Investors Purchase High Volume of Call Options on Globalstar (NASDAQ:GSAT)

Globalstar, Inc. (NASDAQ:GSAT) was the recipient of some unusual options trading activity on Tuesday. Traders acquired 21,104 call options on the company. This represents an increase of 533% compared to the typical daily volume of 3,335 call options.

Analysts Set New Price Targets

A number of analysts have commented on GSAT shares. Zacks Research upgraded Globalstar from a “strong sell” rating to a “hold” rating in a research report on Wednesday, April 1st. Weiss Ratings reiterated a “sell (d-)” rating on shares of Globalstar in a research note on Monday, December 29th. Craig Hallum reiterated a “buy” rating and issued a $70.00 target price on shares of Globalstar in a research note on Monday, March 2nd. Finally, Deutsche Bank Aktiengesellschaft began coverage on shares of Globalstar in a research report on Tuesday, December 16th. They set a “hold” rating and a $62.00 target price for the company. Two equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $69.00.

Globalstar Price Performance

Shares of GSAT opened at $79.91 on Wednesday. The firm has a market cap of $10.28 billion, a price-to-earnings ratio of -532.70, a PEG ratio of 119.00 and a beta of 1.46. The stock has a 50 day moving average of $62.86 and a 200-day moving average of $58.99. The company has a current ratio of 2.42, a quick ratio of 2.37 and a debt-to-equity ratio of 1.27. Globalstar has a 52 week low of $17.24 and a 52 week high of $81.07.

Globalstar (NASDAQ:GSAT) last issued its earnings results on Friday, February 27th. The company reported ($0.11) EPS for the quarter, missing the consensus estimate of $0.01 by ($0.12). The firm had revenue of $71.96 million during the quarter, compared to analyst estimates of $71.80 million. Globalstar had a negative return on equity of 1.02% and a negative net margin of 6.10%.The company’s revenue for the quarter was up 17.6% on a year-over-year basis.

Insider Activity at Globalstar

In related news, CFO Rebecca Clary sold 762 shares of Globalstar stock in a transaction that occurred on Wednesday, March 11th. The stock was sold at an average price of $57.31, for a total value of $43,670.22. Following the sale, the chief financial officer directly owned 110,254 shares in the company, valued at $6,318,656.74. The trade was a 0.69% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Paul E. Jacobs sold 714 shares of Globalstar stock in a transaction that occurred on Thursday, March 19th. The shares were sold at an average price of $59.56, for a total value of $42,525.84. Following the completion of the sale, the chief executive officer owned 67,032 shares in the company, valued at approximately $3,992,425.92. This trade represents a 1.05% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 4,154 shares of company stock worth $238,045 over the last three months. 60.00% of the stock is currently owned by corporate insiders.

Institutional Trading of Globalstar

Several hedge funds have recently made changes to their positions in GSAT. Towarzystwo Funduszy Inwestycyjnych PZU SA bought a new stake in Globalstar during the 4th quarter valued at $26,000. Meeder Asset Management Inc. acquired a new position in shares of Globalstar in the 4th quarter worth $27,000. US Bancorp DE grew its holdings in shares of Globalstar by 610.7% in the 3rd quarter. US Bancorp DE now owns 931 shares of the company’s stock worth $34,000 after acquiring an additional 800 shares during the last quarter. NewEdge Advisors LLC grew its holdings in shares of Globalstar by 85.1% in the 4th quarter. NewEdge Advisors LLC now owns 935 shares of the company’s stock worth $57,000 after acquiring an additional 430 shares during the last quarter. Finally, International Assets Investment Management LLC purchased a new position in shares of Globalstar during the fourth quarter valued at $61,000. Institutional investors own 18.89% of the company’s stock.

Trending Headlines about Globalstar

Here are the key news stories impacting Globalstar this week:

• Positive Sentiment: Amazon agreed to buy Globalstar for about $11.57B, a transaction that immediately re-rates Globalstar as a strategic asset for Amazon’s Leo satellite push and positions the company to compete with SpaceX’s Starlink. Amazon signs $11.57 billion deal for satellite firm Globalstar
• Positive Sentiment: The deal brings an Apple relationship into the picture — Globalstar powers iPhone/Apple Watch satellite emergency features — which increases addressable market and makes the asset more valuable to Amazon’s device-focused roadmap. Amazon and Apple vs. Starlink: Globalstar satellite acquisition comes with a big iPhone bonus
• Positive Sentiment: Jefferies calls the transaction a long-duration strategic move that accelerates Amazon’s timeline for direct-to-device services and strengthens its competitive positioning versus Starlink — a buy-side/strategic endorsement that supports higher valuation expectations. Amazon’s $12.5B Globalstar deal seen as long-term strategic bet, Jefferies says
• Positive Sentiment: Unusual options activity — heavy call buying well above typical volume — signals speculative and institutional interest anticipating further upside or deal-related volatility.
• Neutral Sentiment: Analysts warn the acquisition doesn’t solve broader industry constraints (notably a rocket-launch capacity bottleneck), which could slow any rapid build‑out of a competing satellite network. That tempers the near-term operational impact of the deal. Amazon’s $11.6 billion Globalstar deal will not fix rocket launch bottleneck, analysts say
• Neutral Sentiment: Trading was temporarily halted pre-open for “news pending,” a procedural step around the announcement that can amplify early intraday moves but is not a fundamental signal.
• Negative Sentiment: Several shareholder law firms have opened investigations into whether Globalstar’s sale price is fair, and class‑action inquiries are pending — potential legal/transactional frictions that could delay closing or create settlement risk. Shareholder Alert: Ademi LLP investigates whether Globalstar Inc. is obtaining a Fair Price M&A Class Action Firm Announces Investigation of Globalstar Halper Sadeh LLC investigating Globalstar sale

About Globalstar

Globalstar, Inc is a leading provider of mobile satellite voice and data communications services. Through a network of low Earth orbit (LEO) satellites, the company delivers reliable satellite connectivity to users in remote or underserved regions where terrestrial networks are unavailable or unreliable. Its product portfolio includes satellite phones, two-way satellite data modems and Internet of Things (IoT) devices designed for tracking, monitoring and emergency notification.

Founded in 1991 as a joint venture between Loral and Qualcomm, Globalstar launched its first fleet of 48 satellites between 1998 and 2000.