Telesat (NASDAQ:TSAT) Shares Up 11.9% – Here’s What Happened

Telesat Corporation (NASDAQ:TSAT)’s share price shot up 11.9% during mid-day trading on Thursday . The stock traded as high as $52.08 and last traded at $52.3730. 210,593 shares traded hands during trading, an increase of 8% from the average session volume of 194,160 shares. The stock had previously closed at $46.79.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on TSAT. Zacks Research cut shares of Telesat from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 18th. Wall Street Zen cut shares of Telesat from a “sell” rating to a “strong sell” rating in a research report on Saturday, April 25th. Deutsche Bank Aktiengesellschaft lifted their price objective on shares of Telesat from $19.00 to $37.00 and gave the stock a “hold” rating in a research report on Thursday, March 19th. Finally, New Street Research began coverage on shares of Telesat in a research report on Wednesday, May 13th. They set a “sell” rating and a $30.00 price objective for the company. Two research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Reduce” and an average target price of $33.50.

Telesat Price Performance

The company has a market capitalization of $793.49 million, a PE ratio of -5.95 and a beta of 2.01. The company has a debt-to-equity ratio of 0.77, a current ratio of 0.25 and a quick ratio of 0.25. The company’s 50 day simple moving average is $47.83 and its 200 day simple moving average is $36.41.

Telesat (NASDAQ:TSAT) last announced its quarterly earnings results on Tuesday, May 5th. The company reported ($2.21) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.67) by ($1.54). Telesat had a negative net margin of 47.57% and a negative return on equity of 4.02%. The company had revenue of $62.59 million during the quarter, compared to analysts’ expectations of $62.03 million. As a group, sell-side analysts predict that Telesat Corporation will post -3.73 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Royal Bank of Canada increased its position in Telesat by 32.2% during the fourth quarter. Royal Bank of Canada now owns 2,922 shares of the company’s stock worth $85,000 after buying an additional 712 shares during the period. BNP Paribas Financial Markets increased its position in Telesat by 1,335.3% during the third quarter. BNP Paribas Financial Markets now owns 3,818 shares of the company’s stock worth $101,000 after buying an additional 3,552 shares during the period. Acadian Asset Management LLC increased its position in Telesat by 63.3% during the first quarter. Acadian Asset Management LLC now owns 6,381 shares of the company’s stock worth $119,000 after buying an additional 2,473 shares during the period. Virtu Financial LLC acquired a new position in Telesat during the fourth quarter worth approximately $211,000. Finally, Quarry LP acquired a new position in Telesat during the third quarter worth approximately $212,000.

Telesat Company Profile

Telesat is a leading global satellite operator that designs, builds and delivers high-performance satellite communications solutions across multiple markets. The company operates a fleet of geostationary satellites to provide video distribution, data networking and managed broadband services to media companies, network operators, governments and enterprise customers. Telesat’s infrastructure supports television distribution, cellular backhaul, rural broadband and corporate network applications.

In addition to its geostationary offerings, Telesat is developing a low Earth orbit (LEO) satellite constellation known as Lightspeed.