Recent News
On February 12, 2026 Telesat Government Solutions announced award under the U.S. Missile Defense Agency SHIELD IDIQ framework and disclosed collaboration items tied to Lightspeed, signaling government procurement traction. On January 26, 2026 Telesat signed a memorandum of understanding with Hanwha Systems to collaborate on sovereign LEO connectivity and compatible user terminals. The FCC granted a 30‑day special temporary authority for a Telesat earth station beginning January 21, 2026.
Technical Analysis
Directional indicators show an emerging strength: ADX at 21.63 indicates trend emergence rather than a strong trend, while DI+ sits at 27.49 and has undergone a peak‑and‑reversal, which reads as bearish pressure from buyers despite the ADX reading. DI– at 15.51 is decreasing, which reads as reduced selling pressure and therefore bullish for directional balance.
MACD at 1.08 with the signal line at 0.49 and an increasing MACD trend constitutes a bullish momentum signal because MACD has crossed above its signal line; momentum has accelerated on recent price gains.
MRO at 19.56 and rising indicates the market price sits above the model target, implying a tendency toward mean reversion downward while the oscillator strength grew; that dynamic moderates purely momentum‑based bullishness.
RSI at 53.73 and increasing signals constructive near‑term momentum without overbought extremes, supporting continuation of the short‑term advance so long as momentum does not stall.
Price sits above short and long moving averages: 12‑day EMA at $32.03 (increasing), 20‑day average $31.20, 50‑day average $30.17 and 200‑day average $26.12, which supports short‑term bullish price bias relative to longer averages. Price near the 1‑sigma upper Bollinger band ($34.03) shows proximity to the short‑term upper volatility band rather than an extended breakout.
Volume at 195,076 exceeds the 10‑day average of 128,788 and the 50/200‑day averages, indicating above‑average participation on recent moves. SuperTrend lower support sits near $29.24; short‑term technical support and the 20/50 day averages cluster in the $29–31 range.
Fundamental Analysis
Profitability remains impaired: EBIT equals -$83,439,000 and EBITDA equals -$45,957,000, translating to an EBIT margin of -82.56%. Industry peer mean EBIT margin stands near 13.55% and industry peer median near 15.86%, so EBIT margin sits well below industry peer mean and median. QoQ change in EBIT margin equals -165.89% and YoY change equals -186.28%, reflecting steep margin deterioration relative to recent periods.
Top‑line contraction shows meaningful declines: total revenue $101,060,000 with revenue growth QoQ at -47.83% and revenue growth YoY at -48.19%, confirming the company navigates a material revenue downshift in legacy businesses while Lightspeed commercialization ramps.
Liquidity and cash flow present mixed signals. Cash and short‑term investments total $483,047,000 and beginning period cash flow reported $547,386,000, while operating cash flow registers negative at -$11,346,000 and free cash flow at -$41,679,000. Cash flow margin equals 21.24%, but free cash flow yield at -10.25% and free cash flow growth QoQ at -77.50% underscore cash‑burn pressure tied to investment and working capital timing.
Leverage and capitalization reflect a stretched balance sheet: total debt $3,309,132,000 against total equity $667,024,000 produces a debt‑to‑equity ratio of 496.10% and debt‑to‑assets of 47.78%. Net debt stands at $2,826,527,000 versus market capitalization $406,703,366, leaving enterprise value materially higher at $3,232,788,366 and an enterprise multiple recorded as -70.34 in the provided valuation framework. Interest expense equals $54,465,000 with interest coverage negative at -1.53, evidencing limited current earnings cushion for interest payments.
Operational efficiency metrics show low asset turnover at 0.01477 versus an industry peer mean near 0.08242 for asset turnover, and receivables turnover 1.94 with days sales outstanding roughly 47 days. Gross margin remains high at 95.28% but does not offset operating losses and heavy capital spending: capital expenditures totaled -$30,333,000 and capex‑to‑revenue equals -30.02%.
