Gogo Inc (GOGO) AI Stock Analysis
GOGO AI stock analysis summary
AI ResearchGogo Inc provides broadband connectivity services and in-flight entertainment systems for the global aviation industry. In FY2025, revenue expanded 104.7% to $910.5M, though trailing twelve-month net profit margin slipped to -0.1% with an EPS of -$0.01. The company carries significant leverage, holding $880.6M in total debt against $63.1M in cash and short-term investments as of June 30, 2026.
- Market cap
- $288.6M
- Revenue (TTM)
- $903.3M
- P/E
- — fwd 3.7x
- 1Y return
- -76.5% S&P 500 16.8%
- Avg. target
- $8.50 299.1% vs last close
Bull case
- Gogo achieved a five-year revenue CAGR of 27.5% through FY2025, generating $124.5M in operating cash flow and $65.1M in free cash flow.
- The stock trades at a forward P/E of 3.7x and an EV/EBITDA of 7.4x, both lower than the US-listed Communication Services peer medians of 14.1x and 10.0x.
- Analysts maintain a mean price target of $8.50, pointing to a potential 299.1% upside from the recent close of $2.13.
Bear case
- The balance sheet carries $880.6M in total debt against just $63.1M in cash and short-term investments, resulting in a high debt-to-equity ratio of 7.30.
- Profitability has deteriorated, with gross margin compressing from 69.6% in FY2021 to 59.1% in FY2025 and trailing twelve-month EPS falling to -$0.01.
- Gogo shares have dropped 76.5% over the past year, trading 44.0% below their 200-day moving average amid a high short interest of 17.4% of float.
What Gogo does
Headquartered in Broomfield, Colorado, Gogo Inc. specializes in broadband connectivity services tailored for the aviation industry in the United States and internationally. Founded in 1991, the company operates across three segments: Commercial Aviation North America, Commercial Aviation Rest of World, and Business Aviation. Its offerings include designing, building, and operating air-to-ground networks, engineering proprietary hardware and software systems, and providing satellite-based voice and data solutions. Gogo also delivers smart cabin systems that integrate connectivity, in-flight entertainment, and voice tools for commercial airlines and business aviation operators.
Growth and profitability
Gogo grew annual revenue from $335.7M in FY2021 to $910.5M in FY2025, achieving a five-year revenue compound annual growth rate of 27.5%. Annual revenue surged 104.7% in FY2025, up from 11.9% growth in FY2024 when revenue was $444.7M. However, profitability has contracted from historical highs; gross margin declined from 69.6% in FY2021 to 59.1% in FY2025, while operating margin fell from 35.9% to 12.5% over the same timeframe. Net income was $12.9M in FY2025, down from $145.7M in FY2023. For the trailing twelve months, revenue was $903.3M with an operating margin of 14.1% and a net loss per share of -$0.01, as latest quarter revenue fell 1.4% year-over-year.
Balance sheet and cash flow
As of June 30, 2026, Gogo held $63.1M in cash and short-term investments compared to $880.6M in total debt, resulting in net debt of $817.5M. The company maintains a debt-to-equity ratio of 7.30 alongside a current ratio of 1.73 on total assets of $1.24B. In FY2025, operating cash flow reached $124.5M, while capital expenditures were $59.4M, yielding $65.1M in free cash flow. Over the past five years, the company's share count increased by 1.7%.
Valuation and performance
At a share price of $2.13, Gogo carries a market capitalization of $288.6M and an enterprise value of $1.13B. The stock trades at a forward price-to-earnings multiple of 3.7x, below the median of its US-listed Communication Services peers of 14.1x. Its price-to-sales multiple is 0.3x versus the peer median of 0.8x, and its enterprise value-to-EBITDA ratio is 7.4x against the peer median of 10.0x. Gogo stock has dropped 76.5% over the past year and 86.9% over five years, underperforming the S&P 500 benchmark returns of 16.8% and 83.0%, respectively.
What analysts expect
Wall Street analyst coverage consists of 1 Strong Buy, 0 Buys, and 2 Holds. The mean price target is $8.50, representing a 299.1% upside compared to the last closing price of $2.13. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $894.4M and an EPS of $0.17. For the next fiscal year, projected revenue is $930.6M with EPS of $0.62. Gogo beat EPS estimates in 1 of the last 4 quarters, and its next earnings date is November 5, 2026.
Key risks and what to watch
- A total debt load of $880.6M relative to shareholders' equity of $120.7M presents significant balance sheet leverage risk.
- Operating margin narrowed from 35.9% in FY2021 to 12.5% in FY2025, highlighting pressure on operating profitability.
- Quarterly revenue fell 1.4% year-over-year in the latest quarter ending June 30, 2026, pointing to potential near-term top-line softening.
- Short interest stands at 17.4% of float, reflecting elevated market skepticism.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this GOGO AI stock analysis
This page is an AI-written research summary of Gogo Inc (GOGO). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: GOGO income statement, GOGO balance sheet, GOGO key metrics, GOGO analyst forecast, GOGO chart. See the GOGO stock overview for the latest quote and news.
GOGO AI stock analysis FAQ
What does Gogo Inc do?
Gogo Inc designs, builds, and operates aviation broadband connectivity networks and in-flight entertainment hardware and software for commercial airlines and business aircraft.
Does Gogo Inc pay a dividend?
Gogo Inc does not currently pay a dividend to shareholders.
What is Gogo's debt position?
As of June 30, 2026, Gogo had $880.6M in total debt and $63.1M in cash and short-term investments, resulting in net debt of $817.5M and a debt-to-equity ratio of 7.30.
When is Gogo's next earnings report?
Gogo's next scheduled earnings date is November 5, 2026.