- Think $151 Billion Is Expensive for Golden Dome? Try $1.2 Trillion.
May 17, 2026 · fool.com
The more I look at it, the more Golden Dome looks like a white elephant.
- 2 Services Stocks for Long-Term Investors and 1 Facing Headwinds
May 17, 2026
Business services providers use their specialized expertise to help enterprises streamline operations and cut costs. Furthermore, the demand for their offerings is rising as more clients outsource non-core functions, a trend that has enabled the industry to return 9.4% over the past six months, almost identical to the S&P 500.
Although these companies have produced results, only a handful will thrive over the long term as AI-driven upstarts are rapidly taking share from the incumbents. Taking that into account, here are two resilient services stocks at the top of our wish list and one we’re swiping left on.
One Business Services Stock to Sell:
Viasat (VSAT)
Market Cap: $9.64 billion
Operating a fleet of 23 satellites that orbit the Earth and beam connectivity from space, Viasat (NASDAQ:VSAT) provides satellite-based communications networks and services for airlines, maritime vessels, governments, businesses, and residential customers worldwide.
Why Does VSAT Worry Us?
Earnings per share fell by 2.6% annually over the last five years while its revenue grew, partly because it diluted shareholders Cash-burning tendencies make us wonder if it can sustainably generate shareholder value Negative returns on capital show management lost money while trying to expand the business
At $70.90 per share, Viasat trades at 113.9x forward P/E. Dive into our free research report to see why there are better opportunities than VSAT.
Two Business Services Stocks to Buy:
Mirion (MIR)
Market Cap: $4.64 billion
With its technology protecting workers in over 130 countries and equipment used in 80% of cancer centers worldwide, Mirion Technologies (NYSE:MIR) provides radiation detection, measurement, and monitoring solutions for medical, nuclear energy, defense, and scientific research applications.
Why Do We Love MIR?
Annual revenue growth of 10.8% over the past five years was outstanding, reflecting market share gains this cycle Adjusted operating profits and efficiency rose over the last five years as it benefited from some fixed cost leverage Free cash flow margin increased by 8.7 percentage points over the last five years, giving the company more capital to invest or return to shareholders
Mirion is trading at $18.25 per share, or 4.6x trailing 12-month price-to-sales. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
Fair Isaac Corporation (FICO)
Market Cap: $25.19 billion
Creator of the three-digit number that can determine whether you get a mortgage or credit card, Fair Isaac Corporation (NYSE:FICO) develops analytics software and the widely used FICO Score, which is the standard measure of consumer credit risk in the United States.
Story Continues
Why Is FICO a Top Pick?
Share repurchases over the last two years enabled its annual earnings per share growth of 29.3% to outpace its revenue gains Strong free cash flow margin of 34% enables it to reinvest or return capital consistently, and its growing cash flow gives it even more resources to deploy Rising returns on capital show management is finding more attractive investment opportunities
Fair Isaac Corporation’s stock price of $1,087 implies a valuation ratio of 22.4x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don't just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn't over. Find out which 9 stocks made the cut this week - FREE. Get Our Top 9 Market-Beating Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
View Comments
- Viasat Board Adds AI And Capital Markets Expertise As Stock Soars
May 15, 2026
Track your investments for FREE with Simply Wall St, the portfolio command center trusted by over 7 million individual investors worldwide.
Viasat (NasdaqGS:VSAT) has added technology executive Shekar Ayyar and capital markets specialist Jinhy Yoon to its Board of Directors. Both leaders will also serve on Viasat's Strategic Review Committee, expanding its mix of AI, cloud infrastructure, communications, and financial expertise.
For investors tracking Viasat at a share price of $74.3, this board refresh comes after a stretch of strong stock performance, including a 97.4% return year to date and a very large return over the past year. Returns of 12.0% over the past week and 30.4% over the past month, along with gains of 82.9% over three years and 56.3% over five years, frame this leadership news against a stock that has already seen substantial moves.
The arrival of Ayyar and Yoon adds deeper AI, cloud, communications, and capital allocation experience to the boardroom. This experience may shape how Viasat thinks about future priorities and investment choices. Readers may want to watch how the Strategic Review Committee incorporates this expertise into decisions on growth projects, portfolio focus, and any potential changes to the company’s overall direction.
