Can’t Invest in SpaceX Directly? EchoStar (SATS) Stock Offers Exposure

TLDR

• EchoStar (SATS) owns a stake exceeding 2% in SpaceX, acquired by swapping spectrum for equity in late 2025, and its share price has risen twofold since the agreement.
• SpaceX’s initial public offering filing is anticipated as soon as this week, with a prospective valuation ranging from $1.5 trillion to $2 trillion.
• TD Cowen increased its EchoStar price target to $155 from $129, reiterating a Buy rating, and New Street Research established a $161 target with a Buy.
• EchoStar’s SpaceX equity holding is worth approximately $31 billion, though the firm has about $22 billion in debt and operates a satellite television business.
• Institutional investors currently hold 33.62% of EchoStar, with Gamco Investors enlarging its position by 83.4% in the fourth quarter.

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(SeaPRwire) –   EchoStar (SATS) has emerged as a discreetly popular method on Wall Street to gain investment exposure to SpaceX. As the IPO filing could be just days away, this focus is intensifying.

EchoStar Corporation, SATS

The narrative began in late 2025 when EchoStar exchanged a portion of its wireless spectrum with SpaceX for equity valued at roughly $11.1 billion, priced at $212 per SpaceX share at the time. This transaction gave EchoStar an estimated 525 million SpaceX shares, equating to a stake slightly above 2%.

SATS shares closed at $136.45 on Monday, declining 0.5% for the day. This price is approximately double its level before the spectrum deal was revealed.

TD Cowen analyst Gregory Williams revised his forecast on Sunday, raising his price target to $155 from $129 and sustaining a Buy recommendation. His assessment presumes SpaceX achieves a $1.75 trillion market capitalization, incorporating tax adjustments and applying a 10% conglomerate discount to all of EchoStar’s assets.

Using this framework, Williams values EchoStar’s SpaceX equity at about $31 billion. This equates to roughly $600 per SpaceX share. Recent private market deals are said to have placed the price nearer to $650.

SpaceX IPO Could Be a Catalyst

Bloomberg reported last week that SpaceX intends to execute a five-for-one stock split prior to the IPO, which would reduce the per-share price to around $100. A lower share price typically attracts a wider pool of investors.

The IPO may raise $75 billion or more and could value SpaceX from $1.5 trillion to $2 trillion. Analysts indicate that if the upper end of that range is achieved, EchoStar’s stock might have further upside potential.

New Street Research began coverage of EchoStar on May 13 with a Buy rating and a $161 price target. The consensus among eight analysts is currently a Hold, with an average target of $137.14.

A limiting factor is sparse Wall Street coverage. Several analysts are affiliated with firms underwriting the SpaceX IPO and are delaying reports until after the pricing is set.

EchoStar’s Balance Sheet Has Real Weight

EchoStar is not a pure investment in SpaceX. The company has approximately $22 billion in debt and manages a satellite TV operation. It also obtained $23 billion in cash from a spectrum sale to AT&T. Its debt-to-equity ratio is 3.17.

The stock’s 52-week high is $147.25. Its current ratio is 0.30, and its 200-day moving average is $107.69.

Regarding institutional activity, Gamco Investors increased its EchoStar holding by 83.4% in Q4, finishing with about 148,698 shares valued at $16.16 million. DLD Asset Management started a position worth roughly $2.48 billion in Q3. Carl Icahn also established a position in Q3 valued at around $332 million.

Company insiders own 55.90% of EchoStar. COO John Swieringa sold approximately 50,000 shares in March at $113.58 each, and CEO Hamid Akhavan sold about 71,000 shares at $107.52 during the same week.

EchoStar reported a first-quarter loss per share of $0.51, worse than the estimated loss of $0.48. Revenue was $3.67 billion, marginally exceeding the $3.65 billion consensus forecast. The company did not conduct an earnings call to discuss the results.