(GOGO) Gogo - Overview
Sector: Communication Services | Industry: Telecom Services | Exchange: NASDAQ (USA) | Market Cap: 552m USD | Total Return: -61% in 12m
Avg Turnover: 5.94M
EPS Trend: -95.3%
Qual. Beats: 0
Rev. Trend: 90.2%
Qual. Beats: 0
Warnings
High Debt/EBITDA (5.5) with thin interest coverage (1.4)
High Debt while negative Cash Flow
Altman Z'' -2.66 < 1.0 - financial distress zone
Tailwinds
No distinct edge detected
Gogo Inc. (NASDAQ: GOGO) provides broadband connectivity services and hardware for the global aviation industry, specifically targeting the business aviation sector. The company manages a vertically integrated platform encompassing proprietary ground-based networks, airborne equipment, and cybersecurity infrastructure. Its revenue model relies on equipment sales to original equipment manufacturers (OEMs) and recurring service fees from aircraft operators for in-flight voice, data, and entertainment.
The business aviation connectivity market is characterized by high barriers to entry due to stringent FAA certification requirements and the significant capital expenditure needed to maintain nationwide telecommunications infrastructure. Unlike commercial aviation providers, Gogo focuses on private and corporate jets, a segment where demand for secure, high-speed bandwidth remains less sensitive to broader economic volatility. Investors may find additional context on these industry dynamics by exploring the data visualizations on ValueRay.
Headquartered in Broomfield, Colorado, Gogo operates as a key player in the Wireless Telecommunication Services sub-industry. The company’s distribution strategy utilizes a network of independent dealers to facilitate hardware installations and software upgrades across a diverse fleet of business aircraft.
- Deployment of 5G network infrastructure drives subscriber upgrades and equipment revenue
- Low Earth Orbit satellite partnership enhances global connectivity and competitive positioning
- Business aviation flight volume fluctuations directly impact recurring service revenue margins
- Supply chain constraints for airborne hardware delay new aircraft installation timelines
- Competitive pressure from Starlink threatens long-term market share in business aviation segment
| Net Income: 14.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.00 > 0.02 and ΔFCF/TA -1.58 > 1.0 |
| NWC/Revenue: 18.88% < 20% (prev 28.41%; Δ -9.53% < -1%) |
| CFO/TA 0.07 > 3% & CFO 84.8m > Net Income 14.0m |
| Net Debt (852.5m) to EBITDA (156.4m): 5.45 < 3 |
| Current Ratio: 1.66 > 1.5 & < 3 |
| Outstanding Shares: last quarter (136.8m) vs 12m ago 1.13% < -2% |
| Gross Margin: 52.88% > 18% (prev 0.60%; Δ 5.23k% > 0.5%) |
| Asset Turnover: 71.96% > 50% (prev 46.08%; Δ 25.87% > 0%) |
| Interest Coverage Ratio: 1.39 > 6 (EBITDA TTM 156.4m / Interest Expense TTM 68.5m) |
| A: 0.13 (Total Current Assets 430.5m - Total Current Liabilities 259.3m) / Total Assets 1.28b |
| B: -0.92 (Retained Earnings -1.17b / Total Assets 1.28b) |
| C: 0.08 (EBIT TTM 95.1m / Avg Total Assets 1.26b) |
| D: -1.01 (Book Value of Equity -1.17b / Total Liabilities 1.16b) |
| Altman-Z'' = -2.66 = D |
| DSRI: 0.49 (Receivables 115.1m/147.2m, Revenue 906.5m/570.7m) |
| GMI: 1.14 (GM 52.88% / 60.23%) |
| AQI: 0.94 (AQ_t 0.53 / AQ_t-1 0.57) |
| SGI: 1.59 (Revenue 906.5m / 570.7m) |
| TATA: -0.06 (NI 14.0m - CFO 84.8m) / TA 1.28b) |
| Beneish M = -2.99 (Cap -4..+1) = A |
As of May 25, 2026, the stock is trading at USD 4.33 with a total of 1,648,300 shares traded.
