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3 Satellite Stocks Positioned to Gain From 2026 Connectivity Growth
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Key Takeaways
EchoStar is gaining from rising demand for satellite broadband across rural, enterprise and mobility markets.
Telesat is advancing its Lightspeed LEO constellation, supported by a contracted backlog of about $1.1B.
IRDM is seeing momentum from service revenue and expanding Satellite Time and Location data services.
As the world races toward always-on connectivity and data-driven decision-making, satellite Internet and imaging technologies are emerging as critical enablers of the digital economy. From bridging the digital divide to powering real-time Earth observation, satellites are transforming how industries and governments operate across geographies. Traditional ground-based Internet infrastructure often fails to serve remote, rural and disaster-affected regions due to geographic, economic and logistical barriers. Satellite Internet, especially through Low Earth Orbit (LEO) constellations, is closing this gap by enabling high-speed broadband access regardless of terrain, delivering connectivity where fiber and mobile networks are not feasible. These technological advances are accelerating the growth of the satellite Internet market.
Per the Research and Markets report, the satellite Internet market is projected to climb from $14.56 billion in 2025 to $33.44 billion by 2030 at a robust CAGR of 18.1%. This expansion is being driven by the rollout of affordable, electronically steerable user terminals and the adoption of AI-enabled network management systems that enhance bandwidth efficiency and overall performance, as further added in the report. The report further highlights that the market is also benefiting from the transition toward cloud-integrated satellite infrastructures and rising demand from content delivery networks, which are accelerating connectivity in remote and hard-to-reach regions.
Looking ahead to 2026, the satellite and communications industry is expected to continue strong growth. According to the Gartner report, end-user spending on LEO satellite communications services is projected to reach $14.8 billion worldwide in 2026, marking a 24.5% increase over 2025.
As the satellite industry evolves, stocks like EchoStar Corporation (SATS - Free Report) , Telesat Corporation (TSAT - Free Report) and Iridium Communications (IRDM - Free Report) are poised to benefit from these trends in 2026.
3 Satellite Stocks to Keep an Eye On in 2026
EchoStar Corporation is a global satellite communications provider, best known through its Hughes Network Systems business, which delivers broadband connectivity to consumers, enterprises, governments and mobility customers across remote and underserved regions worldwide. The company operates and manages a fleet of geostationary satellites and a large ground network to provide reliable, high-speed Internet for use cases ranging from rural broadband and community Wi-Fi to in-flight, maritime and mission-critical enterprise connectivity.
EchoStar is benefiting from the accelerating demand for satellite-based connectivity as LEO and hybrid satellite architectures gain traction and enterprises seek dependable networks to support cloud adoption, digital transformation and remote operations. Rising needs for broadband access in rural markets, government programs aimed at bridging the digital divide and expanding mobility applications are creating tailwinds for its Hughes segment. Recently, EchoStar announced that Hughes is strengthening its position in next-generation satellite communications with the launch of a new portfolio of ruggedized LEO terminals certified for Comms-on-the-Pause (COTP) service.
In September 2025, EchoStar entered into a definitive agreement with SpaceX to sell its AWS-4 and H-block spectrum licenses in a transaction valued at approximately $17 billion. The deal includes up to $8.5 billion in cash and up to $8.5 billion in SpaceX stock, valued at the time the agreement was executed. In addition, SpaceX has committed to fund around $2 billion in cash interest payments on EchoStar’s debt through November 2027, further strengthening EchoStar’s near-term financial position.
Image Source: Zacks Investment Research
With a Growth Score of A, the stock has surged 371.6% over the past year. EchoStar’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 122.7%. In the last reported quarter, SATS delivered an earnings surprise of 167.48%. SATS carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Telesat Corporation is a global satellite operator delivering mission-critical connectivity through its legacy geostationary (GEO) fleet and its next-generation LEO constellation, Telesat Lightspeed, which is designed to provide fibre-like speeds, low latency and secure communications for telecom, government, aeronautical, maritime and enterprise customers. While continuing to generate cash from its GEO business, Telesat is focused on Lightspeed, which has seen strong early demand and a contracted LEO backlog of about $1.1 billion as of September 2025.