Stay updated on the most important news stories for Viasat by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Viasat.NasdaqGS:VSAT 1-Year Stock Price Chart
Does the team leading Viasat have what it takes? See our full breakdown of the management team's track record and compensation.
The appointments of Shekar Ayyar and Jinhy Yoon give Viasat a more specialized mix of technology and capital markets experience at a time when investors are already focused on execution and valuation risk. Ayyar’s background in AI infrastructure, data centers, and telecom at Arrcus and VMware ties directly to Viasat’s push in secure connectivity and hybrid satellite networks. Yoon’s track record overseeing roughly US$30b of technology, media, and telecom investments at PIMCO, along with board roles at Intelsat and Clear Channel Outdoor, speaks to disciplined balance sheet management and complex transactions. For a stock that some models currently flag as significantly overvalued and where insiders have recently sold about US$3.7m of shares, this mix of expertise may be seen as reinforcing the board’s focus on capital discipline, deal-making, and portfolio decisions. Investors can watch whether the enlarged, mostly independent 10 person board uses this new firepower to tighten return hurdles on large projects like ViaSat 3, reassess business mix, or adjust financial policies.
Story Continues
How This Fits Into The Viasat Narrative
Ayyar’s AI and cloud infrastructure background supports the narrative that Viasat is positioned for secure connectivity and multi orbit network opportunities, especially in defense and advanced technologies. Yoon’s history managing large TMT investments and working through the Intelsat sale could pressure management to be more rigorous on capital spending, which may challenge assumptions about heavy CapEx and leverage in the existing narrative. The creation of a strengthened Strategic Review Committee that includes both new directors may not yet be fully reflected in prior storylines about integration of Inmarsat and portfolio review.
Knowing what a company is worth starts with understanding its story. Check out one of the top narratives in the Simply Wall St Community for Viasat to help decide what it's worth to you.
The Risks and Rewards Investors Should Consider
⚠️ Analysts have highlighted that Viasat is currently assessed as significantly overvalued by some intrinsic value models, which raises the bar for new board members to justify ongoing investment decisions. ⚠️ The company is still facing execution risk around large capital projects and profitability, and the addition of two directors alone does not resolve concerns about cash flow pressure or competition from players such as SpaceX’s Starlink, Amazon’s Project Kuiper, and OneWeb. 🎁 Ayyar’s experience in cloud and communications infrastructure, including previous work on telco and edge cloud, could help Viasat refine how it targets AI related and high bandwidth demand across aviation, maritime, and government customers. 🎁 Yoon’s background in capital allocation, debt and equity oversight, and major transactions may support tighter scrutiny of leverage, deal terms, and portfolio moves, aligning board oversight more closely with shareholder interests.
What To Watch Going Forward
Investors should track how quickly Ayyar and Yoon become visible in Viasat’s decision making, for example through comments on earnings calls, changes in capital spending priorities, or updates on integration of Inmarsat and ViaSat 3 related projects. Any disclosure around the Strategic Review Committee’s work, including potential asset sales, joint ventures, or financing decisions, will be important for those weighing valuation concerns against growth plans. It is also worth watching whether insider trading patterns or communication on capital allocation shift as the reconstituted board sets its priorities.
To ensure you're always in the loop on how the latest news impacts the investment narrative for Viasat, head to the community page for Viasat to never miss an update on the top community narratives.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include VSAT.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
View Comments
- Should ASTS Stock Be Part of Your Portfolio Post Q1 Earnings Miss?
May 14, 2026
AST SpaceMobile, Inc. ASTS reported soft first-quarter 2026 results. Adjusted earnings and revenues both fell short of the Zacks Consensus Estimate.
Net loss in the reported quarter was $191 million or a loss of 66 cents per share, wider than the Zacks Consensus Estimate of a loss of 23 cents. Quarterly revenues increased to $14.7 million from $0.72 million in the year-ago quarter. However, it fell short of the Zacks Consensus Estimate of $38.2 million.
Concerns for ASTS
ASTS is building a global satellite broadband constellation. This is a highly capital-intensive venture. As of March 31, 2026, the company has disclosed approximately $1.8 billion of gross capitalized property and equipment costs. Bluebird satellite development, launch payments, manufacturing facilities, ground infrastructure, assembly and test equipment require substantial investment continuously.
