EchoStar Stock (SATS) Gains Catalyst Watch, As Spectrum Sales Could Continue

EchoStar's stock (NASDAQ: SATS) has been boosted recently, with gains of  185% in the past 2 months, following strategic moves to divest its spectrum assets. Analyst sentiment appears positive, with expectations for additional sales driving potential near-term gains.

The stock's performance reflects a market increasingly confident in EchoStar's strategic shift. Citi analyst Michael Rollins recently placed an “upside 90-day catalyst watch” on EchoStar shares, maintaining a Neutral rating but setting an $85 price target. This outlook hinges on the potential for further spectrum sales, which Rollins believes could drive the stock higher.

EchoStar's recent transactions have significantly impacted its financial outlook. In August 2025, AT&T acquired wireless spectrum licenses from EchoStar for $23 billion in cash. This deal provided AT&T with extensive spectrum coverage nationwide, enabling rapid expansion of home wireless internet services. Shortly after, in September 2025, EchoStar announced an agreement to sell its AWS-4 and H-block spectrum licenses to SpaceX for approximately $17 billion, comprising cash and SpaceX stock, plus $2 billion in cash interest payments on EchoStar's debt through November 2027.

These divestitures address regulatory concerns raised by the U.S. Federal Communications Commission regarding spectrum deployment. Furthermore, they are expected to substantially reduce EchoStar's debt and provide capital for future investments. The company's AWS-3 spectrum is valued at a carrying amount of $9.8 billion, and additional segments of its spectrum portfolio are slated for a future federal auction, suggesting further monetization opportunities. Forecasts indicate EchoStar could hold $24.1 billion in cash following these transactions.

Most recently, reports surfaced indicating Verizon Communications is in negotiations to acquire EchoStar's AWS-3 spectrum licenses, crucial for supporting 5G wireless services. This potential sale aligns with EchoStar's strategy to divest assets and bolster its financial position. It also mirrors prior moves by AT&T and SpaceX, who have already acquired spectrum from EchoStar. The agreement with SpaceX will also see Boost Mobile subscribers gain access to SpaceX's next-generation Starlink Direct to Cell service.

The ongoing negotiations with Verizon, coupled with the completed sales to AT&T and SpaceX, highlight EchoStar's proactive approach to unlocking value from its spectrum portfolio. With a view that the company can unlock further value with additional sales, markets will be on watch.