Valuation summary: WMDST values the stock as over‑valued. Key drivers: negative EBIT and EBITDA, heavy leverage (debt‑to‑equity ~496%), negative free cash flow yield, and steep revenue declines. Offsetting factors include substantial cash ($483.0M) and confirmed Lightspeed commercial traction reflected in recent contract activity; however, capital needs and interest burden sustain an elevated valuation discount under WMDST’s framework.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-09-30 |
| REPORT DATE: | 2025-11-04 |
| NEXT REPORT DATE: | 2026-02-03 |
| CASH FLOW | Begin Period Cash Flow | $ 547.4 M |
| Operating Cash Flow | $ -11.35 M | |
| Capital Expenditures | $ -30.33 M | |
| Change In Working Capital | $ -33.61 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ -64.78 M | |
| End Period Cash Flow | $ 482.6 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 101.1 M | |
| Forward Revenue | $ 19.3 M | |
| COSTS | ||
| Cost Of Revenue | $ 4.8 M | |
| Depreciation | $ 26.2 M | |
| Depreciation and Amortization | $ 37.5 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 95.3 M | |
| PROFITABILITY | ||
| Gross Profit | $ 96.3 M | |
| EBITDA | $ -45.96 M | |
| EBIT | $ -83.44 M | |
| Operating Income | $ 5.7 M | |
| Interest Income | $ 6.0 M | |
| Interest Expense | $ 54.5 M | |
| Net Interest Income | $ -48.48 M | |
| Income Before Tax | $ -137.90 M | |
| Tax Provision | $ -16.82 M | |
| Tax Rate | 12.2 % | |
| Net Income | $ -35.27 M | |
| Net Income From Continuing Operations | $ -121.08 M | |
| EARNINGS | ||
| EPS Estimate | — | |
| EPS Actual | — | |
| EPS Difference | — | |
| EPS Surprise | — | |
| Forward EPS | $ -1.82 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 6.9 B | |
| Intangible Assets | $ 3.0 B | |
| Net Tangible Assets | $ -2.34 B | |
| Total Current Assets | $ 840.5 M | |
| Cash and Short-Term Investments | $ 483.0 M | |
| Cash | $ 482.6 M | |
| Net Receivables | $ 53.2 M | |
| Inventory | — | |
| Long-Term Investments | $ 396.4 M | |
| LIABILITIES | ||
| Accounts Payable | $ 111.6 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 204.4 M | |
| Net Debt | $ 2.8 B | |
| Total Debt | $ 3.3 B | |
| Total Liabilities | $ 4.7 B | |
| EQUITY | ||
| Total Equity | $ 667.0 M | |
| Retained Earnings | $ 452.1 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 45.07 | |
| Shares Outstanding | 14.798 M | |
| Revenue Per-Share | $ 6.83 | |
| VALUATION | Market Capitalization | $ 406.7 M |
| Enterprise Value | $ 3.2 B | |
| Enterprise Multiple | -70.344 | |
| Enterprise Multiple QoQ | -505.003 % | |
| Enterprise Multiple YoY | 1217.946 % | |
| Enterprise Multiple IPRWA | high: 60.377 mean: 6.309 median: -2.794 low: -63.738 TSAT: -70.344 |
|
| EV/R | 31.989 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 10.383 | |
| Asset To Liability | 1.481 | |
| Debt To Capital | 0.832 | |
| Debt To Assets | 0.478 | |
| Debt To Assets QoQ | 1.265 % | |
| Debt To Assets YoY | 17794.382 % | |
| Debt To Assets IPRWA | high: 0.907 median: 0.675 mean: 0.651 TSAT: 0.478 low: 0.023 |
|
| Debt To Equity | 4.961 | |
| Debt To Equity QoQ | 5.278 % | |
| Debt To Equity YoY | 21803.046 % | |
| Debt To Equity IPRWA | high: 12.228 TSAT: 4.961 median: 4.399 mean: 4.286 low: 0.031 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 0.61 | |
| Price To Book QoQ | 27.826 % | |
| Price To Book YoY | 173.287 % | |
| Price To Book IPRWA | high: 2.762 median: 2.664 mean: 2.614 TSAT: 0.61 low: -2.85 |
|
| Price To Earnings (P/E) | — | |
| Price To Earnings QoQ | — | |
| Price To Earnings YoY | — | |
| Price To Earnings IPRWA | — | |
| PE/G Ratio | — | |
| Price To Sales (P/S) | 4.024 | |
| Price To Sales QoQ | 32.374 % | |
| Price To Sales YoY | 234.515 % | |
| Price To Sales IPRWA | high: 5.123 median: 5.123 mean: 4.876 TSAT: 4.024 low: 0.998 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | -12.534 | |
| Forward PE/G | — | |
| Forward P/S | 21.051 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 34.224 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.015 | |