In large-scale operations such as ASTS, execution risk remains a major concern for investors. The company has to simultaneously execute satellite manufacturing, telecom integration, regulatory approvals and eventually commercial activation. Recently, AST SpaceMobile announced that BlueBird 7 was placed into a lower-than-planned orbit during the New Glenn 3 mission. Although the satellite successfully separated from the launch vehicle and powered on, the company stated that the altitude was insufficient to sustain operations, and the satellite is expected to de-orbit. Such incidents highlight the execution risks more clearly.
It is to be noted that although ASTS has demonstrated technology success, large-scale consumer adoption, pricing models, carrier monetization and long-term economics are still unproven. Investors are pricing on ASTS’ large-scale monetization, the company’s growing prowess in direct-to-cell technology. However, high dependence on telecom partners, regulatory complexities and scaling the ground infrastructure will be a complex endeavor.
Competition in direct-to-device satellite communications is increasing rapidly. Existing and new industry leaders like SpaceX’s Starlink, Viasat, Inc. VSAT and Globalstar, Inc. GSAT are also expanding their satcom infrastructure. Hence, to combat such competitive pressure, ASTS has to continuously customize its network offerings and invest heavily in network expansion, which can increase operating costs and reduce margins.
ASTS Benefits From Portfolio Strength, Innovation
AST SpaceMobile is targeting one of the largest telecom opportunities globally. The company aims to deliver cellular broadband directly from space to normal smartphones without using any specialized devices. ASTS has highlighted that nearly 6 billion phones worldwide still face coverage gaps. This creates a large total addressable market for the company across rural connectivity, maritime and remote areas, disaster recovery, government and defense communications. Compatibility with existing telecom infrastructure, direct 4G/5G connectivity are major advantages.
ASTS is placing strong emphasis on manufacturing scale-up. It owns the intellectual property and controls the manufacturing process for approximately 95% of all sub-systems used in its Block 2 BlueBird satellites. The company has also expanded its supplier base to reduce dependence on a single supplier and strengthen its supply chain.
It has been disclosed that the dedicated micron production facility in Texas is now fully operational. Microns are critical electronic components used inside its BlueBird satellites.
Owning end-to-end manufacturing allows ASTS to stockpile critical inputs earlier and manage procurement timing more proactively. The company is developing manufacturing facilities in Florida. It aims to expand production facilities to over 500,000 square feet globally. Such an initiative gives production stability and supports the company’s goal of ramping satellite deployment rapidly.
AST SpaceMobile has strategically partnered with leading telecom companies to grant customers easy access to its technology. Collaborations with Rakuten, AT&T, Verizon and TELUS have expanded its international footprint and strengthened long-term commercial opportunities. It recently secured approval from the FCC to deploy and operate a constellation of up to 248 satellites to provide supplemental cellular coverage from space directly to standard smartphones in the United States. The approval enables ASTS to use premium low-band spectrum in coordination with Verizon, AT&T and FirstNet, strengthening its regulatory position and supporting broader commercial deployment plans.
Story Continues
Price Performance
ASTS has gained 185.1% in the past year compared with the wireless equipment industry’s growth of 57.6%. The stock has outperformed the Zacks Computer & Technology sector and the S&P 500’s growth during this period.Zacks Investment Research
Image Source: Zacks Investment Research
It has underperformed its competitors, such as Viasat and Globalstar. ViaSat has returned 522.4% while Globalstar has surged 341.2% during this period.
