Satellite communications provider EchoStar Corporation stock (SATS) skyrocketed in the charts by rising 50% on Monday’s trading session. Over the last five days, SATS spiked nearly 58%, rising from a low of $15 to a high of $25. An investment of $1,000 turned into $1,580 in just one week, defying all odds.

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The incredible momentum has stayed strong for a year as EchoStar Corporation stock is looking to breach its 52-week high. It had reached a high of $31 and could surge further if it holds on to the positive momentum. The explosive surge caused an influx of investments into SATS where retail traders made the most from day-trading.

EchoStar Stock: Should You Buy SATS Now?

EchoStar announced that it is ready to roll out 5G services to customers but hit a snag after the Federal Communications Commission put regulatory scrutiny. The company missed settling a $500 million interest payout and the FCC has asked it to fix the settlement in 30 days. A default in the settlement in 30 days could send EchoStar stock backward and erase all gains it generated this week.

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The settlements come when EchoStar is yet to come out of its financial struggles, as it’s competing for market share with giants like T-Mobile and AT&T. UBS Securities acknowledged the risk and gave a ‘neutral’ rating to SATS considering the latest developments. However, UBS wrote that if the $500 million interest payout is settled on time, it will provide EchoStar stock with a price target of $28.

That’s an uptick and return on investment (ROI) of approximately 12% from its current price of $25. An investment of $1,000 could turn into $1,120 in a month if the forecast turns out to be accurate. Traders who want risk betting on EchoStar’s $500 million interest payout, can take an entry position in the stock.