Analyzing Globalstar (GSAT) and Its Rivals

Profitability

This table compares Globalstar and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Globalstar	-14.91%	-9.40%	-3.91%
Globalstar Competitors	-464.18%	-25.98%	-2.26%

Earnings and Valuation

This table compares Globalstar and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Globalstar	$241.58 million	-$24.72 million	-71.00
Globalstar Competitors	$2.51 billion	-$215.51 million	-12.11

Globalstar’s rivals have higher revenue, but lower earnings than Globalstar. Globalstar is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Institutional and Insider Ownership

18.9% of Globalstar shares are owned by institutional investors. Comparatively, 44.0% of shares of all “Communication services, not elsewhere classified” companies are owned by institutional investors. 61.0% of Globalstar shares are owned by insiders. Comparatively, 28.9% of shares of all “Communication services, not elsewhere classified” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

Globalstar has a beta of 1.1, suggesting that its share price is 10% more volatile than the S&P 500. Comparatively, Globalstar’s rivals have a beta of 1.61, suggesting that their average share price is 61% more volatile than the S&P 500.

Summary

Globalstar rivals beat Globalstar on 5 of the 9 factors compared.

Globalstar Company Profile

GLOBALSTAR INC offers satellite voice and data services to commercial and recreational users in more than 120 countries around the world. Globalstar’s products include mobile and fixed satellite telephones, simplex and duplex satellite data modems and flexible service packages. Many land based and maritime industries benefit from Globalstar with increased productivity from remote areas beyond cellular and landline service. Global customer segments include: oil and gas, government, mining, forestry, commercial fishing, utilities, military, transportation, heavy construction, emergency preparedness, and business continuity as well as individual recreational users. Globalstar data solutions are ideal for various asset and personal tracking, data monitoring and SCADA applications.