EchoStar Corporation (SATS) shares closed nearly 11% higher on Thursday, recording the stock's best single-day performance this year, as investor attention focused on the company's exposure to SpaceX ahead of the satellite firm's initial public offering. The surge stems from a major spectrum transaction announced in September 2025 and amended in November 2025, under which EchoStar agreed to receive up to approximately $11.1 billion in SpaceX Class A common stock as part of a roughly $19.6 billion total deal. EchoStar is widely viewed by investors as one of the most direct public-market proxies for gaining exposure to SpaceX, with Barron's estimating the company holds roughly 52 million SpaceX shares.
The stock was up 5% in after-hours trading at the time of the original report.
SpaceX Prices IPO at $135 Per Share, Raises $75 Billion
SpaceX set its initial public offering price at $135 per share and raised $75 billion through the sale of 555.6 million shares. The deal values the company at approximately $1.77 trillion. Trading on Nasdaq begins Friday.
EchoStar-SpaceX Spectrum Transaction Details
Under the original agreement announced in September 2025, EchoStar agreed to sell spectrum licenses to SpaceX for approximately $17 billion, structured as up to $8.5 billion in cash and up to $8.5 billion in SpaceX Class A common stock. In November 2025, the companies amended the agreement to include additional spectrum, increasing the total consideration to roughly $19.6 billion. The amended deal includes up to approximately $11.1 billion to be paid in SpaceX stock, priced at $212 per share at the time of the amendment. Barron's estimates this structure gives EchoStar roughly 52 million SpaceX shares.
EchoStar Reports Q1 2026 Subscriber and Revenue Declines
EchoStar's traditional satellite and pay-TV businesses continue to face headwinds. In the first quarter of 2026, the company lost around 366,000 net pay-TV subscribers, ending the period with 6.63 million total subscribers. Pay-TV revenue declined 10% year-over-year. The HughesNet satellite broadband business lost 58,000 subscribers during the quarter. Overall revenue fell 5.2% to $3.67 billion, though the company narrowed its net loss to $146.9 million from $202.7 million.
Stocktwits Retail Sentiment Shifts to Extremely Bullish
On Stocktwits, retail sentiment around SATS stock jumped from bullish to extremely bullish territory over the past 24 hours, while message volume stayed at high levels. One user expressed optimism for the stock opening at $150 per share on Friday. Another user highlighted the "insane hype" in the market pertaining to the upcoming SpaceX IPO. A third user opined that SATS will either rocket or stay flat on Friday.
SATS stock has gained 14% this year.
FAQ
Why did EchoStar stock surge nearly 11% on Thursday?
EchoStar stock closed nearly 11% higher on Thursday as investor enthusiasm built around the company's exposure to SpaceX ahead of the satellite firm's initial public offering, which priced at $135 per share and raised $75 billion. EchoStar is widely viewed as one of the most direct public-market proxies for SpaceX exposure due to a spectrum transaction that gives the company roughly 52 million SpaceX shares, according to Barron's estimates.
What are the details of the EchoStar-SpaceX spectrum transaction?
Under the original agreement announced in September 2025, EchoStar agreed to sell spectrum licenses to SpaceX for approximately $17 billion, structured as up to $8.5 billion in cash and up to $8.5 billion in SpaceX Class A common stock. In November 2025, the companies amended the agreement to include additional spectrum, increasing the total consideration to roughly $19.6 billion, with up to approximately $11.1 billion to be paid in SpaceX stock priced at $212 per share.
How did EchoStar perform operationally in the first quarter of 2026?
In the first quarter of 2026, EchoStar lost around 366,000 net pay-TV subscribers, ending with 6.63 million total subscribers, and pay-TV revenue declined 10% year-over-year. The HughesNet satellite broadband business lost 58,000 subscribers during the quarter. Overall revenue fell 5.2% to $3.67 billion, though the company narrowed its net loss to $146.9 million from $202.7 million.
