TLDR
- EchoStar (SATS) holds a 2%-plus stake in SpaceX after trading spectrum for equity in late 2025, and the stock has doubled since that deal.
- SpaceX’s IPO is expected to be filed as early as this week, with a potential valuation of $1.5 trillion to $2 trillion.
- TD Cowen raised its price target on EchoStar to $155 from $129, maintaining a Buy rating, while New Street Research set a $161 target with a Buy.
- EchoStar’s SpaceX equity stake is valued at around $31 billion, but the company carries roughly $22 billion in debt and has a satellite TV business.
- Institutional investors now own 33.62% of EchoStar, with Gamco Investors boosting its stake by 83.4% in Q4.
EchoStar (SATS) has quietly become one of Wall Street’s favored ways to get exposure to SpaceX, and with the IPO now potentially days away from filing, that attention is only growing.
The story started in late 2025 when EchoStar traded some of its wireless spectrum to SpaceX in exchange for roughly $11.1 billion worth of SpaceX equity, valued at the time at $212 per SpaceX share. That deal handed EchoStar an estimated 525 million SpaceX shares, or a stake of just over 2%.
SATS stock was trading at $136.45 as of Monday’s close, down 0.5% on the session. That’s roughly double where it sat before the spectrum deal was announced.
TD Cowen analyst Gregory Williams updated his outlook on Sunday, lifting his price target to $155 from $129 and keeping a Buy rating. His valuation assumes SpaceX reaches a $1.75 trillion market cap, with adjustments for taxes and a 10% conglomerate-style discount applied to all of EchoStar’s assets.
Based on that model, Williams puts EchoStar’s SpaceX equity at around $31 billion. That translates to roughly $600 per SpaceX share. Recent private market transactions reportedly put the price closer to $650.
SpaceX IPO Could Be a Catalyst
Bloomberg reported last week that SpaceX plans a five-for-one stock split ahead of the IPO, which would bring the per-share price down to around $100. A lower price point tends to broaden the investor base.
The IPO could raise $75 billion or more and potentially value SpaceX between $1.5 trillion and $2 trillion. If that top end is reached, analysts suggest there may be more room for EchoStar’s stock to move higher.
New Street Research initiated coverage on EchoStar on May 13 with a Buy rating and a $161 price target. The consensus across eight analysts currently sits at a Hold, with an average target of $137.14.
One complication is limited Wall Street coverage. Several analysts work at firms involved in the SpaceX IPO underwriting and are holding off on reports until after pricing.
EchoStar’s Balance Sheet Has Real Weight
EchoStar is not a pure SpaceX play. The company carries roughly $22 billion in debt and runs a satellite TV business. It also received $23 billion in cash from a spectrum sale to AT&T. Its debt-to-equity ratio stands at 3.17.
The company’s 1-year high is $147.25. Its current ratio is 0.30, and its 200-day moving average sits at $107.69.
On the institutional side, Gamco Investors raised its EchoStar stake by 83.4% in Q4, ending with about 148,698 units worth $16.16 million. DLD Asset Management initiated a position worth approximately $2.48 billion in Q3. Carl Icahn also entered in Q3 with a position worth around $332 million.
Insiders hold 55.90% of the company. COO John Swieringa sold about 50,000 units in March at $113.58, and CEO Hamid Akhavan sold around 71,000 units at $107.52 the same week.
EchoStar reported Q1 EPS of -$0.51, missing estimates of -$0.48. Revenue came in at $3.67 billion, slightly above the $3.65 billion consensus. The company did not hold an earnings call with the results.
🚨 Our MAY Stock Picks Are Live!
A new month means new opportunities. Our analysts have just released their top stock picks for May, highlighting companies with strong momentum that rank highly on our KO Score algorithm. We’re also now sharing trade ideas for both long-term and short-term investors, giving you more ways to spot potential opportunities in the market.
Sign up to Knockout Stocks today and get 50% off to unlock the full list and see which stocks made the cut.
Use coupon code Special50 for your exclusive discount!
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
