One-glance verdict
Overvalued
$18.48 our estimate vs market $83.41
Wall Street consensus: $90.00 (387.0% higher than our fair-value estimate)
351% above our estimate, beyond the bull case
Fundamentals snapshot
Globalstar, Inc.
GSAT · NMS · Communication Services · Telecom Services
Current price
$83.41
52-week range
$40.50 - $84.85
Market cap
$10.81B
Balance sheet
Distressed
0.36x Concerning
Net debt $9.38M. Interest coverage shows how many times profit covers the interest bill.
What stands out
2 Rewards
1 Risk
2 rewards · 1 risks
- Reward Revenue grew 2.8% last year.
- Reward Free cash flow was positive in 1/10 years.
- Risk Return on equity was -15.9% last year — the company lost money on shareholders' equity.
What this company does
Globalstar, Inc.
Globalstar provides satellite communication services, acting like a cell phone company for places where regular cell towers can't reach, such as mountains or out at sea. The company makes money by selling subscriptions and special devices to people and businesses, like shipping or oil and gas companies, that need to make calls or track their equipment in remote locations. This is important for safety and allows businesses to operate in areas that would otherwise be completely cut off from communication.
How the company got here
Globalstar was founded in 1991 as a joint venture between Loral Corporation and Qualcomm to provide satellite phone service. After launching its first satellites, the company began commercial service in late 1999 but faced financial trouble as cell phone networks grew, leading to bankruptcy in 2002. A major turning point came in 2022 when Apple partnered with Globalstar to provide emergency satellite messaging for the iPhone, investing heavily in the company and dedicating a majority of Globalstar's network to its services. This partnership transformed Globalstar from a struggling satellite operator into a critical infrastructure provider for one of the world's largest companies.
What it actually does
Globalstar provides communication services through its constellation of satellites in Low Earth Orbit (a type of satellite orbit relatively close to the planet's surface). Think of it as a cell phone network in the sky that works in remote areas where you can't get a normal signal. Their services are used by hikers, boaters, and workers in industries like oil and gas and forestry for voice calls, data, and tracking. The most well-known consumer use is the Emergency SOS feature on newer iPhones, which is powered by Globalstar's network.
Wholesale Capacity
This is now Globalstar's largest business, primarily because of its partnership with Apple. Globalstar provides the satellite network that powers Apple's Emergency SOS and messaging features on iPhones. In this arrangement, Apple pays Globalstar for dedicated use of a large portion of its satellite network's capacity (the total amount of data that can be transmitted). This single partnership accounted for roughly two-thirds of the company's revenue in early 2026, making it the most significant part of the business.
Commercial IoT
IoT, or the "Internet of Things," refers to connecting everyday objects to the internet. Globalstar sells small, rugged devices that businesses use to track and monitor their assets, like cargo containers, utility meters, and vehicles, in remote locations. For example, a shipping company can use Globalstar's devices to know where its containers are anywhere in the world. This segment provides a steady stream of revenue from selling the tracking hardware and the data subscription plans that go with them.
SPOT
This business line is focused on personal safety and tracking devices for consumers. The SPOT brand offers handheld gadgets that people like hikers, boaters, or remote workers can use to send pre-written messages, share their GPS location, or send an SOS signal to emergency services from areas without cell service. Customers buy the device and then pay a monthly or annual service fee to keep it connected to the satellite network. This was once Globalstar's most visible business before the Apple partnership.
Duplex
This is Globalstar's original business of providing two-way voice and data services, much like a regular phone service but using satellites. It includes satellite phones and data modems that allow for clear, two-way conversations and data transmission from remote areas. While a foundational part of the company, it is now a smaller piece of the overall business compared to its wholesale and IoT segments.
What management is betting on now
Globalstar's main focus is expanding its satellite network and ground infrastructure to support its deep partnership with Apple. The company is investing over a billion dollars in new satellites to increase its capacity and improve service, with a large portion dedicated to Apple's current and future needs. Additionally, Globalstar is working to monetize its licensed terrestrial spectrum (radio frequencies that can be used for ground-based wireless networks) to create private 5G networks for industrial and government customers. This strategy aims to leverage all of the company's assets—both in space and on the ground—to provide critical communication services.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
Revenue
$64.77M
Net income
$-26.54M
Diluted EPS
-0.23
Operating cash flow
$124.54M
Free cash flow
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Sources
Revenue
$70.06M
Net income
$-17.42M
Diluted EPS
-0.16
Operating cash flow
$35.23M
Free cash flow
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Sources
Revenue
$71.96M
Net income
$-11.62M
Diluted EPS
-0.11
Operating cash flow
$175.89M
Free cash flow
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Sources
Revenue
$73.84M
Net income
$1.09M
Diluted EPS
-0.01
Operating cash flow
$236.02M
Free cash flow
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Sources
Revenue
$67.15M
Net income
$19.21M
Diluted EPS
0.13
Operating cash flow
$157.88M
Free cash flow
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Sources
Revenue
$60.03M
Net income
$-17.33M
Diluted EPS
-0.16
Operating cash flow
$51.86M
Free cash flow
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Sources
Revenue
$61.18M
Net income
$-50.22M
Diluted EPS
-0.57
Operating cash flow
$340.66M
Free cash flow
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Sources
Revenue
$72.31M
Net income
$9.93M
Diluted EPS
0.00
Operating cash flow
$32.05M
Free cash flow
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Is it cheap or expensive?
Fair value $18.48 vs current price $83.41
Wall Street consensus is the average analyst price target: $90.00 (387.0% higher than our fair-value estimate).
Our most-likely fair value is $18.48 a share — about 77.8% below today's price of $83.41, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Distressed
Net debt $9.4M. Interest coverage 0.4x.
Net debt
$9.38M
Interest coverage
0.36x
Globalstar, Inc.'s profit covers its interest bill about 0.4 times over. which is stronger than most peers shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Distressed
Worse cushion
Baseline
Better cushion
GSAT
BASELINE
Globalstar, Inc.
Total debt $419.15M Interest coverage 0.36x This is the baseline the peer rows are being compared against.
Total debt $1.79B Interest coverage 2.67x +646% vs GSAT Carries about 7.5x more debt cushion than GSAT.
Total debt $6.93B Interest coverage 0.30x -16% vs GSAT Carries about 1.2x less debt cushion than GSAT.
Total debt $2.99B Interest coverage -7.98x -100% vs GSAT This peer has almost no interest-payment cushion compared with GSAT.
Total debt $9.62M Interest coverage 2.89x +707% vs GSAT Carries about 8.1x more debt cushion than GSAT.
What you should know
The case for and against GSAT
2 Rewards
1 Risk
Rewards
-
Revenue grew 2.8% last year.
-
Free cash flow was positive in 1/10 years.
Risks
-
Return on equity was -15.9% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
338.64x
P/B
36.94x
P/S
38.51x
EV/EBITDA
118.98x
PEG ratio
0.50x
Profitability
How much profit each dollar creates
Gross margin
62.2%
Operating margin
-7.4%
Net margin
-18.5%
ROE
-15.9%
ROA
0.4%
Health
Liquidity and balance-sheet strength
Debt / equity
1.43x
Current ratio
1.54x
Quick ratio
1.44x
Total debt
$419.15M
Total cash
$409.77M
Growth
How the business has been compounding
Revenue TTM
$280.64M
Revenue 5Y CAGR
21.7%
EPS TTM
-0.48
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$571.68M
Free CF TTM
$86.74M
FCF margin
30.9%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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