Globalstar (GSAT) Stock: Here’s Why It’s Soaring

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Globalsat GSAT Stock News

Globalstar, Inc. (NYSEAMERICAN: GSAT) is having a great day in the market today. However, if you’re looking for press releases or SEC filings, you’re not going to find any. Nonetheless, that doesn’t mean that there’s not a reason for the gains. Today, we’ll talk about:

  • Why GSAT is climbing;
  • what we’re seeing from the stock; and
  • what we’ll be watching for ahead.

Why GSAT Is Climbing

As mentioned above, Globalstar is having a great day in the market today, but hasn’t released any news. So, what’s the deal? Well, we have to go back a bit in releases and look at the charts to find it.

It all started about a week ago when GSAT released news with regard to Spot, LLC, it’s wholly owned subsidiary. The news was that SPOT had reached a new milestone, surpassing one billion messages transmitted and more than 6,100 rescue incidents initiated worldwide.

The news that SPOT had reached this milestone led to excitement in GSAT, ultimately sending the stock upward. At that time, short interest on the stock was nearly 40% of the float. That’s a high number even when talking about high short interest. Nonetheless, as the stock edged up, shorts started to lose money. Now it seems as though more shorts are abandoning their positions as the bulls take control of the ticker. All in all, this seems like a classic example of a short squeeze.

Keep in mind that short squeezes often lead to monumental runs. So, the gains that we’re seeing at the moment may just be the beginning.

What We’re Seeing From The StockĀ 

One of the first lessons that we learn when we start to dig into the market is that the news leads to moves. In the case of Globalstar, the news proved to be positive as a milestone was hit. This led to upward movement that is causing the beginning of what could become a short squeeze. Of course, our partners at Trade Ideas were the first to alert us to the gains. Currently (12:11), GSAT is trading at $0.46 per share after a gain o $0.049 per share or 11.73% thus far today.

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What We’ll Be Watching For Ahead

Moving forward, the iWatch Markets team will continue to keep a close eye on GSAT. In particular, we’re interested in following the story surrounding the company’s continued short squeeze to see just how high it pushes the stock. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!

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