Recent News
July 27, 2026 — Telesat GEO announced readiness to execute an FCC Upper C‑band transition plan tied to U.S. spectrum changes. July 8–9, 2026 — Telesat reported corporate actions including board changes and an agreement in principle to provide Military Ka‑band Arctic connectivity as part of a multi‑billion‑dollar Lightspeed services arrangement. Early July 2026 — the company donated satellite capacity to support disaster recovery in Venezuela. Early August 2026 — the Canadian government awarded Telesat a large Arctic military satellite services contract reported in the press as the company’s largest to date.
Technical Analysis
ADX/DI: ADX at 17.8 indicates no established trend; DI+ shows a dip & reversal and DI‑ shows a peak & reversal — both DI signals read as bullish momentum signals, but the weak ADX reduces conviction and points toward range trading rather than a sustained directional move.
MACD: MACD shows a dip & reversal (bullish momentum), but MACD remains below the 0.51 signal line, so no bullish crossover has formed to confirm stronger momentum.
MRO: MRO at 26.75 sits positive, implying price currently above the model target and therefore creating potential downward pressure on the quote.
RSI: RSI 47.59 and decreasing signals neutral-to-soft selling pressure that leaves room for further downside before reaching oversold conditions.
Price vs. Moving Averages and Ichimoku: Price $42.94 sits below the 20‑day average ($46.83) and the 50‑day average ($44.39) but above the 200‑day average ($39.07). The 12‑day EMA shows a dip & reversal while Ichimoku lines (Tenkan 51.63, Kijun 47.84) lie above the price, indicating short‑term resistance from the conversion/base lines and a cloud that does not support a clear bullish breakout.
Bollinger & Volatility: Price sits between the 1x lower band ($40.76) and the 1x upper band ($52.90), with 42‑day volatility elevated and 42‑day beta very high at 5.97, implying outsized intraday and swing volatility versus the market.
Volume Profile: Recent volume (98,722) trails 10/50/200‑day averages, a short‑term liquidity taper that can exacerbate moves when catalysts arrive.
Fundamental Analysis
Profitability: Total revenue $87,060,000 yet operating margin stands at −93.457% and EBIT margin at −126.742%, reflecting large non‑operating adjustments and expense loads relative to revenue. EBIT margin compares unfavorably to the industry peer mean of 12.201% and industry peer median of 11.573%, placing Telesat well below customary peer profitability levels.
Cash Flow & Liquidity: Cash and short‑term investments total $523,151,000, while operating cash flow measured $3,620,000 and free cash flow stands negative at −$39,525,000 (free cash flow yield −6.48%). The free cash flow yield sits below the industry peer mean (~0.99%), signaling cash generation currently lags peers. Current ratio at 0.25 compares below the industry peer mean of 0.5895, indicating compressed near‑term liquidity relative to typical peer profiles.
Balance Sheet Leverage: Total debt $3,644,812,000 and net debt $3,122,087,000 exceed market capitalization $609,920,999; debt‑to‑equity at 7.02x and debt‑to‑assets 54.47% highlight heavy leverage. Interest coverage is negative (−2.21), consistent with reported interest expense of $50,461,000 and recurring operating losses, which supports a constrained near‑term financial flexibility assessment.
Revenue & Margins Dynamics: YoY revenue declined ~15.51% while QoQ revenue growth showed a modest 6.88% uptick. Gross margin remains high at 90.09%, well above the industry peer mean of 35.07%, reflecting high‑margin satellite capacity economics on reported sales, but equally large fixed and financing costs depress operating profitability.
