Gogo (NASDAQ:GOGO) Announces Quarterly Earnings Results, Misses Expectations By $0.09 EPS

Gogo (NASDAQ:GOGO) posted its quarterly earnings results on Friday. The technology company reported ($0.07) earnings per share for the quarter, missing the consensus estimate of $0.02 by ($0.09), Briefing.com reports. The company had revenue of $230.56 million for the quarter. Gogo had a positive return on equity of 71.74% and a negative net margin of 0.65%.The firm’s revenue was up 67.3% on a year-over-year basis. During the same quarter last year, the business earned ($0.22) earnings per share.

Here are the key takeaways from Gogo’s conference call:

• Gogo expects a major product ramp in 2026 with combined Galileo and 5G shipments to exceed 1,000 units and a path to roughly 700 Galileo aircraft installed by year-end, which management says will generate high‑margin recurring service revenue.
• Management provided 2026 guidance of $905M–$945M revenue, adjusted EBITDA of $198M–$218M and free cash flow of $90M–$110M, with strategic spend and net CapEx set to decline—supporting management’s deleveraging and FCF improvement thesis.
• A robust commercial pipeline (over 1,000 aircraft, weighted pipeline >400) plus major fleet and OEM traction — including sustained relationships with NetJets, a VistaJet rollout and additional line‑fit/STC wins — should drive long‑term installations and recurring service revenue.
• Military and government is a growing diversification vector—MilGov revenue grew 34% YoY (international up 94%), and management highlighted wins and contracts (C‑130 hatch mounts, an SES BPA with a $33M ceiling) targeting a large underserved TAM.
• Near‑term headwinds remain: ATG aircraft online are expected to decline (management expects ~1,000 net ATG units down by year‑end and residual Classic conversions), Q4 equipment margins were negative from write‑offs and HDX pricing is near cost, and the company carries substantial debt (≈$848M principal, net leverage ~3.3x), which could pressure near‑term profitability and working capital needs.

Gogo Stock Down 2.8%

Shares of NASDAQ:GOGO opened at $4.23 on Friday. The company has a market capitalization of $566.19 million, a PE ratio of -84.60 and a beta of 1.04. The company has a debt-to-equity ratio of 7.79, a quick ratio of 1.40 and a current ratio of 1.74. The company has a fifty day moving average of $4.56 and a 200-day moving average of $7.28. Gogo has a 52-week low of $3.85 and a 52-week high of $16.82.

Wall Street Analyst Weigh In

Several research analysts have weighed in on GOGO shares. Weiss Ratings reissued a “sell (d)” rating on shares of Gogo in a report on Monday, December 29th. Morgan Stanley set a $8.00 target price on Gogo in a research report on Friday, January 16th. Finally, William Blair cut Gogo from an “outperform” rating to a “market perform” rating in a report on Tuesday, December 9th. One analyst has rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $12.25.

Insider Buying and Selling at Gogo

In related news, insider Oakleigh Thorne bought 170,000 shares of the stock in a transaction that occurred on Friday, December 12th. The shares were acquired at an average cost of $5.34 per share, with a total value of $907,800.00. Following the completion of the purchase, the insider directly owned 954,098 shares of the company’s stock, valued at $5,094,883.32. This trade represents a 21.68% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. Company insiders own 25.78% of the company’s stock.

Institutional Trading of Gogo

Several institutional investors and hedge funds have recently made changes to their positions in GOGO. Quarry LP grew its position in Gogo by 86.1% in the third quarter. Quarry LP now owns 7,171 shares of the technology company’s stock worth $62,000 after acquiring an additional 3,318 shares in the last quarter. Tower Research Capital LLC TRC lifted its stake in Gogo by 300.1% during the second quarter. Tower Research Capital LLC TRC now owns 8,163 shares of the technology company’s stock worth $120,000 after purchasing an additional 6,123 shares during the last quarter. Focus Partners Wealth bought a new stake in Gogo during the third quarter worth about $72,000. iSAM Funds UK Ltd purchased a new position in shares of Gogo in the 2nd quarter worth about $150,000. Finally, Hancock Whitney Corp bought a new position in shares of Gogo during the 3rd quarter valued at about $92,000. Hedge funds and other institutional investors own 69.60% of the company’s stock.

Gogo Company Profile

Gogo Inc is a leading provider of in-flight connectivity and entertainment solutions for commercial and business aviation. The company specializes in delivering broadband internet, voice and text services, and streaming entertainment to passengers at 35,000 feet. Gogo’s offerings include both air-to-ground (ATG) networks and satellite-based connectivity, enabling reliable in-flight internet access across a range of aircraft types.

Gogo’s ATG network spans the United States and portions of Canada, using ground towers to transmit data signals directly to equipped aircraft.