Recent News
On February 12, 2026 Telesat Government Solutions won a place on the U.S. Missile Defense Agency SHIELD IDIQ contract, expanding government work in the defense sector. On March 17, 2026 the company announced the addition of 500 MHz of military Ka-band spectrum to the Lightspeed LEO constellation to support allied defense demand. On April 2, 2026 Telesat formalized a multi-year agreement to provide Lightspeed LEO services to Northwestel for rural broadband. On April 27, 2026 the company renamed a legacy GEO operating subsidiary to Telesat GEO Inc.
Technical Analysis
Directional indicators show an emerging directional bias: ADX at 24.94 signals an emerging trend. DI+ sits at 25.35 with a dip-and-reverse pattern, which reads as bullish; DI- at 16.38 shows a peak-and-reverse, which also reads as bullish. These directional changes support continuation of the recent upside bias.
MACD registers 2.80 versus a signal line at 2.62 and shows a dip-and-reverse pattern; the MACD crossing above its signal line indicates bullish momentum and aligns with the DI+ improvement for near-term price strength.
MRO reads 36.87 and shows a dip-and-reverse. Because the MRO is positive, the price currently sits above the regression target and carries a tendency to mean-revert. That creates a measurable pullback risk beneath the bullish momentum signals.
RSI at 59.97 with a dip-and-reverse pattern signals renewed buying pressure without overbought extremes. Price sits above short-, medium- and long-term averages—20-day avg $49.32, 50-day avg $42.81, 200-day avg $31.27—and the 12-day EMA is increasing, which corroborates the bullish momentum context.
Bollinger context shows price near the 1× upper band (upper 1σ ≈ $53.00; close $53.21), implying short-term extension. Volume at 180,061 runs slightly below the 10-day average of 188,863, suggesting the recent move lacks heavy follow-through volume. High 42-day and 52-week betas (2.61 and 2.28) point to above-market volatility; combine that with the MRO signal and a cautious near-term profile emerges despite momentum crossovers.
Fundamental Analysis
Revenue totaled $94,041,000 with gross profit $87,146,000, yielding a gross margin of 92.67%. Operating income $6,669,000 produced an operating margin of 7.09%.
Reported EBIT totaled -$435,035,000, producing an EBIT margin of -4.63%. That EBIT margin sits above the industry peer mean of -5.75% and above the industry peer median of -9.54%, indicating relatively better EBIT performance versus peers despite the absolute negative EBIT. QoQ movement shows an EBIT-margin improvement (EBIT margin QoQ +460.29%), and YoY change shows EBIT margin up 33.82% year-over-year.
Top-line momentum displays a QoQ revenue lift of 46.03% but a YoY revenue decline of -7.95%. Receivables turnover stands at 2.25x with days sales outstanding ~40.63 days, while days payables outstanding sits at an extreme 1,116 days. The cash conversion cycle reads -1,075.65 days, a very large negative value that reflects extended payable terms more than collection efficiency; that working-capital profile materially shapes liquidity dynamics.
Liquidity shows $509,798,000 cash and $510,228,000 cash and short-term investments against market capitalization of $434,938,806; cash on the balance sheet exceeds market cap. Net debt remains substantial at $2,983,809,000 and total debt $3,533,716,000. Debt-to-equity reads 665.71% (6.66x), and debt-to-assets 53.51%. Current ratio 0.25 and quick ratio 0.25 sit below the industry peer low of 0.46, highlighting compressed near-term liquidity relative to peers.
Cash flow shows operating cash flow of -$30,206,000 and free cash flow of -$70,454,000, with a free-cash-flow yield of -16.20%. Free cash growth year-over-year appears materially positive; provided data lists free cash growth YoY as 12,521.57% (reflecting a large comparator effect). Cash-flow-to-earnings sits at 137.22%, indicating cash generation relative to reported earnings differs meaningfully from net-income results.
