What Happened?
Shares of satellite communications provider Globalstar (NASDAQ: GSAT) jumped 4% in the morning session after the company announced it began construction to double the size of its ground station in Estonia.
This expansion project, an investment of about $9 million, will add three new 6-meter antennas to the facility. The key goal of this upgrade is to support Globalstar's third-generation C-3 mobile satellite system, boosting its services across Northern Europe. This move shows the company's commitment to improving its global satellite network.
The news followed other positive steps by the company, including the expansion of its ground station in Singapore and securing new government contracts expected to bring in at least $60 million in sales over the next five years.
After the initial pop the shares cooled down to $37.60, up 4.3% from previous close.
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What Is The Market Telling Us
Globalstar’s shares are extremely volatile and have had 40 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 6 days ago when the stock gained 8% on the news that a bullish mention from CNBC's Jim Cramer and the company outlined its ambitious expansion strategy.
On his “Mad Money Lightning Round,” Cramer noted the satellite communications company was “finally breaking out.” This positive commentary followed Globalstar's strong second-quarter results from August, where it beat analyst estimates for both earnings and sales.
Adding to the upbeat mood, the company detailed its plans for a new HIBLEO-XL-1 satellite system. This move aimed to secure a larger piece of the global space economy, which management projected could reach $1.8 trillion by 2035.
To fuel this growth, Globalstar previously made a significant $1.5 billion investment in its next-generation satellite constellation, which included 48 new satellites and an expanded ground network to deliver faster and more reliable service.
Globalstar is up 18.2% since the beginning of the year, and at $37.60 per share, it is trading close to its 52-week high of $37.94 from September 2025. Investors who bought $1,000 worth of Globalstar’s shares 5 years ago would now be looking at an investment worth $7,958.
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