Globalstar Profitability Analysis

GSAT Stock  USD 1.56  0.11  7.59%   
Considering Globalstar's profitability and operating efficiency indicators, Globalstar may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in April. Profitability indicators assess Globalstar's ability to earn profits and add value for shareholders.
 
Net Income
First Reported
2004-12-31
Previous Quarter
-6.2 M
Current Value
-17.8 M
Quarterly Volatility
82.1 M
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
Sales per Share is likely to gain to 0.08 in 2024, whereas Price to Sales Ratio is likely to drop 13.47 in 2024. At this time, Globalstar's Accumulated Other Comprehensive Income is comparatively stable as compared to the past year. Income Tax Expense is likely to gain to about 70.9 K in 2024, whereas Consolidated Income is likely to drop (318.8 M) in 2024.
Current ValueLast YearChange From Last Year 10 Year Trend
Return on Equity(0.84)(0.82)
Fairly Down
Very volatile
Return on Assets(0.37)(0.36)
Fairly Down
Slightly volatile
Profit Margin(2.16)(2.0)
Significantly Down
Slightly volatile
Gross Margin0.650.65
Steady
Slightly volatile
For Globalstar profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Globalstar to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Globalstar utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Globalstar's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Globalstar over time as well as its relative position and ranking within its peers.
  
Check out Risk vs Return Analysis.
For more information on how to buy Globalstar Stock please use our How to Invest in Globalstar guide.
Is Globalstar's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Globalstar. If investors know Globalstar will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Globalstar listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.01)
Revenue Per Share
0.117
Quarterly Revenue Growth
0.533
Return On Assets
0.0008
Return On Equity
(0.06)
The market value of Globalstar is measured differently than its book value, which is the value of Globalstar that is recorded on the company's balance sheet. Investors also form their own opinion of Globalstar's value that differs from its market value or its book value, called intrinsic value, which is Globalstar's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Globalstar's market value can be influenced by many factors that don't directly affect Globalstar's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Globalstar's value and its price as these two are different measures arrived at by different means. Investors typically determine if Globalstar is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Globalstar's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Globalstar Number Of Employees vs. Debt To Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Globalstar's current stock value. Our valuation model uses many indicators to compare Globalstar value to that of its competitors to determine the firm's financial worth.
Globalstar is one of the top stocks in debt to equity category among related companies. It is one of the top stocks in number of employees category among related companies creating about  303.20  of Number Of Employees per Debt To Equity. . Comparative valuation analysis is a catch-all model that can be used if you cannot value Globalstar by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Globalstar's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Globalstar's earnings, one of the primary drivers of an investment's value.

Globalstar Number Of Employees vs. Debt To Equity

Debt to Equity is calculated by dividing the Total Debt of a company by its Equity. If the debt exceeds equity of a company, then the creditors have more stakes in a firm than the stockholders. In other words, Debt to Equity ratio provides analysts with insights about composition of both equity and debt, and its influence on the valuation of the company.

Globalstar

D/E

 = 

Total Debt

Total Equity

 = 
1.09 %
High Debt to Equity ratio typically indicates that a firm has been borrowing aggressively to finance its growth and as a result may experience a burden of additional interest expense. This may reduce earnings or future growth. On the other hand a small D/E ratio may indicate that a company is not taking enough advantage from financial leverage. Debt to Equity ratio measures how the company is leveraging borrowing against the capital invested by the owners.
Number of Employees shows the total number of permanent full time and part time employees working for a given company and processed through its payroll.

Globalstar

Number of Employees

 = 

Full Time

+

Part Time

 = 
332
Employee typically refers to an individual working under a contract of employment, whether oral or written, express or implied, and has recognized his or her rights and duties. Most officers of corporations are included as employees and contractors are generally excluded.

Globalstar Number Of Employees vs Competition

Globalstar is one of the top stocks in number of employees category among related companies. The total workforce of Communication Services industry is currently estimated at about 129,922. Globalstar adds roughly 332 in number of employees claiming only tiny portion of stocks in Communication Services industry.

Globalstar Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Globalstar, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Globalstar will eventually generate negative long term returns. The profitability progress is the general direction of Globalstar's change in net profit over the period of time. It can combine multiple indicators of Globalstar, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for 2024
Accumulated Other Comprehensive Income10.6 M11.5 M
Consolidated Income-295.5 M-318.8 M
Net Income-297 M-320.4 M
Net Income Common Stock-297 M-320.4 M
Net Income to Non Controlling Interests1.2 M1.2 M
Operating Income-198.9 M-204.2 M
Income Tax Expense65.7 K70.9 K
Net Income Per Employee-696.5 K-751.4 K

Globalstar Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Globalstar. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Globalstar position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Globalstar's important profitability drivers and their relationship over time.

Globalstar Profitability Trends

Globalstar profitability trend refers to the progression of profit or loss within a business. An upward trend means that Globalstar's profit has generally increased over time, and a downward profitability trend means profits are declining. Recognizing problems early in profitability trends allows investors to address revenue and cost issues in advance. Investors and analysts usually monitor three types of profitability trends: gross, operating, and net. Gross profit is the difference between revenue and costs of goods sold. Operating profit is Globalstar's gross profit minus its overhead. After you account for other unusual revenue, expenses, and costs, you get net profit. Gross profit trends are often a good indicator of future profitability. If you have high gross profit margins, you have a better chance to cover overhead and make money.

Globalstar Profitability Drivers Correlations

One of the toughest challenges investors face today is learning how to quickly synthesize and read into endless financial statements and information provided by the company, SEC reporting, and various external parties. Understanding the correlation between Globalstar different financial indicators related to revenue and profit generation helps investors identify and prioritize their investing strategies towards Globalstar in a much-optimized way. Analyzing correlations between profit drivers that are directly associated with dollar figures is the most effective way to break down Globalstar's future profitability.

Use Globalstar in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Globalstar position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Globalstar will appreciate offsetting losses from the drop in the long position's value.

Globalstar Pair Trading

Globalstar Pair Trading Analysis

The ability to find closely correlated positions to Globalstar could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Globalstar when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Globalstar - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Globalstar to buy it.
The correlation of Globalstar is a statistical measure of how it moves in relation to other equities. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Globalstar moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Globalstar moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Globalstar can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Globalstar position

In addition to having Globalstar in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Computers Thematic Idea Now

Computers
Computers Theme
Companies that manufacture and distribute personal and business computers. The Computers theme has 41 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Computers Theme or any other thematic opportunities.
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When determining whether Globalstar is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Globalstar Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Globalstar Stock. Highlighted below are key reports to facilitate an investment decision about Globalstar Stock:
Check out Risk vs Return Analysis.
For more information on how to buy Globalstar Stock please use our How to Invest in Globalstar guide.
Note that the Globalstar information on this page should be used as a complementary analysis to other Globalstar's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Content Syndication module to quickly integrate customizable finance content to your own investment portal.

Complementary Tools for Globalstar Stock analysis

When running Globalstar's price analysis, check to measure Globalstar's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Globalstar is operating at the current time. Most of Globalstar's value examination focuses on studying past and present price action to predict the probability of Globalstar's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Globalstar's price. Additionally, you may evaluate how the addition of Globalstar to your portfolios can decrease your overall portfolio volatility.
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To fully project Globalstar's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Globalstar at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Globalstar's income statement, its balance sheet, and the statement of cash flows.
Potential Globalstar investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Globalstar investors may work on each financial statement separately, they are all related. The changes in Globalstar's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Globalstar's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.