Over the past week, the price has changed by +11.60%,
over one month by +7.18%,
over three months by -3.78% and
over the past year by -61.03%.
Gogo has received a consensus analysts rating of 3.75. Therefore, it is recommended to hold GOGO.
- StrongBuy: 1
- Buy: 1
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 10 | 130.9% |
P/E Trailing = 40.8
P/E Forward = 6.7981
P/S = 0.6087
P/B = 4.595
P/EG = -0.43
Revenue TTM = 906.5m USD
EBIT TTM = 95.1m USD
EBITDA TTM = 156.4m USD
Long Term Debt = 813.0m USD (from longTermDebt, last quarter)
Short Term Debt = 23.6m USD (from shortTermDebt, last quarter)
Debt = 956.0m USD (from shortLongTermDebtTotal, last quarter) + Leases 66.5m
Net Debt = 852.5m USD (calculated: Debt 956.0m - CCE 103.5m)
Enterprise Value = 1.40b USD (551.8m + Debt 956.0m - CCE 103.5m)
Interest Coverage Ratio = 1.39 (Ebit TTM 95.1m / Interest Expense TTM 68.5m)
EV/FCF = -1000.0x (Enterprise Value 1.40b / FCF TTM -647k)
FCF Yield = -0.05% (FCF TTM -647k / Enterprise Value 1.40b)
FCF Margin = -0.07% (FCF TTM -647k / Revenue TTM 906.5m)
Net Margin = 1.54% (Net Income TTM 14.0m / Revenue TTM 906.5m)
Gross Margin = 52.88% ((Revenue TTM 906.5m - Cost of Revenue TTM 427.1m) / Revenue TTM)
Gross Margin QoQ = 34.41% (prev 70.50%)
Tobins Q-Ratio = 1.10 (Enterprise Value 1.40b / Total Assets 1.28b)
Interest Expense / Debt = 7.17% (Interest Expense 68.5m / Debt 956.0m)
Taxrate = 37.79% (7.95m / 21.0m)
NOPAT = 59.2m (EBIT 95.1m * (1 - 37.79%))
Current Ratio = 1.66 (Total Current Assets 430.5m / Total Current Liabilities 259.3m)
Debt / Equity = 8.10 (Debt 956.0m / totalStockholderEquity, last quarter 118.0m)
Debt / EBITDA = 5.45 (Net Debt 852.5m / EBITDA 156.4m)
Debt / FCF = -1.32k (out of range, set to none) (Net Debt 852.5m / FCF TTM -647k)
Total Stockholder Equity = 107.2m (last 4 quarters mean from totalStockholderEquity)
RoA = 1.11% (Net Income 14.0m / Total Assets 1.28b)
RoE = 1.09% (Net Income TTM 14.0m / Total Stockholder Equity 1.28b)
RoCE = 4.54% (EBIT 95.1m / Capital Employed (Equity 1.28b + L.T.Debt 813.0m))
RoIC = 6.28% (NOPAT 59.2m / Invested Capital 941.9m)
WACC = 7.02% (E(551.8m)/V(1.51b) * Re(11.45%) + D(956.0m)/V(1.51b) * Rd(7.17%) * (1-Tc(0.38)))
Discount Rate = 11.45% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 33.33 | Cagr: 1.30%
[DCF] Fair Price = unknown (Cash Flow -647k)
EPS Correlation: -95.26 | EPS CAGR: -59.45% | SUE: 0.34 | # QB: 0
Revenue Correlation: 90.24 | Revenue CAGR: 41.31% | SUE: -0.68 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.12 | Chg30d=+9.09% | Revisions=+20% | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.14 | Chg30d=-6.67% | Revisions=-20% | Analysts=1
EPS current Year (2026-12-31): EPS=0.36 | Chg30d=+0.00% | Revisions=-20% | GrowthEPS=+300.0% | GrowthRev=+0.3%
EPS next Year (2027-12-31): EPS=0.80 | Chg30d=+0.00% | Revisions=-20% | GrowthEPS=+35.6% | GrowthRev=+3.5%
[Analyst] Revisions Ratio: +20%