| Asset Turnover Ratio QoQ | -3.401 % | |
| Asset Turnover Ratio YoY | -32.061 % | |
| Asset Turnover Ratio IPRWA | high: 0.29 mean: 0.082 low: 0.069 median: 0.069 TSAT: 0.015 |
|
| Receivables Turnover | 1.943 | |
| Receivables Turnover Ratio QoQ | 3.591 % | |
| Receivables Turnover Ratio YoY | -4.841 % | |
| Receivables Turnover Ratio IPRWA | TSAT: 1.943 high: 1.853 mean: 1.206 median: 1.177 low: 1.058 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 46.971 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | -2070.086 | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 63.319 mean: 24.989 median: 18.766 low: -39.776 TSAT: -2070.086 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.159 | |
| CapEx To Revenue | -0.3 | |
| CapEx To Depreciation | -1.159 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 4.0 B | |
| Net Invested Capital | $ 4.0 B | |
| Invested Capital | $ 4.0 B | |
| Net Tangible Assets | $ -2.34 B | |
| Net Working Capital | $ 636.2 M | |
| LIQUIDITY | ||
| Cash Ratio | 2.364 | |
| Current Ratio | 4.113 | |
| Current Ratio QoQ | -19.056 % | |
| Current Ratio YoY | -5.663 % | |
| Current Ratio IPRWA | TSAT: 4.113 high: 2.738 mean: 0.963 median: 0.606 low: 0.509 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -72.005 | |
| Cost Of Debt | 1.472 % | |
| Interest Coverage Ratio | -1.532 | |
| Interest Coverage Ratio QoQ | -161.795 % | |
| Interest Coverage Ratio YoY | -168.779 % | |
| Interest Coverage Ratio IPRWA | high: 2.021 median: 2.021 mean: 1.622 TSAT: -1.532 low: -3.48 |
|
| Operating Cash Flow Ratio | 0.105 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 2117.057 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 2.542 % | |
| Revenue Growth | -4.756 % | |
| Revenue Growth QoQ | -47.828 % | |
| Revenue Growth YoY | -48.186 % | |
| Revenue Growth IPRWA | high: 19.75 % mean: -2.586 % median: -2.972 % TSAT: -4.756 % low: -7.526 % |
|
| Earnings Growth | — | |
| Earnings Growth QoQ | — | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | — | |
| MARGINS | ||
| Gross Margin | 95.278 % | |
| Gross Margin QoQ | -0.655 % | |
| Gross Margin YoY | -0.244 % | |
| Gross Margin IPRWA | TSAT: 95.278 % high: 53.088 % mean: 31.026 % median: 23.584 % low: -11.487 % |
|
| EBIT Margin | -82.564 % | |
| EBIT Margin QoQ | -165.889 % | |
| EBIT Margin YoY | -186.275 % | |
| EBIT Margin IPRWA | high: 15.86 % median: 15.86 % mean: 13.554 % low: -38.641 % TSAT: -82.564 % |
|
| Return On Sales (ROS) | 5.666 % | |
| Return On Sales QoQ | -66.35 % | |
| Return On Sales YoY | -94.079 % | |
| Return On Sales IPRWA | high: 14.608 % TSAT: 5.666 % mean: 0.241 % median: -4.438 % low: -20.032 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -41.68 M | |
| Free Cash Flow Yield | -10.248 % | |
| Free Cash Flow Yield QoQ | -49.814 % | |
| Free Cash Flow Yield YoY | -7.526 % | |
| Free Cash Flow Yield IPRWA | high: 4.059 % mean: -0.777 % median: -1.333 % low: -6.053 % TSAT: -10.248 % |
|
| Free Cash Growth | -36.724 % | |
| Free Cash Growth QoQ | -77.501 % | |
| Free Cash Growth YoY | 146.702 % | |
| Free Cash Growth IPRWA | high: 24.599 % TSAT: -36.724 % median: -66.611 % mean: -67.996 % low: -189.092 % |
|
| Free Cash To Net Income | 1.182 | |
| Cash Flow Margin | 21.242 % | |
| Cash Flow To Earnings | -0.609 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | -0.516 % | |
| Return On Assets QoQ | -270.297 % | |
| Return On Assets YoY | -283.63 % | |
| Return On Assets IPRWA | high: 0.62 % median: 0.62 % mean: 0.343 % TSAT: -0.516 % low: -5.639 % |
|
| Return On Capital Employed (ROCE) | -1.241 % | |
| Return On Equity (ROE) | -0.053 | |
| Return On Equity QoQ | -270.306 % | |
| Return On Equity YoY | -320.517 % | |
| Return On Equity IPRWA | high: 0.158 median: 0.031 mean: 0.021 TSAT: -0.053 low: -0.206 |
|
| DuPont ROE | -5.25 % | |
| Return On Invested Capital (ROIC) | -1.843 % | |
| Return On Invested Capital QoQ | -156.24 % | |
| Return On Invested Capital YoY | -84.122 % | |
| Return On Invested Capital IPRWA | high: 1.488 % median: 1.488 % mean: 1.207 % TSAT: -1.843 % low: -6.79 % |
|