Valuation Context: Market multiples show price‑to‑sales ~7.01x and price‑to‑book ~1.18x. Price metrics sit below some industry peer means for price ratios (industry peer mean P/S ~8.28, P/B mean ~5.44), but leverage, negative operating margins, and negative free cash flow drive WMDST’s view. The current valuation as determined by WMDST: over‑valued, reflecting weak operating margins, negative free cash flow yield, and net debt materially above market cap.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-03-31 |
| REPORT DATE: | 2026-05-05 |
| NEXT REPORT DATE: | 2026-08-04 |
| CASH FLOW | Begin Period Cash Flow | $ 509.8 M |
| Operating Cash Flow | $ 3.6 M | |
| Capital Expenditures | $ -43.15 M | |
| Change In Working Capital | $ 12.8 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 12.9 M | |
| End Period Cash Flow | $ 522.7 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 87.1 M | |
| Forward Revenue | $ 13.3 M | |
| COSTS | ||
| Cost Of Revenue | $ 8.6 M | |
| Depreciation | $ 22.1 M | |
| Depreciation and Amortization | $ 30.7 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 86.1 M | |
| PROFITABILITY | ||
| Gross Profit | $ 78.4 M | |
| EBITDA | $ -79.10 M | |
| EBIT | $ -109.84 M | |
| Operating Income | $ 983.0 K | |
| Interest Income | $ 4.7 M | |
| Interest Expense | $ 50.5 M | |
| Net Interest Income | $ -45.81 M | |
| Income Before Tax | $ -160.30 M | |
| Tax Provision | $ -9.35 M | |
| Tax Rate | 5.83 % | |
| Net Income | $ -45.49 M | |
| Net Income From Continuing Operations | $ -150.95 M | |
| EARNINGS | ||
| EPS Estimate | — | |
| EPS Actual | — | |
| EPS Difference | — | |
| EPS Surprise | — | |
| Forward EPS | $ -1.82 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 6.7 B | |
| Intangible Assets | $ 2.6 B | |
| Net Tangible Assets | $ -2.07 B | |
| Total Current Assets | $ 857.8 M | |
| Cash and Short-Term Investments | $ 523.2 M | |
| Cash | $ 522.7 M | |
| Net Receivables | $ 58.8 M | |
| Inventory | — | |
| Long-Term Investments | $ 326.4 M | |
| LIABILITIES | ||
| Accounts Payable | $ 88.8 M | |
| Short-Term Debt | $ 2.4 B | |
| Total Current Liabilities | $ 3.4 B | |
| Net Debt | $ 3.1 B | |
| Total Debt | $ 3.6 B | |
| Total Liabilities | $ 5.0 B | |
| EQUITY | ||
| Total Equity | $ 519.0 M | |
| Retained Earnings | $ 284.7 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 34.11 | |
| Shares Outstanding | 15.218 M | |
| Revenue Per-Share | $ 5.72 | |
| VALUATION | Market Capitalization | $ 609.9 M |
| Enterprise Value | $ 3.7 B | |
| Enterprise Multiple | -46.879 | |
| Enterprise Multiple QoQ | 439.464 % | |
| Enterprise Multiple YoY | -172.046 % | |
| Enterprise Multiple IPRWA | high: 364.299 median: 102.901 mean: 99.062 TSAT: -46.879 low: -79.796 |
|
| EV/R | 42.862 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 12.894 | |
| Asset To Liability | 1.331 | |
| Debt To Capital | 0.875 | |
| Debt To Assets | 0.545 | |
| Debt To Assets QoQ | 1.785 % | |
| Debt To Assets YoY | 15.733 % | |
| Debt To Assets IPRWA | high: 0.938 median: 0.682 mean: 0.681 TSAT: 0.545 low: 0.025 |
|
| Debt To Equity | 7.023 | |
| Debt To Equity QoQ | 5.49 % | |
| Debt To Equity YoY | 48.404 % | |
| Debt To Equity IPRWA | high: 9.666 TSAT: 7.023 mean: 5.201 median: 5.014 low: 0.034 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.175 | |
| Price To Book QoQ | 43.421 % | |
| Price To Book YoY | 225.743 % | |
| Price To Book IPRWA | high: 6.055 median: 6.055 mean: 5.439 TSAT: 1.175 low: -2.809 |
|
| 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) | 7.006 | |
| Price To Sales QoQ | 51.476 % | |
| Price To Sales YoY | 219.944 % | |
| Price To Sales IPRWA | high: 9.297 median: 9.297 mean: 8.278 TSAT: 7.006 low: 1.156 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | -17.988 | |
| Forward PE/G | — | |
| Forward P/S | 45.968 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 10.054 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.013 | |
| Asset Turnover Ratio QoQ | -5.755 % | |
| Asset Turnover Ratio YoY | -21.084 % | |
