One Space Stock Defied July’s Rout – Here’s Why It Outperformed ASTS, RKLB, And SPCX

• Globalstar was supported by Amazon’s $11.6 billion takeover agreement, which gave the stock a clearer reference value than most peers.
• Amazon Leo’s proposed 5,105-satellite direct-to-device network would use Globalstar’s licensed spectrum.
• The acquisition would give Amazon Globalstar’s spectrum, satellites, ground network and direct-to-device experience.

Globalstar (GSAT) emerged as the clear outlier in a brutal July for space stocks, rising nearly 3% while AST SpaceMobile, Rocket Lab and SpaceX each lost more than a third of their value amid a broad sector selloff.

Space Rally Fades As Valuations Bite 

In July, AST SpaceMobile fell 34%, Rocket Lab dropped 36% and SpaceX slid 37%. Planet Labs and Spire Global fell 38%, while Intuitive Machines declined 42%.

The moves came after SpaceX’s June IPO, which initially lifted enthusiasm across launch, satellite connectivity and space-based AI stocks. The momentum faded as investors reassessed high valuations, long deployment timelines and the billions of dollars required to build and operate large constellations. SpaceX also faced questions around AI spending, Starship execution and future share supply. 

Why Globastar Was Different

Globalstar entered July with a signed takeover agreement. Amazon agreed in April to acquire the company in a transaction valued at about $11.6 billion. Globalstar shareholders can elect to receive $90 in cash or 0.3210 Amazon shares for each share, with the stock consideration capped at $90 and subject to proration. The transaction is expected to close in 2027, pending regulatory approvals and satellite-related milestones.

The offer gave GSAT a defined deal value, while most rival space stocks continued to trade primarily on future growth expectations and funding requirements. Clear Street captured the setup in May when it downgraded Globalstar to ‘Hold’ from ‘Buy’ but raised its price target to $90 from $71, citing limited remaining upside to the takeover value.

Amazon Expands Its D2D Push

Globalstar’s role became clearer last week when Amazon Leo proposed a constellation of up to 5,105 satellites for direct-to-device voice, messaging, data and emergency services. Amazon said that the network would work with mobile operators globally and use Globalstar’s licensed mobile satellite spectrum, with deployment expected to begin in 2028. The filing expands Amazon’s ambitions beyond fixed broadband and places it more directly against SpaceX, AST SpaceMobile and other satellite-to-phone providers. Amazon Leo currently has about 390 satellites in orbit and plans to begin rolling out fixed services across initial bands later this year.

Globalstar owns licensed mobile satellite spectrum in the 1.6 GHz and 2.4 GHz bands, which already supports satellite services for millions of Apple users. These services include Emergency SOS, location sharing and roadside assistance outside terrestrial coverage.

Amazon is also set to take over Apple’s 20% stake in Globalstar, while continuing satellite services for iPhone and Apple Watch. The acquisition gives Amazon Globalstar’s spectrum, satellites, ground infrastructure and direct-to-device operating experience in one transaction. Globalstar has guided to 2026 revenue of $280 million to $305 million and an adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) margin of about 50%.

How Do Retail Traders Feel About GSAT?

On Stocktwits, retail sentiment toward GSAT has steadily improved, reaching 69 out of 100 and remaining in ‘bullish’ territory for the past week, up from ‘neutral’ a month ago. Message volume has doubled over the same period, while the ticker’s watcher base has grown a modest 1.5% over the past year. 

One user said, “$GSAT $20B is the real value of Globalstar and it’s Spectrum. That put share price at $155 share. Bidding war couls surpass that. Just the sniff of interest might motivate Amazon to adjust their current offer.”

Another user said, “$GSAT SpaceX has 5,105 reasons to offer a superior bid to acquire Globalstar. Even Elon didn’t realize Amazon’s plans to jump ahead of SpaceX. It’s all about the Spectrum.”

GSAT stock has surged 255% over the past year. 

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