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    A Look At Gilat Satellite Networks (GILT) Valuation After Its Cloud Based SATCOM Modem Breakthrough

    Simply Wall St·03/20/2026 09:08:21
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    Gilat Satellite Networks (GILT) is drawing attention after announcing a joint demonstration with Amazon Web Services, SES Space and Defense, and the WAVE Consortium of a virtualized satellite modem running over cloud infrastructure at Satellite 2026.

    See our latest analysis for Gilat Satellite Networks.

    The recent cloud based SATCOM modem announcement and fresh U.S. Army orders arrive as momentum builds, with a 30 day share price return of 24.84% and a 1 year total shareholder return of 164.78% pointing to shifting expectations around Gilat’s growth and risk profile in both the short and long term.

    If this kind of cloud and satellite convergence interests you, it could be worth seeing what else is out there through 35 AI infrastructure stocks

    With the shares up 50.2% over 90 days and trading close to a US$19 price target, the key question is whether Gilat is still priced below its fundamentals or if the market is already incorporating expectations of future growth.

    Most Popular Narrative: 6.6% Undervalued

    With Gilat trading at $17.74 against a most followed fair value estimate of $19.00, the current price sits below that narrative anchor, which is built on detailed assumptions for growth, margins, and future valuation multiples.

    Proliferation of high throughput, cloud native, and software defined communications (demand for platforms like SkyEdge IV) is shifting industry architecture. This is enabling Gilat to transition to higher margin, recurring revenue through software licensing and platform as a service models. This ongoing evolution is expected to lift future gross margins and improve overall profitability.

    Read the complete narrative.

    Want to see what sits behind that $19 fair value? Recurring software revenues, margin rebuild, and a future earnings multiple that assumes real execution. The full narrative lays out the numbers.

    Result: Fair Value of $19 (UNDERVALUED)

    Have a read of the narrative in full and understand what's behind the forecasts.

    However, hefty reliance on Peru government contracts and year-over-year gross margin compression leave little room for execution missteps before that $19 fair value lens is questioned.

    Find out about the key risks to this Gilat Satellite Networks narrative.

    Another View: Valuation Gaps Open Up

    The fair value narrative pegs Gilat at $19, yet the current P/E of 62.6x is well above both the US Communications industry at 38.4x and an estimated fair ratio of 36x. That kind of premium can signal optimism or valuation risk. Which story do you think fits best?

    See what the numbers say about this price — find out in our valuation breakdown.

    NasdaqGS:GILT P/E Ratio as at Mar 2026
    NasdaqGS:GILT P/E Ratio as at Mar 2026

    Next Steps

    With such a mixed picture on valuation and growth expectations, it makes sense to move fast and test the story against the numbers yourself using 1 key reward and 3 important warning signs.

    Ready for more investment ideas?

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.