| Asset Turnover Ratio IPRWA | high: 0.185 mean: 0.09 low: 0.087 median: 0.087 TSAT: 0.013 |
|
| Receivables Turnover | 1.948 | |
| Receivables Turnover Ratio QoQ | -13.261 % | |
| Receivables Turnover Ratio YoY | -7.747 % | |
| Receivables Turnover Ratio IPRWA | high: 2.896 median: 2.896 mean: 2.554 TSAT: 1.948 low: 1.022 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 46.843 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | -575.311 | |
| Cash Conversion Cycle Days QoQ | -46.515 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 87.382 mean: 31.178 median: 25.62 low: -15.704 TSAT: -575.311 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -0.034 | |
| CapEx To Revenue | -0.496 | |
| CapEx To Depreciation | -1.95 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.8 B | |
| Net Invested Capital | $ 4.2 B | |
| Invested Capital | $ 4.2 B | |
| Net Tangible Assets | $ -2.07 B | |
| Net Working Capital | $ -2.56 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.153 | |
| Current Ratio | 0.251 | |
| Current Ratio QoQ | 0.211 % | |
| Current Ratio YoY | -95.539 % | |
| Current Ratio IPRWA | high: 2.807 mean: 0.59 low: 0.302 median: 0.302 TSAT: 0.251 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -45.789 | |
| Cost Of Debt | 1.311 % | |
| Interest Coverage Ratio | -2.209 | |
| Interest Coverage Ratio QoQ | -72.866 % | |
| Interest Coverage Ratio YoY | -2067.661 % | |
| Interest Coverage Ratio IPRWA | high: 6.356 mean: 0.956 median: 0.716 low: -0.977 TSAT: -2.209 |
|
| Operating Cash Flow Ratio | 0.012 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 622.154 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 1.337 % | |
| Revenue Growth | -7.423 % | |
| Revenue Growth QoQ | 6.883 % | |
| Revenue Growth YoY | -15.513 % | |
| Revenue Growth IPRWA | high: 46.58 % mean: -1.304 % median: -3.386 % TSAT: -7.423 % low: -18.824 % |
|
| Earnings Growth | — | |
| Earnings Growth QoQ | — | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | — | |
| MARGINS | ||
| Gross Margin | 90.087 % | |
| Gross Margin QoQ | -2.785 % | |
| Gross Margin YoY | -4.413 % | |
| Gross Margin IPRWA | TSAT: 90.087 % high: 56.232 % mean: 35.065 % median: 30.874 % low: 3.739 % |
|
| EBIT Margin | -126.742 % | |
| EBIT Margin QoQ | -72.602 % | |
| EBIT Margin YoY | -2415.768 % | |
| EBIT Margin IPRWA | high: 19.556 % mean: 12.201 % median: 11.573 % low: -13.001 % TSAT: -126.742 % |
|
| Return On Sales (ROS) | -93.457 % | |
| Return On Sales QoQ | -1417.781 % | |
| Return On Sales YoY | -1807.601 % | |
| Return On Sales IPRWA | high: 18.983 % mean: 10.24 % median: 8.908 % low: -21.596 % TSAT: -93.457 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -39.52 M | |
| Free Cash Flow Yield | -6.48 % | |
| Free Cash Flow Yield QoQ | -59.998 % | |
| Free Cash Flow Yield YoY | -115.901 % | |
| Free Cash Flow Yield IPRWA | high: 5.766 % mean: 0.989 % median: 0.308 % low: -3.209 % TSAT: -6.48 % |
|
| Free Cash Growth | -43.9 % | |
| Free Cash Growth QoQ | -163.586 % | |
| Free Cash Growth YoY | -93.362 % | |
| Free Cash Growth IPRWA | high: 369.348 % TSAT: -43.9 % mean: -81.487 % low: -117.971 % median: -117.971 % |
|
| Free Cash To Net Income | 0.869 | |
| Cash Flow Margin | 46.694 % | |
| Cash Flow To Earnings | -0.894 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | -0.684 % | |
| Return On Assets QoQ | -63.147 % | |
| Return On Assets YoY | 209.502 % | |
| Return On Assets IPRWA | high: 3.0 % mean: -0.085 % median: -0.348 % TSAT: -0.684 % low: -3.31 % |
|
| Return On Capital Employed (ROCE) | -3.365 % | |
| Return On Equity (ROE) | -0.088 | |
| Return On Equity QoQ | -62.936 % | |
| Return On Equity YoY | 299.726 % | |
| Return On Equity IPRWA | high: 0.19 mean: -0.008 median: -0.026 TSAT: -0.088 low: -0.261 |
|
| DuPont ROE | -8.67 % | |
| Return On Invested Capital (ROIC) | -2.496 % | |
| Return On Invested Capital QoQ | -73.965 % | |
| Return On Invested Capital YoY | -2755.319 % | |
| Return On Invested Capital IPRWA | high: 1.244 % median: 1.244 % mean: 1.166 % low: -2.101 % TSAT: -2.496 % |
|