With initial launches targeted for late 2026 and full service by the end of 2027, and backed by government and vendor financing, the company is well-positioned to benefit from rising demand for high-performance satellite communications and drive long-term growth as a key player in the LEO broadband market.
Image Source: Zacks Investment Research
Telesat has gained 78.5% over the past year. The Zacks Consensus Estimate for TSAT’s earnings for the current year has moved up 4.29% in the past 60 days. Telesat’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters, with the average surprise being 105.93%. TSAT currently carries a Zacks Rank #3.
Iridium Communications is a satellite communications company that offers dedicated commercial global voice and data communications services to both businesses and governments in the United States as well as globally. IRDM also works with non-governmental organizations. It operates under three segments, namely Service, Subscriber equipment and Engineering and support services.
Momentum across Service revenue and Equipment and Engineering/Support sales amid a dynamic satellite backdrop is driving Iridium. Engineering and support revenue rides on expanded Space Development Agency (SDA) work and new R&D deals, supporting future growth in government programs. Hosted payload and other data services revenues grew 14% in the third quarter of 2025, driven by strength in Iridium’s Satellite Time and Location (STL), a Positioning, Navigation and Timing service, which the company acquired through the Satelles transaction in April 2024. The Iridium STL business is projected to generate more than $100 million in service revenue per year by 2030. Also, the commercial IoT unit is gaining from strong growth across consumer and commercial applications. PNT, a key catalyst, is poised to drive additional revenue for Iridium.
Image Source: Zacks Investment Research
With a Growth Score of B, IRDM’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing in one, with the average surprise being 34.52%. In the last reported quarter, IRDM delivered an earnings surprise of 34.62%. The stock has lost 35.5% over the past year. IRDM carries a Zacks Rank #3 at present.
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3 Satellite Stocks Positioned to Gain From 2026 Connectivity Growth
Key Takeaways
As the world races toward always-on connectivity and data-driven decision-making, satellite Internet and imaging technologies are emerging as critical enablers of the digital economy. From bridging the digital divide to powering real-time Earth observation, satellites are transforming how industries and governments operate across geographies. Traditional ground-based Internet infrastructure often fails to serve remote, rural and disaster-affected regions due to geographic, economic and logistical barriers. Satellite Internet, especially through Low Earth Orbit (LEO) constellations, is closing this gap by enabling high-speed broadband access regardless of terrain, delivering connectivity where fiber and mobile networks are not feasible. These technological advances are accelerating the growth of the satellite Internet market.
Per the Research and Markets report, the satellite Internet market is projected to climb from $14.56 billion in 2025 to $33.44 billion by 2030 at a robust CAGR of 18.1%. This expansion is being driven by the rollout of affordable, electronically steerable user terminals and the adoption of AI-enabled network management systems that enhance bandwidth efficiency and overall performance, as further added in the report. The report further highlights that the market is also benefiting from the transition toward cloud-integrated satellite infrastructures and rising demand from content delivery networks, which are accelerating connectivity in remote and hard-to-reach regions.
The Zacks Satellite and Communication industry has surged 209% in the past year, outperforming the Computer and Technology sector and the S&P 500 composite growth of 23.7% and 18.7%, respectively.
Image Source: Zacks Investment Research
Looking ahead to 2026, the satellite and communications industry is expected to continue strong growth. According to the Gartner report, end-user spending on LEO satellite communications services is projected to reach $14.8 billion worldwide in 2026, marking a 24.5% increase over 2025.
As the satellite industry evolves, stocks like EchoStar Corporation (SATS - Free Report) , Telesat Corporation (TSAT - Free Report) and Iridium Communications (IRDM - Free Report) are poised to benefit from these trends in 2026.
