Gilat Satellite (GILT) might be seriously under radar and undervalued

We are talking about an Israeli satcom/defense company with 35 years of story, it is valued like a small cap at $874,08 mi, despite projecting a guidance of $450 million total revenue in 2025, that's 45% increase compared to 2024 YoY.

It is currently trading at around 25–30 times forward EPS despite growing revenue over 40% year-on-year. Adjusted EBITDA has climbed from about $30 million in 2022 to a projected $50 million for 2025, maintaining solid double-digit margins even as revenue grows more than 40%.

But now let's dive in:

What does it do?
Gilat builds the hardware and software that let satellites deliver internet, military comms, and inflight Wi-Fi anywhere on Earth.
It doesn’t launch satellites, it builds the infrastructure that makes satellites useful for its customers.

Recent acquisitions:
In recent years, Gilat acquired Wavestream, DataPath, and Stellar Blu to cover every layer of satellite communication, from radio amplifiers and tactical defense terminals to high-speed antennas for aircraft, turning itself from a modem maker into a full-scale satellite infrastructure company. All three based on American soil.

Tech achievements:
Gilat is transforming from a traditional satellite equipment supplier into a modern communications technology company. It develops cloud-based and AI-driven network platforms, advanced antennas for in-flight connectivity, and secure communication systems for defense and government use. Through its U.S. subsidiaries, the company now integrates hardware, software, and network management to support multi-orbit satellite operations (LEO, MEO, GEO). Its focus on virtualization, automation, and mobility positions Gilat as one of the leading players in next-generation satellite connectivity.

Customers and contracts:
Active contracts span defense, aviation, and government broadband programs worldwide with a total backlog of roughly US$450 million and customers ranging from the DoD (US$70 million), Israeli Army, OneWeb and national telecom agencies worldwide.

Cash and debt:
After the Stellar Blu acquisition, Gilat’s cash dropped from about $118 million to roughly $5 million, later rebuilt to around $65 million through a private share placement. Total debt stands near $100 million, leaving net debt around $30–40 million, a manageable level at less than one times projected 2025 EBITDA.

Conclusion:
In my view, Gilat is one of those “boring” and overlooked companies that deliver solid results and techs and have consistent growth, but lacks hype. It doesn’t build rockets or launch flashy satellites but it builds the wiring, antennas, and network brains that keep everything connected once those satellites are in orbit. It’s full of cables, code, and complex connectivity, but together they form the invisible backbone of defense communications, inflight Wi-Fi, and rural broadband. Gilat sits on the real infrastructure of global communication: profitable, under-the-radar, technically dense, and strategically essential for the defense industry, at a price of a small cap but with serious backlog, tech and guidance.