Should you sell your Gogo stock?

Roth Capital Markets analyst Scott Searle cut his price target on Gogo (Gogo Stock Quote, Chart, News, Analysts, Financials NASDAQ:GOGO) to US$13 from US$16 on Dec. 10 but reiterated a “Buy” rating, saying the recent selloff tied to an unverified NetJets–Starlink letter “should have minimal impact” on his forecasts for Gogo’s Galileo rollout.

“Unverified reports that NetJets was going to deploy Starlink’s broadband connectivity has placed GOGO under pressure for the last two trading sessions (down 20%+ since Friday’s close vs. flat NASDAQ),” he said. “While we cannot confirm the report, we believe the NetJet relationship in Europe remains sound and the actual impact to our numbers is minimal.”

Broomfield, Colo.–based Gogo provides in-flight connectivity and WiFi to roughly 5,700 business aircraft, anchored by its North American ATG (air-to-ground) network. NetJets has historically been one of its largest customers. Gogo recently won NetJets Europe for its HDX (Galileo) solution, a smaller subset of the operator’s 600–700 aircraft fleet.

Searle said the potential loss of U.S. NetJets ATG installs does not materially change his expectations for 400+ Galileo aircraft-on-line by year-end 2026 and 1,000+ by year-end 2027, noting that Gogo’s broader opportunity pipeline already exceeds 1,000 aircraft.

“Wins with VistaJet, Lux, Wheels Up and others provide comfort in these figures,” he added, pointing out that Starlink has only “400+ AoL after three years of commercial operations.”

The larger investor question, he said, is simply why NetJets would shift; pricing, 5G delays, or other factors. But Searle emphasized that Gogo is entering two major product cycles, 5G and Galileo (HDX/FDX), and continues to offer a global support and distribution footprint that “is not contained in the Starlink model.”

He said that business aviation connectivity remains underpenetrated at 20–25% globally, despite Gogo’s dominant 80–90% domestic share. That dominance will moderate over time, but Searle still expects Gogo “to maintain reasonable share in a duopoly environment with Starlink, particularly in international markets where mission-critical communications and support are paramount.”

He also noted that Starlink’s antenna size, installation requirements and lower-touch service model create friction, especially in a high-touch “white-glove” segment. Many NetJets aircraft, he said, enjoy a “more seamless and cost-effective upgrade path to 5G versus a LEO-supported upgrade which could run $300–500k per aircraft.”

Searle maintained his estimates, calling the decline a near-term digestion period rather than a thesis break.

“While a potential loss to Starlink on NetJets is disappointing, the impact to growth in Galileo would be minimal.”

With shares trading at under 6× EV/2027E EBITDA, he said “we remain buyers as the smoke clears.”

Searle expects Gogo to generate US$908.0-million revenue and US$220.3-million Adjusted EBITDA in fiscal 2025, followed by US$940.8-million revenue and US$219.6-million EBITDA in 2026.

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