Estimate Revision Trend of ASTS
Earnings estimates for 2026 have decreased over the past 60 days.Zacks Investment Research
Image Source: Zacks Investment Research
Key Valuation Metric of ASTS
From a valuation standpoint, ASTS is currently trading at a premium compared with the industry. AST SpaceMobile trades at a forward price-to-sales ratio of 74.36, well above the industry.Zacks Investment Research
Image Source: Zacks Investment Research
End Note
Gateway hardware sales and U.S. Government contracts are primarily driving ASTS’s top-line growth. Its vertically integrated manufacturing strategy, focus on improving the supply chain, will likely bring long-term benefits. Comprehensive patent portfolio, growing telecom partner base are added advantages. However, in a high capital-intensive business model, execution risk remains a major concern. It heavily relies on third-party launch providers. Any failure, delay or underperformance by these providers is likely to disrupt the timely deployment of its satellites. With a Zacks Rank #3 (Hold), ASTS appears to be treading in the middle of the road, and new investors could be better off if they trade with caution. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Viasat Inc. (VSAT) : Free Stock Analysis Report
Globalstar, Inc. (GSAT) : Free Stock Analysis Report
AST SpaceMobile, Inc. (ASTS) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
View Comments
- New Street Research Launches Space Economy and Infrastructure Coverage
May 13, 2026
LONDON and NEW YORK, May 13, 2026 /PRNewswire/ -- New Street Research, the leading independent research boutique focused on global Technology, Media and Telecommunications (TMT), announced today that it will be launching a Space Economy and Infrastructure vertical, bringing together the firm's collective expertise across launch, satellites and components, connectivity services, and datacenters. Initial coverage list will include SpaceX, Rocket Lab, Planet Labs, Viasat, Telesat, Iridium, SES, Eutelsat, EchoStar, AST SpaceMobile and Space 42. New Street Research will leverage the decades of accumulated experience of Pierre Ferragu (Global Tech), James Ratzer (European and EM Telecom) and David Barden (US Telecom), to comprehensively cover this complex and promising sector.New Street Research
New Street Research will host a webinar as part of the Space Economy and Infrastructure vertical launch on May 18; for further details contact your New Street sales representative.
Iain Johnston, Chairman of New Street Research, said:
"This initiative shows our research at its very best, providing independent and deep cross-sector understanding in this highly relevant and deeply connected investment area. We will utilize the extraordinary intellectual capital of our firm, with our team of experienced analysts delivering insight and independent research perspective across the capital structure. We look forward to working with our institutional clients to help them understand and value the space ecosystem at large."
About New Street Research
New Street Research is the leading independent research boutique specializing in the global TMT sectors. The firm partners with institutional investors to deliver differentiated insights and actionable ideas that guide decision-making. Coverage spans Communications Services, Technology, Internet, and Policy & Regulation. New Street invests heavily in talent, proprietary data, and research capabilities to provide clients with world-leading financial and industry perspectives.
Media Contacts
Iain Johnston, Chairman — Iain@newstreetresearch.com | +44 79 7386 9663 James Ratzer, Partner — James@newstreetresearch.com | +44 20 7375 9125 Pierre Ferragu, Partner – Pierre@newstreetresearch.com | +1 646 681 4616 David Barden, Partner — David.Barden@newstreetresearch.com | +1 212 921 9876Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/new-street-research-launches-space-economy-and-infrastructure-coverage-302771011.html
View Comments
- Is Viasat Inc (VSAT) Overvalued After 4.4% Rally? GF Value Says Overvalued
May 12, 2026 · gurufocus.com
On May 11, 2026, Viasat Inc (VSAT) shares rose 4.4% today, bringing the current price to $73.07. Over the last 52 weeks, the stock has traded as low as $8.61 an
- Should Invesco S&P SmallCap Momentum ETF (XSMO) Be on Your Investing Radar?
May 11, 2026
Designed to provide broad exposure to the Small Cap Growth segment of the US equity market, the Invesco S&P SmallCap Momentum ETF (XSMO) is a passively managed exchange traded fund launched on March 3, 2005.
The fund is sponsored by Invesco. It has amassed assets over $2.78 billion, making it one of the larger ETFs attempting to match the Small Cap Growth segment of the US equity market.
Why Small Cap Growth
With more potential comes more risk, and small cap companies, with market capitalization below $2 billion, epitomizes this way of thinking.
While growth stocks do boast higher than average sales and earnings growth rates, and they are expected to grow faster than the wider market, investors should note these kinds of stocks have higher valuations. Something to keep in mind is the higher level of volatility that is affiliated with growth stocks. Even though growth stocks are more likely to outperform their value counterparts in strong bull markets, value stocks have a record of delivering better returns in almost all markets than growth stocks.
