on Friday, June 5th. The shares were sold at an average price of $121.00, for a total value of $6,362,906.00. Following the completion of the transaction, the chief executive officer owned 865,633 shares of the company’s stock, valued at approximately $104,741,593. This represents a 5.73% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 55.90% of the company’s stock.

Hedge Funds Weigh In On EchoStar

Several large investors have recently made changes to their positions in SATS. Hollencrest Capital Management purchased a new stake in shares of EchoStar during the fourth quarter worth about $26,000. CoreCap Advisors LLC bought a new position in EchoStar in the 4th quarter worth approximately $28,000. Rosenberg Matthew Hamilton bought a new position in EchoStar in the 4th quarter worth approximately $29,000. SOA Wealth Advisors LLC. purchased a new stake in EchoStar during the 1st quarter valued at approximately $34,000. Finally, NewEdge Advisors LLC raised its position in shares of EchoStar by 134.8% during the first quarter. NewEdge Advisors LLC now owns 324 shares of the communications equipment provider’s stock valued at $38,000 after buying an additional 186 shares during the last quarter. 33.62% of the stock is currently owned by hedge funds and other institutional investors.

EchoStar Company Profile

EchoStar Corporation (NASDAQ: SATS) is a global provider of satellite communication solutions, offering a suite of broadband and video delivery services to consumer, enterprise and government customers. The company operates two principal business segments: Broadband and Video. Through its Broadband segment, EchoStar delivers high-speed satellite internet access, managed network services and ground infrastructure for residential, commercial and rural markets. Its Video segment provides satellite fleet operations, teleport facilities and capacity-leasing services to video distributors and content providers.

In the Broadband segment, EchoStar’s Hughes Network Systems division designs and manufactures satellite broadband equipment, including user terminals and gateways, and develops advanced network management technologies.