This week witnessed a significant surge of 29% for Viasat's stock.
Over the past few trading days, Viasat (VSAT -0.48%) has soared like a rocket in defiance of gravity. The satellite communications giant saw its shares skyrocket by an impressive 29% this week, according to figures from S&P Global Market Intelligence.
NASA's New Partner
A significant portion of Viasat's surge can be attributed to its recent collaboration with an influential player in the space sector – NASA. Viasat was selected to participate in NASA's $4.8 billion Near Space Network (NSN) contract. This five-year, multi-award indefinite delivery and quantity project aims to establish reliable ground and space relay services from low Earth orbit to 2 million kilometers beyond Earth's surface.
Viasat joins an elite group of four companies assigned to the NSN initiative, providing NASA with direct-to-Earth connection services for various missions. To accomplish this, the company will utilize its advanced technology and that of some esteemed partners. Its objective is to offer NASA a modern, highly capable, and geographically diverse satellite ground network.
C-Suite Reshuffle
Just a day after announcing its collaboration with NASA, Viasat announced a c-suite overhaul. The company's President, Guru Gowrappan, is stepping down, with no immediate plans for his replacement. Concurrently, Craig Miller, the current president of global space networks, assumes the role of senior vice president of strategic initiatives. Craig Miller's responsibilities will be passed on to Viasat's CTO, Girish Chandran, who retains his CTO title. Furthermore, Viasat announced the hiring of a new CFO, Gary Chase, who most recently served at Delta Air Lines.
It seems as though Viasat is experiencing a period of great change, even as it continues to rack up bottom-line losses. Despite these challenges, the company appears to be on an upward trajectory.
Sources:1. NASA Selects Viasat for $4.8 Billion Near Space Network Services Contract2. Viasat Announces C-suite Restructuring3. Enrichment Data4. Viasat Boosts In-Flight Connectivity Services with STARLUX Airlines5. Viasat Partners with ATLAS Space Operations and Alaska Satellite Facility for NASA's Near Space Network Services Contract
Following the announcement of its partnership with NASA, Viasat is considering investing significant funds into the development of its advanced technology for the Near Space Network project. This strategic move could potentially boost its financial performance in the coming years.
Given the positive trends in Viasat's stock price and the potential for substantial financial gains from its NASA collaboration, some investors might find this an opportune time for further investments in the finance sector related to this satellite communications giant.