Update shared on10 Oct 2025
Fair value Increased 14%Analysts have raised their price target for Globalstar from $52.50 to $60.00. They cite strengthened long-term outlooks and supporting updates to their fair value estimates.
What's in the News
- Globalstar commenced construction to double the size of its Estonian ground station, marking a $9 million investment as part of its global expansion for the third-generation C-3 mobile satellite system. (Key Developments)
- The company announced plans to bring into use its HIBLEO-XL-1 satellite system filing, supporting next-era mobile satellite connectivity and a $1.5 billion investment in its C-3 system, including 48 satellites and 90 global antennas. (Key Developments)
- Globalstar secured several government contracts, including partnerships with Parsons and the U.S. Army. The company projects at least $60 million in revenue over the next five years from defense and government clients. (Key Developments)
- Expansion of ground stations is underway in Greece, Singapore, Canada, and Japan to support the C-3 mobile satellite network. This expansion is expected to provide increased coverage and capacity worldwide. (Key Developments)
- The company reiterated its 2025 earnings guidance, expecting revenue between $260 million and $285 million. (Key Developments)
Valuation Changes
- Fair Value Estimate: Increased from $52.50 to $60.00, reflecting a higher valuation outlook.
- Discount Rate: Remains unchanged at 6.78%, indicating stable risk assumptions.
- Revenue Growth: Remains essentially flat at approximately 13.7% in projected annual growth.
- Net Profit Margin: Holds steady at about 19.6%, showing no significant adjustment in profitability expectations.
- Future P/E Ratio: Increased from 108.8x to 124.3x, reflecting higher future earnings expectations relative to share price.
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