Globalstar, Inc. (GSAT) Stock: Reports Strong Q4 Growth Despite Losses

TLDR

• Globalstar posts $71.96M revenue, surpassing estimates despite a loss.

• Stock rises 4% as Globalstar looks ahead to a promising 2026.

• Globalstar’s Q4 performance shows strength in IoT and satellite services.

• Despite a loss, Globalstar’s revenue growth points to long-term success.

• Analysts remain optimistic with a $66.50 price target for Globalstar

Globalstar, Inc. (GSAT) showed impressive growth in its fourth-quarter results, despite reporting a loss of $0.07 per share. The company saw a significant rise in its stock price, climbing by 4.00% to $60.19 during midday trading. While the satellite communications provider reported a quarterly loss that exceeded expectations, its overall revenue growth remains positive, signaling optimism for the company’s future.

Globalstar, Inc., GSAT

Revenue Surpass Expectations

Globalstar posted a quarterly revenue of $71.96 million, surpassing the Zacks Consensus Estimate by 0.23%. This is a notable improvement over the previous year, where the company recorded $61.18 million in revenue. Despite the loss per share, the company’s ability to generate higher-than-expected revenue reflects its ongoing strength in the satellite communications sector. This performance comes as the company continues to expand its service revenue and IoT capabilities.

The company’s service revenue rose by 17% year-over-year, mainly due to increased wholesale capacity services and performance bonuses. Additionally, the launch of new two-way satellite IoT capabilities and the rollout of the RM200M module have helped expand Globalstar’s market presence. This growth in service revenue aligns with Globalstar’s efforts to scale its operations through innovative satellite deployment and expanded IoT solutions.

Positive Long-Term Outlook

Looking ahead, Globalstar projects revenue for 2026 between $280 million and $305 million, with an adjusted EBITDA margin of approximately 50%. The company’s continued focus on expanding its satellite IoT services, along with its strategic collaborations in the government and defense sectors, positions it for growth. Globalstar aims to strengthen its market position as it scales with next-generation satellite technologies.

Globalstar’s outlook remains positive, supported by its expanding service offerings. The company’s market performance will depend largely on its ability to maintain growth in the satellite communications industry, particularly through its government and defense collaborations. Analysts are generally optimistic, with a consensus 12-month price target of $66.50, suggesting an upside of nearly 15% from the stock’s current value.

Analyst Sentiment and Future Prospects

The company’s recent earnings report has not deterred analysts from maintaining a favorable view on the stock. The average analyst rating for Globalstar stands at “buy,” with a consensus price target of $66.50. This reflects a positive outlook despite the losses and the challenges the company faces in the highly competitive satellite communications industry.

Globalstar’s performance in 2026 will hinge on its ability to sustain growth amid industry pressures. As the company moves forward, its focus will be on expanding its IoT capabilities and ensuring strong operational performance in government and defense sectors. With these efforts, Globalstar looks set to enhance its position in the satellite communications market and continue its growth trajectory.

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