Key Highlights
- Oppenheimer launched coverage of Viasat (VSAT) with an “Outperform” designation and $140 price objective, suggesting approximately 96% potential gain from the previous closing price.
- Shares climbed $9.40 to reach $71.35 on Monday, trading within a 52-week range spanning from $14.00 to $89.79.
- The company’s Q3 results fell short, with EPS missing by $0.34 at ($0.02) versus analyst expectations of $0.32, alongside revenue shortfall of approximately $30 million.
- Louisiana State Employees Retirement System established a fresh stake valued at roughly $2.76 million during Q1; institutional holders control 86.05% of outstanding shares.
- Company executives and directors divested 438,275 shares totaling more than $28.6 million during the last three months, with notable transactions from the CFO and a board member.
On Monday, Oppenheimer launched coverage of Viasat (VSAT) with an “Outperform” rating alongside a $140 price objective — representing nearly a 100% increase from current trading levels. The stock traded at $71.35 Monday, gaining $9.40 during the session, which places Oppenheimer’s projection at roughly a 96% premium over that closing price.
This represents a bold projection for shares that have experienced significant volatility throughout the year. VSAT bottomed at $14.00 during the past 12 months before mounting a recovery. During that same timeframe, shares peaked at $89.79.
The equity’s 50-day moving average sits at $68.04 while the 200-day moving average rests at $52.63, indicating Monday’s closing price exceeded both technical benchmarks.
Oppenheimer isn’t alone in its optimistic outlook. B. Riley increased its price objective from $94 to $106 with a “Buy” rating on May 29. New Street Research launched coverage with a “Buy” designation and $100 target on May 13. Deutsche Bank maintained a “Buy” recommendation with a $97 objective on June 1. Raymond James established a $74 target accompanied by an “Outperform” rating on April 24.
Barclays maintains a more conservative stance with a $49 target. Weiss Ratings assigns the stock a “Sell (D-)” recommendation.
The overall analyst consensus registers at “Moderate Buy” with average price targets ranging from approximately $77 to $84 across different sources. Ten Wall Street analysts track the company: one rates it Strong Buy, seven recommend Buy, one suggests Hold, and one advises Sell.
Quarterly Results Fall Short of Expectations
On May 28, Viasat unveiled Q3 financial results that underwhelmed investors. The company reported EPS of ($0.02), falling short of the $0.32 consensus forecast by $0.34. Revenue totaled $1.17 billion compared to Wall Street’s projection of $1.20 billion — representing a miss of approximately $30 million.
Revenue increased 2.1% compared to the prior year period, with the company delivering identical EPS figures year-over-year. The net margin registered at -0.73%, while return on equity showed a modest positive reading of 1.58%.
Analyst projections place full-year EPS at -$0.39. The company’s market capitalization ranges between approximately $8.46 and $9.74 billion based on daily price fluctuations, with a debt-to-equity ratio of 1.35.
Institutional Accumulation Contrasts with Executive Sales
Louisiana State Employees Retirement System initiated a new holding during Q1, acquiring 60,200 shares with an approximate value of $2.76 million. This contributes to an already substantial institutional ownership structure — institutions control 86.05% of VSAT shares.
Several significant institutional moves occurred recently. Disciplined Growth Investors expanded its position by 796,349 shares in Q2, elevating its total holdings to 5.85 million. T. Rowe Price executed a substantial increase — up 2,821.7% in Q4 — accumulating over 3.1 million additional shares.
Meanwhile, corporate insiders have been reducing their stakes. CFO Garrett L. Chase divested 4,000 shares on June 22 at $62.41 per share, trimming his holdings by 10.46%. Director Richard A. Baldridge sold 27,122 shares on June 3 at $71.74 each, representing an 11.28% reduction of his position.
Cumulatively, insiders offloaded 438,275 shares valued at $28.6 million throughout the past 90 days. Current insider ownership represents 2.20% of the company.
Monday’s session saw VSAT open at $61.95 before rallying to close at $71.35.
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