If You Invested $1,000 In Globalstar Stock One Year Ago, Here's How Much You'd Have Now

Investors who have owned stocks in the last year have generally experienced some big gains. In fact, the SPDR S&P 500 ETF Trust SPY total return over the last 12 months is 24.2%. But there is no question some big-name stocks performed better than others along the way.

Globalstar’s Bumpy Ride: One company that has been a great investment in the last year has been mobile satellite services company Globalstar, Inc. GSAT.

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At the beginning of 2020, Globalstar shares were trading at just 53 cents. By the beginning of March, the stock was down to 41 cents as news of the coronavirus spreading in China prompted concerns about a U.S. pandemic.

When the market crashed during the U.S. COVID-19 outbreak in March, Globalstar shares dropped as low as 23 cents during the height of the pandemic fears.

When the market bounced in late March 2020, Globalstar began to rebound as well. The stock surpassed 40 cents several times during the summer of 2020, including two brief intraday spikes to 60 cents.

Unfortunately, Globalstar didn’t maintain the momentum of the broader market in the second half of 2020. The stock finished the year trading at just 34 cents.

Globalstar In 2021, Beyond: After a lackluster 2020, Globalstar has had several key headlines in 2021 that has generated extreme volatility for the stock.

The biggest news of the year came in February when QUALCOMM, Inc. QCOM said it will use Globalstar’s technology in a new 5G modem. The headline sent Globalstar shares surging more than 142% in just two days, ultimately reaching its 2021 high of $2.98.

Unfortunately, the stock quickly reversed course, pulling all the way back to 82 cents in April. Globalstar shares caught another bid in August on rumors of a potential partnership with Apple Inc AAPL. Investors speculated that Apple may be building satellite telephone capability into its new iPhone 13 models. Unfortunately, the stock came back down to earth when those rumors turned out not to be true.

After peaking again at $2.78 in early September, Globalstar shares have pulled back to around $1.21 in early December.

Still, Globalstar investors who bought one year ago and held on have generated a big return on their investment at this point. In fact, $1,000 in Globalstar stock bought on Dec. 6, 2020, would be worth about $4,000 today.

Looking Ahead: Analysts are expecting Globalstar’s stock to maintain its bullish momentum in the next 12 months. The average price target among the two analysts covering the stock is $2.15, suggesting 80.3% upside from current levels.

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