NEW YORK, June 30, 2026, 10:04 (EDT)
- EchoStar dropped 1.5% at the open on Nasdaq. QQQ added 0.7%, SPY gained 0.2%.
- Dish DBS could file for Chapter 11 bankruptcy as soon as Tuesday, according to the Wall Street Journal.
- EchoStar’s 2030 convertible notes are in a conversion period through Tuesday’s close. Holders can choose to convert, and EchoStar has the option to pay in cash, deliver roughly 58 million Class A shares, or do a mix.
- Nasdaq will be open for regular trading Tuesday. June 30 is not a holiday in 2026, and the market runs 9:30 a.m. to 4:00 p.m. ET.
EchoStar Corporation NASDAQ:ECHO traded down 1.5% to $99.28 after opening, as Dish DBS bankruptcy chatter took a bite out of the stock. EchoStar, which dropped its SATS ticker for ECHO on June 24, also heads into the last day for investors to convert its 2030 convertible notes on Tuesday.
| Early U.S. trade | Latest quote | Day range | Tape read |
|---|---|---|---|
| EchoStar NASDAQ:ECHO | $99.28, -1.5% | $97.50-$100.64 | Lagged SPY by 1.7 |
| SpaceX NASDAQ:SPCX | $162.42, -1.1% | $160.38-$165.76 | Feeds into EchoStar’s spectrum deal |
| QQQ NASDAQ:QQQ | $729.00, +0.7% | $723.00-$729.34 | Tech names found support |
| SPY (NYSEARCA:SPY) | $742.17, +0.2% | $740.50-$742.97 | Market edged a bit higher |
| XLC (NYSEARCA:XLC) | $107.05, -0.8% | $106.94-$108.00 | Comms sector faded |
The numbers are based on trades at about 9:48 to 9:49 a.m. EDT. EchoStar trailed QQQ by around 2.2 percentage points and was about 0.8 point behind the communications ETF. That’s a narrow spread for a stock that had a bankruptcy event reported in the sector.
EchoStar’s Dish DBS satellite TV arm is expected to file for Chapter 11 as early as Tuesday, The Wall Street Journal reported, citing sources. The Journal said Dish DBS carries about $25 billion in debt and EchoStar has backing from more than 82% of holders on nearly $10 billion of Dish DBS debt.
| Investor issue | Reported or filed figure | Why it matters |
|---|---|---|
| Dish DBS has backing for restructuring | More than 82% of DDBS debt holders | Lets the unit proceed in or out of court |
| EchoStar debt pressure | $24.25 billion net; $6.24 billion current portion at March 31 | Even with asset sales, cash remains tight |
| 2030 convertibles | $1.906 billion principal; $33.63 initial conversion price | Stock price is about triple the conversion level |
| Possible conversion into stock | About 58 million Class A shares | Roughly 20% of Q1 average common shares |
| Q1 pay-TV decline | Down 366,000 subscribers; 6.63 million left | Business is big, but losses continue |
EchoStar said in its March filing that its restructuring support deal with the ad hoc group gives it more room for potential M&A. EchoStar also said any current litigation would be dropped with prejudice. The filing noted the company prepaid about $1.6 billion of DBS SubscriberCo debt with no penalty.
The stock side of the convertible notes is straight math. At $99.28, 58 million shares come out to about $5.76 billion, just under 20% of EchoStar’s $28.6 billion market cap. EchoStar could settle in cash, shares, or both, so those shares might not hit the market. The company is weighing this funding as Dish DBS heads for court.
This isn’t trading like a standard pay-TV bankruptcy, since the market is still figuring in the spectrum value. Last month, the FCC signed off on EchoStar’s $40 billion spectrum sale: 65 megahertz to SpaceX for $17 billion, 50 megahertz to AT&T at $23 billion. The FCC also made EchoStar set aside $2.4 billion in escrow for old license commitments.
EchoStar isn’t getting much lift from its core business. First-quarter revenue dropped to $3.67 billion, down from $3.87 billion a year ago. The company also booked a net loss of $146.9 million. Pay-TV sales came in at $2.29 billion, off from $2.54 billion, while pay-TV OIBDA slid to $527.4 million from $729.9 million.
EchoStar founder and CEO Charlie Ergen last week called the move to the ECHO ticker a sign the company has grown “from a pure-play satellite company to a global corporate leader with a diverse set of connectivity assets.” For traders, it’s simpler. The question is whether the value of the spectrum and maybe a SpaceX stake will balance out DBS debt issues, cash needs and convertibles. EchoStar Corporation
The current conversion period wraps up after the close Tuesday. After that, future convertibility depends on tests under the indenture, which look at quarterly share price triggers. EchoStar shares have to trade at least 130% above the conversion price for the set time window.
