Globalstar (GSAT) Stock Is Soaring Monday: What's Going On?

Shares of Globalstar, Inc. (GSAT) are surging Monday, riding a wave of investor enthusiasm following the blockbuster announcement that SpaceX will acquire EchoStar’s AWS-4 and H-block spectrum licenses for approximately $17 billion.

What To Know: While Globalstar is not directly involved in the transaction, the deal has cast a spotlight on the immense and growing value of satellite spectrum, a key asset for the company.

Globalstar, a provider of mobile satellite voice and data services, controls a significant portfolio of spectrum, including its Band 53. The premium valuation SpaceX has placed on EchoStar’s assets is potentially forcing a market-wide re-evaluation of companies with similar holdings.

Investors could be speculating that Globalstar’s spectrum is substantially undervalued. The SpaceX deal could serve as a new benchmark, suggesting that Globalstar could unlock significant value through future partnerships, leases or a potential sale of its own spectrum.

Benzinga Edge Rankings: Underscoring Monday’s move, Benzinga Edge rankings show the stock has an exceptional Momentum score of 87.20.

Price Action: According to data from Benzinga Pro, GSAT shares are trading higher by 16.3% to $36.32 Monday. The stock has a 52-week high of $36.95 and a 52-week low of $17.24.

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How To Buy GSAT Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Globalstar’s case, it is in the Communication Services sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

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