NYSE:I

Stock Analysis Report

Executive Summary

Intelsat S.A., together with its subsidiaries, provides satellite communications services worldwide.

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year



Snowflake Analysis

Imperfect balance sheet with weak fundamentals.


Similar Companies

Share Price & News

How has Intelsat's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: I's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

26.5%

I

-0.2%

US Telecom

0.5%

US Market


1 Year Return

-83.7%

I

14.3%

US Telecom

20.3%

US Market

Return vs Industry: I underperformed the US Telecom industry which returned 14.3% over the past year.

Return vs Market: I underperformed the US Market which returned 20.3% over the past year.


Shareholder returns

IIndustryMarket
7 Day26.5%-0.2%0.5%
30 Day-39.8%-1.3%2.0%
90 Day-43.6%0.2%9.4%
1 Year-83.7%-83.7%19.9%14.3%22.8%20.3%
3 Year-10.5%-10.5%17.2%0.1%50.1%40.4%
5 Year-68.7%-68.7%38.8%7.5%73.1%54.1%

Price Volatility Vs. Market

How volatile is Intelsat's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Intelsat undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Intelsat is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Intelsat has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of I’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Intelsat regulatory filings.
  • Explore potentially undervalued companies in the Telecom industry.

Future Growth

How is Intelsat forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

44.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: I is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: I is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: I is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: I's revenue is expected to decline over the next 3 years (-2.6% per year).

High Growth Revenue: I's revenue is forecast to decline over the next 3 years (-2.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if I's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Intelsat performed over the past 5 years?

5.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: I is currently unprofitable.

Growing Profit Margin: I is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: I is unprofitable, but has reduced losses over the past 5 years at a rate of 5.4% per year.

Accelerating Growth: Unable to compare I's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: I is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (-23.8%).


Return on Equity

High ROE: I's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Intelsat's financial position?


Financial Position Analysis

Short Term Liabilities: I has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: I has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: I has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: I's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: I has a high level of physical assets or inventory.

Debt Coverage by Assets: I has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable I has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: I is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -38.8% per year.


Next Steps

Dividend

What is Intelsat's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage4.9%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate I's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate I's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if I's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if I's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of I's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Steve Spengler (59yo)

4.8yrs

Tenure

US$766,012

Compensation

Mr. Stephen Spengler, also known as Steve, has been the Chief Executive Officer of Intelsat S.A. since April 1, 2015 and served as its Interim Chief Financial Officer since December 16, 2015 until January  ...


Leadership Team

NamePositionTenureCompensationOwnership
Stephen Spengler
CEO & Director4.8yrsUS$766.01k0.61% $3.5m
David Tolley
Executive VP & CFO0.7yrsno data0.071% $401.0k
Michelle Bryan
Chief Administrative Officer6.9yrsno data0.014% $80.9k
Dianne VanBeber
VP of Investor Relations & Corporate Communications0yrsno datano data
Jay Yass
Vice President of Business Development4.3yrsno datano data
Mark Rasmussen
Senior Vice President of Global Sales & Distribution1.1yrsno datano data
Michael DeMarco
Executive VP & Chief Services Officer1.1yrsno data0.021% $120.3k
Bruno Fromont
Senior Vice President of Strategy & Planning4.9yrsno datano data
José Toscano
Head of International Government Affairs2.4yrsno datano data
Michele Loguidice
Director of Corporate Communications7.1yrsno datano data

4.3yrs

Average Tenure

55yo

Average Age

Experienced Management: I's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Stephen Spengler
CEO & Director4.8yrsUS$766.01k0.61% $3.5m
Raymond Svider
Director8.6yrsno datano data
Jacqueline Reses
Independent Director0.4yrsno datano data
Edward Kangas
Independent Director7.6yrsno data0.025% $143.5k
Justin Bateman
Director8.6yrsno datano data
David McGlade
Non-Executive Chairman of the Board6.8yrsUS$2.69m1.31% $7.4m
Robert Callahan
Independent Director5.8yrsno data0.018% $101.4k
John Diercksen
Independent Director6.4yrsno data0.068% $382.0k
Ellen Pawlikowski
Independent Director0.4yrsno datano data

6.4yrs

Average Tenure

59yo

Average Age

Experienced Board: I's board of directors are considered experienced (6.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 11.6%.


Top Shareholders

Company Information

Intelsat S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Intelsat S.A.
  • Ticker: I
  • Exchange: NYSE
  • Founded: 1964
  • Industry: Alternative Carriers
  • Sector: Telecom
  • Market Cap: US$565.410m
  • Shares outstanding: 141.00m
  • Website: https://www.intelsat.com

Number of Employees


Location

  • Intelsat S.A.
  • 4 rue Albert Borschette
  • Luxembourg City
  • 1246
  • Luxembourg

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
INYSE (New York Stock Exchange)YesCommon StockUSUSDApr 2013
IJSADB (Deutsche Boerse AG)YesCommon StockDEEURApr 2013
0DZ3LSE (London Stock Exchange)YesCommon StockGBUSDApr 2013

Biography

Intelsat S.A., together with its subsidiaries, provides satellite communications services worldwide. The company offers a range of communications services to media companies, fixed and wireless telecommunications operators, data networking service providers for enterprise and mobile applications in the air and on the seas, multinational corporations, and Internet service providers; and commercial satellite communication services to the U.S. government and other military organizations and their contractors. It provides various on-network services, including transponder services; managed services that combine satellite capacity, teleport facilities, satellite communications hardware, and other ground facilities to provide managed and monitored broadband, trunking, video, and private network services to customers; and channel services primarily used for providing point-to-point bilateral services to telecommunications providers. The company also offers off-network services comprising transponder, mobile satellite, and other services. In addition, it offers satellite-related consulting and technical services that include the lifecycle of satellite operations and related infrastructure ranging from satellite and launch vehicle procurement through telemetry and commanding services, and related equipment sale services. The company was founded in 1964 and is headquartered in Luxembourg City, Luxembourg. Intelsat S.A. is a subsidiary of Serafina S.A. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/20 02:08
End of Day Share Price2020/02/19 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.