Echostar (NASDAQ:SATS) Reaches New 12-Month High Following Strong Earnings

Echostar Co. (NASDAQ:SATS)’s stock price hit a new 52-week high during trading on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $43.02 and last traded at $41.71, with a volume of 1601 shares trading hands. The stock had previously closed at $39.54.

The communications equipment provider reported ($0.19) EPS for the quarter, beating the consensus estimate of ($0.39) by $0.20. The business had revenue of $472.26 million for the quarter, compared to analyst estimates of $470.15 million. Echostar had a negative net margin of 4.09% and a positive return on equity of 0.46%. The company’s quarterly revenue was up 3.5% on a year-over-year basis. During the same period in the prior year, the business earned $0.17 earnings per share.

Several research firms have recently commented on SATS. Citigroup lowered shares of Echostar from a “buy” rating to a “neutral” rating and lowered their price target for the company from $48.00 to $44.00 in a research report on Friday, October 4th. BidaskClub raised shares of Echostar from a “hold” rating to a “buy” rating in a research note on Thursday, October 24th. ValuEngine downgraded shares of Echostar from a “buy” rating to a “hold” rating in a research note on Monday, November 4th. Raymond James reissued a “strong-buy” rating and set a $61.00 price objective (down previously from $68.00) on shares of Echostar in a research note on Wednesday, September 11th. Finally, Zacks Investment Research downgraded shares of Echostar from a “hold” rating to a “strong sell” rating in a research note on Saturday, October 19th. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating, one has assigned a buy rating and one has issued a strong buy rating to the company. The company currently has a consensus rating of “Hold” and a consensus price target of $49.67.

In related news, CEO Michael T. Dugan sold 100,000 shares of the company’s stock in a transaction that occurred on Thursday, August 15th. The shares were sold at an average price of $39.07, for a total transaction of $3,907,000.00. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 52.00% of the company’s stock.

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Point72 Hong Kong Ltd purchased a new position in Echostar during the second quarter worth approximately $92,000. Ashburton Jersey Ltd purchased a new position in Echostar during the second quarter worth approximately $107,000. Convergence Investment Partners LLC purchased a new position in Echostar during the second quarter worth approximately $116,000. Cutler Group LP raised its stake in Echostar by 89.5% during the third quarter. Cutler Group LP now owns 3,076 shares of the communications equipment provider’s stock worth $121,000 after purchasing an additional 1,453 shares during the period. Finally, Silvercrest Asset Management Group LLC purchased a new position in Echostar during the second quarter worth approximately $203,000. 44.84% of the stock is currently owned by institutional investors and hedge funds.

The company has a quick ratio of 5.94, a current ratio of 6.10 and a debt-to-equity ratio of 0.62. The company has a market cap of $3.89 billion, a PE ratio of 108.13 and a beta of 0.81. The stock’s 50 day simple moving average is $38.49 and its two-hundred day simple moving average is $41.41.

Echostar Company Profile (NASDAQ:SATS)

EchoStar Corporation, together with its subsidiaries, provides broadband satellite technologies and broadband Internet services for home and small office customers, satellite operations, and satellite services worldwide. It operates in two segments, Hughes and EchoStar Satellite Services. The Hughes segments offers broadband satellite technologies and Internet services for home and small office customers; and broadband network technologies, managed services, equipment, hardware, satellite services, and communication solutions for aeronautical, enterprise, and government customers, as well as consumers.

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