Costs
When considering an ETF's total return, expense ratios are an important factor, and cheaper funds can significantly outperform their more expensive counterparts in the long term if all other factors remain equal.
Annual operating expenses for this ETF are 0.36%, putting it on par with most peer products in the space.
It has a 12-month trailing dividend yield of 0.53%.
Sector Exposure and Top Holdings
It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis.
This ETF has heaviest allocation to the Industrials sector -- about 23.4% of the portfolio. Information Technology and Financials round out the top three.
Looking at individual holdings, Viavi Solutions Inc (VIAV) accounts for about 3.35% of total assets, followed by Viasat Inc (VSAT) and Primoris Services Corp (PRIM).
The top 10 holdings account for about 23.11% of total assets under management.
Performance and Risk
XSMO seeks to match the performance of the S&P SMALLCAP 600 MOMENTUM INDEX before fees and expenses. The S&P Smallcap 600 Momentum Index is composed of securities with strong growth characteristics selected from the Russell 2000 Index.
The ETF has added roughly 21.26% so far this year and is up roughly 37.17% in the last one year (as of 05/11/2026). In the past 52-week period, it has traded between $65.05 and $88.33.
Story Continues
The ETF has a beta of 1.11 and standard deviation of 20.69% for the trailing three-year period. With about 116 holdings, it effectively diversifies company-specific risk.
Alternatives
Invesco S&P SmallCap Momentum ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, XSMO is a reasonable option for those seeking exposure to the Style Box - Small Cap Growth area of the market. Investors might also want to consider some other ETF options in the space.
The iShares Russell 2000 Growth ETF (IWO) and the Vanguard Small-Cap Growth Index Fund ETF Shares (VBK) track a similar index. While iShares Russell 2000 Growth ETF has $14.36 billion in assets, Vanguard Small-Cap Growth Index Fund ETF Shares has $22.89 billion. IWO has an expense ratio of 0.24% and VBK charges 0.05%.
Bottom-Line
Retail and institutional investors increasingly turn to passively managed ETFs because they offer low costs, transparency, flexibility, and tax efficiency; these kind of funds are also excellent vehicles for long term investors.
To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Invesco S&P SmallCap Momentum ETF (XSMO): ETF Research Reports
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
View Comments
- Ubiquiti Inc. (UI) Beats Q3 Earnings and Revenue Estimates
May 8, 2026
Ubiquiti Inc. (UI) came out with quarterly earnings of $3.88 per share, beating the Zacks Consensus Estimate of $3.18 per share. This compares to earnings of $3 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +22.01%. A quarter ago, it was expected that this computer networking company would post earnings of $2.81 per share when it actually produced earnings of $3.88, delivering a surprise of +38.08%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Ubiquiti, which belongs to the Zacks Wireless Equipment industry, posted revenues of $788.2 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.39%. This compares to year-ago revenues of $664.17 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Ubiquiti shares have added about 67.5% since the beginning of the year versus the S&P 500's gain of 7.2%.
What's Next for Ubiquiti?
While Ubiquiti has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Ubiquiti was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $3.63 on $840.87 million in revenues for the coming quarter and $14.15 on $3.17 billion in revenues for the current fiscal year.
Story Continues
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Wireless Equipment is currently in the bottom 23% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, ViaSat (VSAT), is yet to report results for the quarter ended March 2026.
This provider of satellite and wireless networking technology is expected to post quarterly earnings of $0.25 per share in its upcoming report, which represents a year-over-year change of +1350%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
ViaSat's revenues are expected to be $1.2 billion, up 4.5% from the year-ago quarter.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ubiquiti Inc. (UI) : Free Stock Analysis Report
Viasat Inc. (VSAT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
View Comments
- Assessing Viasat (VSAT) Valuation After A Sharp Multi‑Month Share Price Rally
May 8, 2026
Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St's investing ideas for FREE.
What recent performance tells you about Viasat (VSAT)
Viasat (VSAT) has quietly put up strong recent returns, with the stock up about 23% over the past month and roughly 59% over the past 3 months. This performance has drawn fresh attention from investors.
See our latest analysis for Viasat.
At a share price of $66.33, Viasat’s recent momentum is clear, with a 30 day share price return of 23.11% and a 90 day share price return of 59.06%. The 1 year total shareholder return sits at a very large level, hinting that investors are reassessing both growth prospects and risks.
