Is SATS a high-quality business?

AlphaMadera's AlphaQuality grade scores EchoStar Corporation on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how SATS compares to a Buffett-style quality bar.

What is EchoStar Corporation's AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to SATS based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes SATS a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

SATS - EchoStar Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $136.40 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

F 13.1 / 100 pillar composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — no stock price or analyst input.

⚠ 3 of the last 5 fiscal years showed negative net income — AlphaQuality will not grade above F for persistent unprofitability in a stable earnings power business.

Grade overrides the 13.1 pillar composite because hard gates always win. Use the pillar breakdown below to see where the underlying numbers sit.

Profitability

Weight: 20%

F 0.0

5yr Avg ROIC -5.1% 0/100
Operating Margin Trend -4.97 pp/yr 0/100

Capital Efficiency

Weight: 15%

F 0.0

5yr Avg ROE -39.4% 0/100
5yr Share-Count CAGR 33.7% 0/100

Growth Quality

Weight: 15%

D+ 42.0

5yr Revenue CAGR -6.7% 7/100
5yr EPS CAGR 163.0% 100/100
Revenue-Growth Years (5) 1/5 20/100

Cash Generation

Weight: 15%

F 15.4

5yr FCF Margin -1.8% 16/100
5yr FCF/NI Conversion 0.15x 15/100

Balance Sheet

Weight: 20%

F 0.0

Net Debt / EBITDA 10.00x 0/100
Interest Coverage (EBIT/Int) -11.42x 0/100
Altman Z-Score -0.81 0/100

Stability

Weight: 15%

D- 29.7

EPS Volatility (σ/μ) 0.56 25/100
Piotroski F-Score 4 44/100
Negative-Revenue Years (5) 4/5 20/100

6 of 6 gurus held; 1 new buy; 3 added; 1 trimmed.

Holders: 6 +1
Avg Δ position: +92.5%
New buys: 1
Full exits: 0

Dalio new
Greenblatt increased +256%
Cooperman increased +233%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (15%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.