Telesat (NASDAQ:TSAT) Stock Price Down 9.1% – Should You Sell?

Telesat Corporation (NASDAQ:TSAT)’s stock price traded down 9.1% on Thursday. The stock traded as low as $42.00 and last traded at $41.3950. 77,028 shares changed hands during mid-day trading, a decline of 63% from the average session volume of 209,300 shares. The stock had previously closed at $45.55.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the stock. Scotiabank initiated coverage on shares of Telesat in a report on Monday, July 13th. They set a “hold” rating for the company. Stifel Nicolaus started coverage on Telesat in a research report on Thursday, July 16th. They issued a “buy” rating for the company. Royal Bank Of Canada assumed coverage on Telesat in a research note on Thursday, August 27th. They set a “moderate buy” rating for the company. Weiss Ratings restated a “sell (d-)” rating on shares of Telesat in a research report on Monday, September 14th. Finally, Zacks Research upgraded Telesat from a “strong sell” rating to a “hold” rating in a research report on Monday, October 19th. Three investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Telesat presently has an average rating of “Hold” and a consensus target price of $33.50.

Telesat Trading Down 9.0%

The company has a 50 day moving average of $45.78 and a 200-day moving average of $42.57. The stock has a market cap of $631.06 million, a price-to-earnings ratio of -2.31 and a beta of 2.11. The company has a debt-to-equity ratio of 0.90, a quick ratio of 0.17 and a current ratio of 0.17.

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

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. TD Waterhouse Canada Inc. increased its stake in Telesat by 18.0% during the 3rd quarter. TD Waterhouse Canada Inc. now owns 63,361 shares of the company’s stock worth $2,938,000 after buying an additional 9,653 shares during the period. State of Alaska Department of Revenue acquired a new stake in Telesat during the 3rd quarter worth approximately $34,000. Engineers Gate Manager LP purchased a new position in Telesat in the 2nd quarter valued at approximately $591,000. Allied Private Wealth LLC purchased a new position in Telesat in the 2nd quarter valued at approximately $51,000. Finally, Militia Capital Management LLC acquired a new position in shares of Telesat in the first quarter worth $560,000.

Telesat Company Profile

Telesat is a Canadian satellite communications operator that provides connectivity and related services to telecommunications companies, broadcasters, governments, enterprises and other organizations worldwide. The company operates a fleet of geostationary satellites and delivers satellite capacity for broadband communications, video distribution, enterprise networking, mobility and government applications.

In addition to its geostationary satellite services, Telesat is developing Telesat Lightspeed, a planned low Earth orbit satellite network designed to provide high-speed, low-latency broadband connectivity.