Telesat (NASDAQ:TSAT) Shares Up 10.5% – Should You Buy?

Telesat Corporation (NASDAQ:TSAT)’s share price rose 10.5% during mid-day trading on Thursday . The stock traded as high as $45.39 and last traded at $46.2250. Approximately 120,227 shares changed hands during mid-day trading, a decline of 47% from the average daily volume of 225,775 shares. The stock had previously closed at $41.82.

Analyst Ratings Changes

TSAT has been the topic of several research analyst reports. Scotiabank initiated coverage on Telesat in a research note on Monday, July 13th. They set a “hold” rating on the stock. Royal Bank Of Canada started coverage on shares of Telesat in a report on Thursday. They set a “moderate buy” rating for the company. Weiss Ratings reiterated a “sell (d-)” rating on shares of Telesat in a research note on Thursday, June 18th. Stifel Nicolaus started coverage on shares of Telesat in a report on Thursday, July 16th. They set a “buy” rating on the stock. Finally, New Street Research assumed coverage on Telesat in a report on Wednesday, May 13th. They set a “sell” rating and a $30.00 price objective for the company. Two analysts have rated the stock with a Buy rating, two have given a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Reduce” and an average price target of $33.50.

Telesat Price Performance

The company has a debt-to-equity ratio of 0.90, a current ratio of 0.17 and a quick ratio of 0.17. The stock has a market capitalization of $635.45 million, a P/E ratio of -2.39 and a beta of 2.07. The stock’s fifty day moving average is $44.45 and its 200-day moving average is $43.24.

Telesat (NASDAQ:TSAT) last announced its quarterly earnings results on Thursday, August 13th. The company reported ($7.85) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.71) by ($7.14). The company had revenue of $57.30 million during the quarter, compared to analyst estimates of $56.11 million. Telesat had a negative return on equity of 15.53% and a negative net margin of 102.62%. On average, equities analysts anticipate that Telesat Corporation will post -11.93 earnings per share for the current year.

Hedge Funds Weigh In On Telesat

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Royal Bank of Canada lifted its stake in shares of Telesat by 32.2% in the fourth quarter. Royal Bank of Canada now owns 2,922 shares of the company’s stock worth $85,000 after buying an additional 712 shares during the last quarter. Allied Private Wealth LLC acquired a new position in Telesat during the 2nd quarter worth $51,000. Acadian Asset Management LLC boosted its holdings in Telesat by 63.3% during the first quarter. Acadian Asset Management LLC now owns 6,381 shares of the company’s stock valued at $119,000 after acquiring an additional 2,473 shares during the period. Senvest Management LLC grew its position in shares of Telesat by 2.2% in the first quarter. Senvest Management LLC now owns 137,668 shares of the company’s stock valued at $4,984,000 after purchasing an additional 3,000 shares during the last quarter. Finally, BNP Paribas Financial Markets increased its stake in shares of Telesat by 1,335.3% in the third quarter. BNP Paribas Financial Markets now owns 3,818 shares of the company’s stock worth $101,000 after purchasing an additional 3,552 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.