Gogo (GOGO) Valuation in Focus After EASA Milestone Expands Business Jet Connectivity Market

Gogo (GOGO) is making headlines after Switzerland-based QCM Design secured European Union Aviation Safety Agency (EASA) approval for the Gogo Galileo HDX Antenna Supplemental Type Certificate. This move is more than just a regulatory checkmark, as it allows retrofit installations on Bombardier Global 5000 and 6000 series jets throughout Europe. This is a meaningful step that expands Gogo’s market presence and highlights its momentum in the business aviation connectivity space. With further approvals from the FAA and Canadian regulators expected, Gogo is positioning itself to tap into strengthened demand and partnerships beyond its traditional strongholds.

This EASA certification caps off an eventful stretch for Gogo. Over the past year, the company’s share price has climbed by 31%, shrugging off short-term volatility and drawing a line under deeper three-year declines. Despite a recent pullback of 22% over the past month, annual revenue and net income growth figures show clear operational progress that could be fueling investor interest. Notably, Gogo’s collaborations with ACC Columbia and OEM partners such as Dassault Falcon Jet have kept its name circulating among business jet operators eager for robust in-flight connectivity.

With the pace of regulatory wins and new product approvals accelerating, investors may be considering whether Gogo stock is still undervalued or if the market is already factoring these developments into its price.

Most Popular Narrative: 41.9% Undervalued

The most widely followed narrative currently positions Gogo as significantly undervalued, suggesting considerable upside potential based on ambitious long-term growth projections and financial milestones.

The launch of the Galileo HDX and FDX terminals will diversify revenue streams and provide higher-margin service revenue starting in 2026. This is expected to increase earnings from new customers and reduce competition risk from current single-network providers like Starlink.

Think Gogo’s big leaps are already priced in? Think again. This narrative builds its fair value on bold revenue and profit forecasts, impressive future margins, and a profit multiple that turns heads. Which daring assumptions push the potential so high? The secret growth drivers and future earnings power await discovery for those willing to look closer.

Result: Fair Value of $15.5 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, delays in new technology approvals or increased competition from major players could challenge Gogo's ambitious growth path and change market expectations.

Find out about the key risks to this Gogo narrative.

Another View: Growth Story or Price Trap?

Looking at Gogo through the lens of industry price-to-sales ratios gives a different impression. It suggests the stock may be pricier than sector peers, which raises questions about whether all its future promise is already in the share price.

See what the numbers say about this price — find out in our valuation breakdown.

Stay updated when valuation signals shift by adding Gogo to your watchlist or portfolio. Alternatively, explore our screener to discover other companies that fit your criteria.

Build Your Own Gogo Narrative

If the current perspectives do not fit your outlook or you want to dig into the details yourself, you have the tools to shape your own analysis in just a few minutes. Do it your way.

A great starting point for your Gogo research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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