Telesat (NASDAQ:TSAT) Stock Price Down 9.4% – Here’s What Happened

Telesat Corporation (NASDAQ:TSAT)’s share price was down 9.4% during trading on Friday . The company traded as low as $46.32 and last traded at $45.40. Approximately 130,821 shares traded hands during mid-day trading, a decline of 38% from the average daily volume of 212,109 shares. The stock had previously closed at $50.12.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on TSAT shares. Wall Street Zen cut Telesat from a “sell” rating to a “strong sell” rating in a research note on Saturday, April 25th. New Street Research started coverage on Telesat in a research note on Wednesday, May 13th. They issued a “sell” rating and a $30.00 price target for the company. Zacks Research cut Telesat from a “strong-buy” rating to a “hold” rating in a research note on Monday, May 18th. Finally, Deutsche Bank Aktiengesellschaft increased their price target on Telesat from $19.00 to $37.00 and gave the company a “hold” rating in a research note on Thursday, March 19th. Two equities research analysts have rated the stock with a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Reduce” and an average target price of $33.50.

Telesat Stock Performance

The firm has a 50-day moving average of $48.99 and a 200-day moving average of $37.38. The stock has a market capitalization of $704.23 million, a price-to-earnings ratio of -5.25 and a beta of 2.01. The company has a current ratio of 0.25, a quick ratio of 0.25 and a debt-to-equity ratio of 0.77.

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

Institutional Trading of Telesat

Several large investors have recently made changes to their positions in TSAT. PenderFund Capital Management Ltd. boosted its holdings in shares of Telesat by 307.3% in the 3rd quarter. PenderFund Capital Management Ltd. now owns 409,753 shares of the company’s stock valued at $10,512,000 after acquiring an additional 309,153 shares during the last quarter. Senvest Management LLC boosted its position in Telesat by 261.5% in the 4th quarter. Senvest Management LLC now owns 134,668 shares of the company’s stock worth $3,919,000 after purchasing an additional 97,411 shares in the last quarter. Millennium Management LLC boosted its position in Telesat by 245.4% in the 4th quarter. Millennium Management LLC now owns 128,472 shares of the company’s stock worth $3,739,000 after purchasing an additional 91,272 shares in the last quarter. Vestcor Inc boosted its position in Telesat by 40.0% in the 3rd quarter. Vestcor Inc now owns 175,000 shares of the company’s stock worth $4,638,000 after purchasing an additional 50,000 shares in the last quarter. Finally, Polar Asset Management Partners Inc. boosted its position in Telesat by 83.0% in the 3rd quarter. Polar Asset Management Partners Inc. now owns 105,225 shares of the company’s stock worth $2,779,000 after purchasing an additional 47,725 shares in the last quarter.

About Telesat

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.