Update shared on08 Aug 2025
Fair value Increased 15%Analysts have raised their price target for Gogo from $13.75 to $15.75 on increased confidence stemming from successful 5G technological milestones, which reduce rollout risks and support a stronger long-term growth outlook.
Analyst Commentary
- Successful completion of Gogo's first end-to-end 5G call using the GCT Semi chipset reduces perceived 5G rollout risks.
- Developments position Gogo’s air-to-ground services for a return to growth by 2026.
- Confirmation of technological milestones improves confidence in the company’s execution.
- Reduced 5G headwinds support an improved growth outlook.
- Bullish analysts increasingly anticipate multiple expansion driven by sustained growth prospects.
What's in the News
- Gogo Inc. raised its 2025 earnings guidance, projecting total revenue at the high end of its $870 million to $910 million range.
- The company was dropped from multiple Russell value and small-cap indexes and benchmarks.
- Gogo’s next-generation 5G air-to-ground connectivity achieved a successful end-to-end call milestone, confirming readiness for final integration and installation across its MRO network.
- The 5G system, designed for business aviation users, has FAA approval, over 300 aircraft pre-provisioned, and a two-week installation timeline for most customers.
Valuation Changes
Summary of Valuation Changes for Gogo
- The Consensus Analyst Price Target has significantly risen from $13.75 to $15.75.
- The Future P/E for Gogo has significantly risen from 14.61x to 20.00x.
- The Consensus Revenue Growth forecasts for Gogo has significantly fallen from 26.5% per annum to 17.2% per annum.
Disclaimer
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