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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

Why Are Globalstar (GSAT) Shares Soaring Today

GSAT Cover Image

What Happened?

Shares of satellite communications provider Globalstar (NASDAQ: GSAT) jumped 17.8% in the morning session after the company announced a significant expansion of its global ground infrastructure to support its next-generation mobile satellite network. 

The telecommunications provider is adding new gateway infrastructure at its ground station in Greece, effectively doubling the size of the facility. This project is part of a substantial global expansion designed to support its third-generation C-3 mobile satellite system, which will include up to 90 new tracking antennas across approximately 35 gateways worldwide. The company stated this represents a significant investment in the network's functionality and capacity, aiming to provide next-generation services to hundreds of millions of people globally. Investors are likely reacting positively to this step forward in enhancing Globalstar's satellite network capabilities.

Is now the time to buy Globalstar? Access our full analysis report here, it’s free.

What Is The Market Telling Us

Globalstar’s shares are extremely volatile and have had 37 moves greater than 5% over the last year. But moves this big are rare even for Globalstar and indicate this news significantly impacted the market’s perception of the business.

The previous big move we wrote about was 13 days ago when the stock gained 4.8% on the news that a major deal was announced by a peer company. DISH TV operator EchoStar announced it was selling low- and mid-band spectrum allocations to AT&T for a substantial $23 billion. While the news does not directly involve Globalstar, such a large transaction for spectrum assets often generates positive momentum for other companies in the industry that hold similar assets. Investors may be speculating that the high valuation placed on EchoStar's spectrum highlights the potential unrealized value of Globalstar's own spectrum portfolio, leading to increased buying interest in the stock.

Globalstar is up 16.7% since the beginning of the year, and at $37.11 per share, has set a new 52-week high. Investors who bought $1,000 worth of Globalstar’s shares 5 years ago would now be looking at an investment worth $8,168.

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.

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