3 Satellite Stocks to Keep an Eye On in 2026
EchoStar Corporation is a global satellite communications provider, best known through its Hughes Network Systems business, which delivers broadband connectivity to consumers, enterprises, governments and mobility customers across remote and underserved regions worldwide. The company operates and manages a fleet of geostationary satellites and a large ground network to provide reliable, high-speed Internet for use cases ranging from rural broadband and community Wi-Fi to in-flight, maritime and mission-critical enterprise connectivity.
EchoStar is benefiting from the accelerating demand for satellite-based connectivity as LEO and hybrid satellite architectures gain traction and enterprises seek dependable networks to support cloud adoption, digital transformation and remote operations. Rising needs for broadband access in rural markets, government programs aimed at bridging the digital divide and expanding mobility applications are creating tailwinds for its Hughes segment. Recently, EchoStar announced that Hughes is strengthening its position in next-generation satellite communications with the launch of a new portfolio of ruggedized LEO terminals certified for Comms-on-the-Pause (COTP) service.
In September 2025, EchoStar entered into a definitive agreement with SpaceX to sell its AWS-4 and H-block spectrum licenses in a transaction valued at approximately $17 billion. The deal includes up to $8.5 billion in cash and up to $8.5 billion in SpaceX stock, valued at the time the agreement was executed. In addition, SpaceX has committed to fund around $2 billion in cash interest payments on EchoStar’s debt through November 2027, further strengthening EchoStar’s near-term financial position.
Image Source: Zacks Investment Research
With a Growth Score of A, the stock has surged 371.6% over the past year. EchoStar’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 122.7%. In the last reported quarter, SATS delivered an earnings surprise of 167.48%. SATS carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Telesat Corporation is a global satellite operator delivering mission-critical connectivity through its legacy geostationary (GEO) fleet and its next-generation LEO constellation, Telesat Lightspeed, which is designed to provide fibre-like speeds, low latency and secure communications for telecom, government, aeronautical, maritime and enterprise customers. While continuing to generate cash from its GEO business, Telesat is focused on Lightspeed, which has seen strong early demand and a contracted LEO backlog of about $1.1 billion as of September 2025.
With initial launches targeted for late 2026 and full service by the end of 2027, and backed by government and vendor financing, the company is well-positioned to benefit from rising demand for high-performance satellite communications and drive long-term growth as a key player in the LEO broadband market.
Image Source: Zacks Investment Research
Telesat has gained 78.5% over the past year. The Zacks Consensus Estimate for TSAT’s earnings for the current year has moved up 4.29% in the past 60 days. Telesat’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters, with the average surprise being 105.93%. TSAT currently carries a Zacks Rank #3.
Iridium Communications is a satellite communications company that offers dedicated commercial global voice and data communications services to both businesses and governments in the United States as well as globally. IRDM also works with non-governmental organizations. It operates under three segments, namely Service, Subscriber equipment and Engineering and support services.
Momentum across Service revenue and Equipment and Engineering/Support sales amid a dynamic satellite backdrop is driving Iridium. Engineering and support revenue rides on expanded Space Development Agency (SDA) work and new R&D deals, supporting future growth in government programs. Hosted payload and other data services revenues grew 14% in the third quarter of 2025, driven by strength in Iridium’s Satellite Time and Location (STL), a Positioning, Navigation and Timing service, which the company acquired through the Satelles transaction in April 2024. The Iridium STL business is projected to generate more than $100 million in service revenue per year by 2030. Also, the commercial IoT unit is gaining from strong growth across consumer and commercial applications. PNT, a key catalyst, is poised to drive additional revenue for Iridium.
Image Source: Zacks Investment Research
With a Growth Score of B, IRDM’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters while missing in one, with the average surprise being 34.52%. In the last reported quarter, IRDM delivered an earnings surprise of 34.62%. The stock has lost 35.5% over the past year. IRDM carries a Zacks Rank #3 at present.