GILT Stock Forecast & Price Target

Gilat Satellite Networks Ltd reported a significant increase in its cash, cash equivalents, and restricted cash, reaching $155 million in 3Q25, up from $65 million in the previous quarter, indicative of improved liquidity and the successful integration of the Stellar Blue acquisition. The company demonstrated resilience in its financial performance, as evidenced by a 4% increase in revenues and a positive earnings per share metric that exceeded consensus expectations, driven by strong performance in the Peru segment and the ramping production of Stellar Blue. Furthermore, the optimistic outlook on the in-flight connectivity market, coupled with the company’s robust balance sheet and potential for consolidating specialty satellite technology, positions Gilat favorably within a growing satellite market.

Gilat Satellite Networks is experiencing a significant decline in the satellite mobile backhaul market due to the emergence of new direct-to-device (D2D) services, which poses a challenge to its core business. While the company reported an EBITDA of $15.6 million, surpassing consensus estimates of $13.3 million by 17%, this figure also suggests potential volatility in GAAP metrics moving forward. The overall market conditions and technological advancements that undermine traditional revenue streams contribute to a cautious outlook for the company's financial performance.