Value Hunters: Look To Globalstar Inc. (GSAT)

FIVE Stock
FIVE Stock

BlackRock Fund Advisors recently announced the acquisition of new stake in Globalstar Inc. (AMEX:GSAT). The institutional investor has increased its shareholding in the Communication Services company by 13.31% to 15.34 million shares with purchase of 1.8 million shares. This fresh investment now brings its stake to 0.92% valued currently at $5.98 million. In addition, Legion Partners Asset Management.. raised its holdings by 1.48 million to 11.29 million shares. And Geode Capital Management LLC has lifted its position by 0.37% or 18448.0 shares – to 4.96 million shares.

With over 2.36 million Globalstar Inc. (GSAT) shares trading Monday and a closing price of $0.33 on the day, the dollar volume was approximately $0.78 million. The shares have shown a positive weekly performance of 3.56% and its price on 08/31/20 gained nearly 0.24%. Currently, there are 1.67B common shares owned by the public and among those 608.15M shares have been available to trade.

An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 1 analysts who have offered their price forecasts for GSAT have a consensus price objective of $0.55. The analysts have set the share’s price value over the next 12 months at a high of $0.55 and a low of $0.55 should the stock experience a downside. Incidentally, analysts’ outlook for the Globalstar Inc. stock is 3.00 for the next 12 months. But an upside of 40.0% will see the stock hit the forecast high price target while mean target price for the stock is $0.55.

Insiders at the company have transacted a total of 52 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 44 of these insider trades were purchases, accounting for 11,032,565 shares. Insider sales of the common stock occurred on 8 occasions, with total insider shares sold totaling 278,310 shares.

The top 3 mutual fund holders in Globalstar Inc. are Vanguard Total Stock Market Index, Vanguard Small Cap Index Fund, and Vanguard Extended Market Index Fu. Vanguard Total Stock Market Index owns 15.57 million shares of the company’s stock, all valued at over $6.07 million. Vanguard Small Cap Index Fund sold 86082.0 shares to see its total holdings shrink to 14.56 million shares valued at over $5.68 million and representing 0.87% of the shares outstanding. Vanguard Extended Market Index Fu sold -0.28 million shares to bring its total holdings to over 9.24 million shares at a value of $3.6 million. Vanguard Extended Market Index Fu now owns shares totaling to 0.55% of the shares outstanding.

Shares of Globalstar Inc. (AMEX: GSAT) opened at $0.34, up $0.01 from a prior closing price of $0.33. However, the script later closed the day at $0.33, up 0.24%. The company’s stock has a 5-day price change of 3.56% and 1.49% over the past three months. GSAT shares are trading -35.51% year to date (YTD), with the 12-month market performance down to -11.58% lower. It has a 12-month low price of $0.23 and touched a high of $0.60 over the same period. Currently, 2.36 million shares have been traded, compared to an average intraday trading volume of 7.65 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -6.08%, -4.57%, and -11.79% respectively.

Institutional ownership of Globalstar Inc. (AMEX: GSAT) shares accounts for 20.40% of the company’s 1.67B shares outstanding. Mutual fund holders own 3.93%, while other institutional holders and individual stakeholders account for 51.46% and 14.10% respectively.

It has a market capitalization of $557.23M and a beta (3y monthly) value of 0.55. The earnings-per-share (ttm) stands at -$0.05. Price movements for the stock have been influenced by the stock’s volatility, which stands at 7.86% over the week and 6.32% over the month.

Analysts forecast that Globalstar Inc. (GSAT) will achieve an EPS of -$0.01 for the current quarter, -$0.01 for the next quarter and -$0.06 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.01 while analysts give the company a high EPS estimate of -$0.01. Comparatively, EPS for the current quarter was -$0.02 a year ago. EPS should shrink at an annualized rate of 15.00% over the next five years, compared to 15.10% over the past 5-year period.

If you are looking to buy this stock, then you may note that the average analyst recommendation by 1 brokerage firm advisors rate Globalstar Inc. (GSAT) as a “Hold” at a consensus score of 3.00. Specifically, 0 Wall Street analysts polled rate the stock as a buy, while 1 of the 1 advise that investors “hold,” and 0 rated it as a “Sell.”

Looking at the support for the GSAT, a number of firms have released research notes about the stock. Chardan Capital Markets stated their Neutral rating for the stock in a research note on August 09, 2018, with the firm’s price target at. Chardan Capital Markets coverage for the Globalstar Inc. (GSAT) stock in a research note released on February 24, 2017 offered a Buy rating with a price target of $2.50.


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