If strong recent gains in Viasat have you curious about other fast moving opportunities, this could be a good moment to check out 39 AI infrastructure stocks
With Viasat trading at $66.33, slightly above the average analyst price target but at a discount to some intrinsic value estimates, investors may ask whether this represents a fresh buying opportunity or whether potential future growth is already reflected in the share price.
Most Popular Narrative: 30% Overvalued
The most followed Viasat narrative pegs fair value at about $51.14, well below the recent $66.33 close. That difference frames the current rally in a different light.
Viasat is positioned to benefit from growing global demand for secure connectivity and resilient communications, driven by heightened geopolitical instability and increased threats to network and data center security. This is contributing to double-digit growth in its Defense and Advanced Technologies segment and is expected to support continued revenue expansion. Accelerating rollout of the ViaSat-3 global satellite constellation will increase total bandwidth and coverage, opening up new customer segments and enabling service launches (notably in-flight, maritime, and rural fixed broadband). This provides a pathway for higher ARPU and a stronger top-line growth profile.
Read the complete narrative.
Why does this narrative still land below the current share price? The answer sits in a mix of modest revenue growth expectations, ambitious margin gains, and a future earnings multiple that must support a large share of the valuation. The full story connects those moving parts into one valuation view.
Result: Fair Value of $51.14 (OVERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, the story also hinges on heavy capital spending around ViaSat-3 and growing competition from players like Starlink and Project Kuiper, which could pressure returns.
Story Continues
Find out about the key risks to this Viasat narrative.
Another Way To Look At Viasat’s Value
The most followed narrative treats Viasat as about 30% overvalued at $51.14, yet Simply Wall St’s DCF model points to a fair value closer to $72.33, which is roughly 8% above the current $66.33 price. When two methods disagree this much, which one would you lean on?
Look into how the SWS DCF model arrives at its fair value.VSAT Discounted Cash Flow as at May 2026
Next Steps
Seen enough to sense both enthusiasm and hesitation around Viasat? Act while the data is fresh: weigh the upside against the concerns and check out the 2 key rewards and 1 important warning sign
Looking for more investment ideas?
If Viasat has you thinking harder about where your money is working hardest, do not stop here. Widen your search before the next move passes you by.
Target resilient potential by checking out companies in the 72 resilient stocks with low risk scores that may help steady your portfolio when volatility spikes. Hunt for pricing gaps with the 51 high quality undervalued stocks and see which businesses the market might be overlooking right now. Strengthen your core holdings using the solid balance sheet and fundamentals stocks screener (44 results) to focus on companies with financial foundations that can support long term plans.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include VSAT.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
View Comments
- RingCentral (RNG) Q1 Earnings and Revenues Surpass Estimates
May 7, 2026
RingCentral (RNG) came out with quarterly earnings of $1.2 per share, beating the Zacks Consensus Estimate of $1.17 per share. This compares to earnings of $1 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +2.92%. A quarter ago, it was expected that this cloud-based phone system provider for small businesses would post earnings of $1.14 per share when it actually produced earnings of $1.18, delivering a surprise of +3.51%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
RingCentral, which belongs to the Zacks Internet - Software and Services industry, posted revenues of $644.2 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.22%. This compares to year-ago revenues of $612.06 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
RingCentral shares have added about 58.3% since the beginning of the year versus the S&P 500's gain of 7.6%.
What's Next for RingCentral?
While RingCentral has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for RingCentral was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.17 on $651.02 million in revenues for the coming quarter and $4.86 on $2.63 billion in revenues for the current fiscal year.
Story Continues
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software and Services is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
ViaSat (VSAT), another stock in the broader Zacks Computer and Technology sector, has yet to report results for the quarter ended March 2026.
This provider of satellite and wireless networking technology is expected to post quarterly earnings of $0.25 per share in its upcoming report, which represents a year-over-year change of +1350%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
ViaSat's revenues are expected to be $1.2 billion, up 4.5% from the year-ago quarter.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Ringcentral, Inc. (RNG) : Free Stock Analysis Report
Viasat Inc. (VSAT) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
View Comments