Market multiples: price-to-book 0.82x (below the industry peer mean ~2.99x), price-to-sales 4.62x (slightly above the industry peer mean ~4.35x). Forward EPS stands negative at -$1.8225 and forward P/E at -15.35. Enterprise-value-to-revenue (EVR) reads 36.78 and WMDST assigns the current valuation as over-valued given capital structure, persistent negative free cash flow, and elevated net debt despite pockets of operational improvement.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-03 |
| NEXT REPORT DATE: | 2026-05-05 |
| CASH FLOW | Begin Period Cash Flow | $ 482.6 M |
| Operating Cash Flow | $ -30.21 M | |
| Capital Expenditures | $ -40.25 M | |
| Change In Working Capital | $ -1.93 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 27.2 M | |
| End Period Cash Flow | $ 509.8 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 94.0 M | |
| Forward Revenue | $ 5.1 M | |
| COSTS | ||
| Cost Of Revenue | $ 6.9 M | |
| Depreciation | $ 26.7 M | |
| Depreciation and Amortization | $ 37.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 87.4 M | |
| PROFITABILITY | ||
| Gross Profit | $ 87.1 M | |
| EBITDA | $ -397.99 M | |
| EBIT | $ -435.04 M | |
| Operating Income | $ 6.7 M | |
| Interest Income | $ 5.3 M | |
| Interest Expense | $ 53.4 M | |
| Net Interest Income | $ -48.14 M | |
| Income Before Tax | $ -488.48 M | |
| Tax Provision | $ -55.27 M | |
| Tax Rate | 11.315 % | |
| Net Income | $ -125.54 M | |
| Net Income From Continuing Operations | $ -433.21 M | |
| EARNINGS | ||
| EPS Estimate | — | |
| EPS Actual | — | |
| EPS Difference | — | |
| EPS Surprise | — | |
| Forward EPS | $ -1.82 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 6.6 B | |
| Intangible Assets | $ 2.7 B | |
| Net Tangible Assets | $ -2.13 B | |
| Total Current Assets | $ 832.1 M | |
| Cash and Short-Term Investments | $ 510.2 M | |
| Cash | $ 509.8 M | |
| Net Receivables | $ 30.6 M | |
| Inventory | $ 1.5 M | |
| Long-Term Investments | $ 869.0 K | |
| LIABILITIES | ||
| Accounts Payable | $ 5.2 M | |
| Short-Term Debt | $ 2.3 B | |
| Total Current Liabilities | $ 3.3 B | |
| Net Debt | $ 3.0 B | |
| Total Debt | $ 3.5 B | |
| Total Liabilities | $ 4.8 B | |
| EQUITY | ||
| Total Equity | $ 530.8 M | |
| Retained Earnings | $ 330.8 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 35.87 | |
| Shares Outstanding | 14.844 M | |
| Revenue Per-Share | $ 6.35 | |
| VALUATION | Market Capitalization | $ 434.9 M |
| Enterprise Value | $ 3.5 B | |
| Enterprise Multiple | -8.69 | |
| Enterprise Multiple QoQ | -87.647 % | |
| Enterprise Multiple YoY | 26.152 % | |
| Enterprise Multiple IPRWA | high: 179.9 median: 179.9 mean: 147.344 TSAT: -8.69 low: -24.028 |
|
| EV/R | 36.776 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 12.441 | |
| Asset To Liability | 1.366 | |
| Debt To Capital | 0.869 | |
| Debt To Assets | 0.535 | |
| Debt To Assets QoQ | 11.997 % | |
| Debt To Assets YoY | 18.734 % | |
| Debt To Assets IPRWA | high: 0.913 mean: 0.607 median: 0.588 TSAT: 0.535 low: 0.025 |
|
| Debt To Equity | 6.657 | |
| Debt To Equity QoQ | 34.187 % | |
| Debt To Equity YoY | 51.067 % | |
| Debt To Equity IPRWA | high: 10.201 TSAT: 6.657 mean: 3.808 median: 3.088 low: -10.872 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 0.819 | |
| Price To Book QoQ | 34.382 % | |
| Price To Book YoY | 119.888 % | |
| Price To Book IPRWA | high: 4.852 median: 3.149 mean: 2.988 TSAT: 0.819 low: -2.435 |
|
| 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) | 4.625 | |
| Price To Sales QoQ | 14.924 % | |
| Price To Sales YoY | 123.664 % | |
| Price To Sales IPRWA | high: 5.042 median: 5.042 TSAT: 4.625 mean: 4.351 low: 1.015 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | -15.354 | |
| Forward PE/G | — | |
| Forward P/S | 86.117 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -60.671 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.014 | |
| Asset Turnover Ratio QoQ | -5.89 % | |
| Asset Turnover Ratio YoY | -27.905 % | |
| Asset Turnover Ratio IPRWA | high: 0.335 mean: 0.129 low: 0.117 median: 0.117 TSAT: 0.014 |
|
| Receivables Turnover | 2.246 | |
