Telesat (NASDAQ:TSAT) Trading Down 7.3% – Here’s Why

Telesat Corporation (NASDAQ:TSAT) shares were down 7.3% on Tuesday . The company traded as low as $48.11 and last traded at $48.5010. Approximately 92,534 shares were traded during trading, a decline of 51% from the average daily volume of 190,759 shares. The stock had previously closed at $52.31.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on TSAT shares. Zacks Research upgraded shares of Telesat from a “hold” rating to a “strong-buy” rating in a research report on Monday, May 4th. Deutsche Bank Aktiengesellschaft lifted their target price on shares of Telesat from $19.00 to $37.00 and gave the stock a “hold” rating in a research note on Thursday, March 19th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Telesat in a research note on Wednesday, January 21st. New Street Research initiated coverage on shares of Telesat in a research note on Wednesday, May 13th. They set a “sell” rating and a $30.00 target price on the stock. Finally, Wall Street Zen downgraded shares of Telesat from a “sell” rating to a “strong sell” rating in a research note on Saturday, April 25th. One analyst has rated the stock with a Strong Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $33.50.

Telesat Stock Down 3.6%

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 business’s 50 day simple moving average is $43.87 and its 200 day simple moving average is $34.27. The company has a market capitalization of $748.43 million, a PE ratio of -5.59 and a beta of 2.02.

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

Institutional Investors Weigh In On Telesat

A number of institutional investors and hedge funds have recently made changes to their positions in TSAT. PenderFund Capital Management Ltd. raised its stake 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 period. Senvest Management LLC raised its stake in shares of Telesat by 261.5% in the 4th quarter. Senvest Management LLC now owns 134,668 shares of the company’s stock valued at $3,919,000 after acquiring an additional 97,411 shares during the period. Millennium Management LLC raised its stake in shares of Telesat by 245.4% in the 4th quarter. Millennium Management LLC now owns 128,472 shares of the company’s stock valued at $3,739,000 after acquiring an additional 91,272 shares during the period. Vestcor Inc raised its stake in shares of Telesat by 40.0% in the 3rd quarter. Vestcor Inc now owns 175,000 shares of the company’s stock valued at $4,638,000 after acquiring an additional 50,000 shares during the period. Finally, Polar Asset Management Partners Inc. raised its stake in shares of Telesat by 83.0% in the 3rd quarter. Polar Asset Management Partners Inc. now owns 105,225 shares of the company’s stock valued at $2,779,000 after acquiring an additional 47,725 shares during the period.

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.