How Intelsat Shares Gained 13.2% in February
Shares of Intelsat (NYSE: I) rose 13.2% in February 2020, according to data from S&P Global Market Intelligence. The communications satellite operator rode quite a roller coaster last month, jumping and falling by turns.
Intelsat's February gains started when the Federal Communications Commission (FCC) published details on the upcoming auction of C-band radio spectrum licenses. The company could pocket as much as $4.85 billion under this plan in return for selling some of its C-band licenses. That 4% jump was followed by a sharper drop as analyst firm Raymond James argued that Intelsat's stock was "fairly valued" and that the spectrum auction windfall looks smaller than expected.
On Feb. 18, noted investment firm Appaloosa Management took a 7% stake in Intelsat and sent a letter to the company discussing the firm's "dissatisfaction" with the C-band auction. Shares surged 18% higher in a single day as investors smelled a richer payout.
Source Fool.com
