Shares of Globalstar, Inc. (NYSEMKT:GSAT) spiked again today after the company’s stock received a buy rating from B. Riley analyst Mike Crawford yesterday.
The tech stock jumped by as much as 23% today and had gained 21.8% as of 3:45 p.m. EDT.
Crawford published his research note yesterday, putting a $3.25 price target on the stock — more than double its share price at the time — and said that the company is “at long last starting to realize a return” on its satellite and spectrum assets.
Crawford went on to say that this year is an “excellent time” to snatch up the company’s shares.
Investors didn’t hesitate to follow through on his recommendation and sent Globalstar’s stock soaring 17% yesterday, before it made even more gains today.
Crawford’s positive investor note could continue to help boost Globalstar’s share price in the short term for two reasons: First, he was very positive about the company in general, noting that Globalstar had “moved through the high-risk portion of its history and is now poised to start generating returns.”
Second, Globalstar has been a popular stock on Reddit’s WallStreetBets forum. That doesn’t mean Globalstar isn’t a good investment, but it does mean that the market’s reaction to positive news about the company could send its shares higher because retail investors on the forum are generally bullish on the stock.
Over the past year investors have pushed up Globalstar’s shares by 454%, and with today’s jump, it appears that some investors continue to be very optimistic about the company’s future.
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