| Receivables Turnover Ratio QoQ | 15.603 % | |
| Receivables Turnover Ratio YoY | -3.996 % | |
| Receivables Turnover Ratio IPRWA | TSAT: 2.246 high: 1.981 mean: 1.26 median: 1.235 low: 1.136 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 40.631 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | -1075.651 | |
| Cash Conversion Cycle Days QoQ | -48.038 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 62.438 median: 54.99 mean: 48.163 low: -25.456 TSAT: -1075.651 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | -0.038 | |
| CapEx To Revenue | -0.428 | |
| CapEx To Depreciation | -1.506 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.7 B | |
| Net Invested Capital | $ 4.0 B | |
| Invested Capital | $ 4.0 B | |
| Net Tangible Assets | $ -2.13 B | |
| Net Working Capital | $ -2.49 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.154 | |
| Current Ratio | 0.251 | |
| Current Ratio QoQ | -93.902 % | |
| Current Ratio YoY | -93.699 % | |
| Current Ratio IPRWA | high: 3.043 mean: 2.078 median: 2.072 low: 0.462 TSAT: 0.251 |
|
| Quick Ratio | 0.25 | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | -93.701 % | |
| Quick Ratio IPRWA | high: 2.656 mean: 1.256 median: 0.99 TSAT: 0.25 low: 0.067 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -8.879 | |
| Cost Of Debt | 1.385 % | |
| Interest Coverage Ratio | -8.14 | |
| Interest Coverage Ratio QoQ | 431.343 % | |
| Interest Coverage Ratio YoY | 6.654 % | |
| Interest Coverage Ratio IPRWA | high: 2.464 mean: -1.011 median: -1.352 low: -7.162 TSAT: -8.14 |
|
| Operating Cash Flow Ratio | -0.052 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 1116.283 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -4.652 % | |
| Revenue Growth | -6.945 % | |
| Revenue Growth QoQ | 46.026 % | |
| Revenue Growth YoY | -7.952 % | |
| Revenue Growth IPRWA | high: 11.397 % median: 7.596 % mean: 7.579 % low: -5.897 % TSAT: -6.945 % |
|
| Earnings Growth | — | |
| Earnings Growth QoQ | — | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | — | |
| MARGINS | ||
| Gross Margin | 92.668 % | |
| Gross Margin QoQ | -2.739 % | |
| Gross Margin YoY | 0.496 % | |
| Gross Margin IPRWA | TSAT: 92.668 % high: 56.168 % median: 56.168 % mean: 52.923 % low: 13.533 % |
|
| EBIT Margin | -462.601 % | |
| EBIT Margin QoQ | 460.294 % | |
| EBIT Margin YoY | 33.815 % | |
| EBIT Margin IPRWA | high: 24.761 % mean: -5.749 % median: -9.542 % low: -73.265 % TSAT: -462.601 % |
|
| Return On Sales (ROS) | 7.092 % | |
| Return On Sales QoQ | 25.168 % | |
| Return On Sales YoY | -102.051 % | |
| Return On Sales IPRWA | high: 41.004 % median: 19.86 % mean: 17.857 % TSAT: 7.092 % low: -16.046 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -70.45 M | |
| Free Cash Flow Yield | -16.199 % | |
| Free Cash Flow Yield QoQ | 58.07 % | |
| Free Cash Flow Yield YoY | 131.018 % | |
| Free Cash Flow Yield IPRWA | high: 8.501 % mean: 2.886 % median: 2.093 % low: -0.823 % TSAT: -16.199 % |
|
| Free Cash Growth | 69.04 % | |
| Free Cash Growth QoQ | -287.997 % | |
| Free Cash Growth YoY | 12521.572 % | |
| Free Cash Growth IPRWA | high: 112.532 % TSAT: 69.04 % median: 56.322 % mean: 15.617 % low: -236.207 % |
|
| Free Cash To Net Income | 0.561 | |
| Cash Flow Margin | -183.183 % | |
| Cash Flow To Earnings | 1.372 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.02 | |
| Return On Assets (ROA) | -1.856 % | |
| Return On Assets QoQ | 259.69 % | |
| Return On Assets YoY | -2.47 % | |
| Return On Assets IPRWA | high: 1.893 % mean: -1.241 % median: -1.503 % TSAT: -1.856 % low: -10.594 % |
|
| Return On Capital Employed (ROCE) | -13.238 % | |
| Return On Equity (ROE) | -0.237 | |
| Return On Equity QoQ | 347.258 % | |
| Return On Equity YoY | 32.998 % | |
| Return On Equity IPRWA | high: 0.246 mean: -0.048 median: -0.08 TSAT: -0.237 low: -0.698 |
|
| DuPont ROE | -20.959 % | |
| Return On Invested Capital (ROIC) | -9.587 % | |
| Return On Invested Capital QoQ | 420.184 % | |
| Return On Invested Capital YoY | -37.511 % | |
| Return On Invested Capital IPRWA | high: 4.045 % mean: -0.789 % median: -1.164 % TSAT: -9.587 % low: -18.711 % |
|