EchoStar (NASDAQ:SATS) Lowered to “Hold” Rating by Zacks Research

Zacks Research downgraded shares of EchoStar (NASDAQ:SATS) from a strong-buy rating to a hold rating in a research note published on Tuesday morning,Zacks.com reports.

SATS has been the topic of a number of other research reports. Citigroup upped their price target on shares of EchoStar from $111.00 to $121.00 and gave the company a “neutral” rating in a research note on Tuesday, February 3rd. Williams Trading set a $158.00 target price on shares of EchoStar in a report on Wednesday, January 7th. Deutsche Bank Aktiengesellschaft upped their target price on shares of EchoStar from $97.00 to $131.00 and gave the company a “buy” rating in a research report on Friday, December 19th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of EchoStar in a report on Wednesday, January 21st. Finally, TD Cowen reiterated a “buy” rating on shares of EchoStar in a research report on Wednesday, January 7th. Three research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $134.17.

EchoStar Stock Up 3.4%

Shares of SATS opened at $112.18 on Tuesday. The company has a debt-to-equity ratio of 3.21, a current ratio of 0.42 and a quick ratio of 0.38. The stock has a market capitalization of $32.29 billion, a price-to-earnings ratio of -2.23 and a beta of 1.01. EchoStar has a 1 year low of $14.90 and a 1 year high of $132.25. The business’s 50 day simple moving average is $115.62 and its 200-day simple moving average is $91.08.

Insiders Place Their Bets

In other news, COO John Swieringa sold 50,088 shares of the stock in a transaction on Wednesday, March 4th. The shares were sold at an average price of $113.58, for a total value of $5,688,995.04. Following the sale, the chief operating officer owned 253,535 shares of the company’s stock, valued at approximately $28,796,505.30. This represents a 16.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Hamid Akhavan sold 71,005 shares of the firm’s stock in a transaction dated Friday, March 6th. The stock was sold at an average price of $107.52, for a total transaction of $7,634,457.60. Following the completion of the sale, the chief executive officer owned 823,293 shares of the company’s stock, valued at $88,520,463.36. This trade represents a 7.94% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 55.90% of the company’s stock.

Institutional Trading of EchoStar

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. DLD Asset Management LP bought a new position in shares of EchoStar during the third quarter valued at approximately $2,481,700,000. Sachem Head Capital Management LP purchased a new stake in shares of EchoStar in the fourth quarter worth approximately $568,218,000. Icahn Carl C bought a new stake in shares of EchoStar during the 3rd quarter worth approximately $332,513,000. Norges Bank bought a new stake in shares of EchoStar during the 4th quarter worth approximately $182,111,000. Finally, Contrarius Group Holdings Ltd purchased a new position in EchoStar during the 3rd quarter valued at $98,819,000. 33.62% of the stock is owned by hedge funds and other institutional investors.

EchoStar News Summary

Here are the key news stories impacting EchoStar this week:

• Positive Sentiment: High-profile endorsement: Jim Cramer highlighted that the market has been underestimating EchoStar’s spectrum assets, a bullish narrative that can drive retail and momentum flows. Jim Cramer Says “The Market Dramatically Underappreciated the Value of EchoStar’s Spectrum Assets”
• Positive Sentiment: S&P 500 inclusion/support: Recent coverage notes SATS will join the S&P 500 rebalance, which typically triggers one-time index buying and greater institutional interest. S&P Rebalance Article
• Positive Sentiment: Operational catalysts: Analysts and stories point to the upcoming Falcon 9 EchoStar XXV launch and recent spectrum sales as potential revenue/cash-flow inflection points if launches and monetization proceed as planned. Falcon 9 / Valuation Article
• Neutral Sentiment: Marketing/promotions in the ecosystem: Sling TV is running promotions tied to March Madness (may help subscriber engagement for Dish/Sling-related businesses but limited direct impact on EchoStar’s core spectrum/broadband thesis). Sling TV & Trae Young Promotion
• Neutral Sentiment: Carrier/device news: Boost Mobile will offer the new iPhone 17e — industry-level news that is tangential to EchoStar and unlikely to move SATS materially. Boost Mobile to Offer the New iPhone 17e
• Negative Sentiment: Insider selling: CEO Hamid Akhavan sold 71,005 shares (~$7.63M) on March 6, trimming his position by ~7.9%; meaningful insider sales can weigh on sentiment even if insiders remain large holders. SEC Form 4
• Negative Sentiment: Additional insider selling reported (COO sale), reinforcing the insider-sell narrative that could pressure shares. COO Sale Report
• Negative Sentiment: Industry disruption: Gray Media’s blackout of 226 local channels is disrupting DISH TV customers — a near-term headwind for the satellite/pay-TV ecosystem that can create negative headlines across related names. Gray Media Blackout

About EchoStar

EchoStar Corporation (NASDAQ: SATS) is a global provider of satellite communication solutions, offering a suite of broadband and video delivery services to consumer, enterprise and government customers. The company operates two principal business segments: Broadband and Video. Through its Broadband segment, EchoStar delivers high-speed satellite internet access, managed network services and ground infrastructure for residential, commercial and rural markets. Its Video segment provides satellite fleet operations, teleport facilities and capacity-leasing services to video distributors and content providers.

In the Broadband segment, EchoStar’s Hughes Network Systems division designs and manufactures satellite broadband equipment, including user terminals and gateways, and develops advanced network management technologies.