AST SpaceMobile (NASDAQ:ASTS) Shares Down 2.8% - Here's What Happened

Key Points

• AST SpaceMobile's shares fell 2.8% on Wednesday, trading at around $43.70, significantly lower than their average session volume of shares traded.
• UBS Group raised its price target for AST SpaceMobile from $38.00 to $62.00, contributing to a consensus rating of "Moderate Buy" with a target price of $48.41.
• The company reported an earnings per share of ($0.41) for the last quarter, missing estimates, with revenue of $1.16 million against forecasts of $6.37 million.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report) fell 2.8% on Wednesday . The stock traded as low as $42.00 and last traded at $43.70. 3,258,383 shares traded hands during trading, a decline of 73% from the average session volume of 11,906,275 shares. The stock had previously closed at $44.95.

Analyst Ratings Changes

A number of research analysts recently commented on the company. UBS Group increased their price target on AST SpaceMobile from $38.00 to $62.00 and gave the company a "buy" rating in a report on Thursday, August 14th. Zacks Research raised AST SpaceMobile from a "strong sell" rating to a "hold" rating in a report on Monday. B. Riley reaffirmed a "buy" rating and set a $44.00 target price (up previously from $36.00) on shares of AST SpaceMobile in a report on Monday, June 16th. Roth Capital reaffirmed a "buy" rating on shares of AST SpaceMobile in a report on Tuesday, August 12th. Finally, Bank of America initiated coverage on AST SpaceMobile in a report on Wednesday, June 25th. They set a "neutral" rating and a $55.00 target price on the stock. Five investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $48.41.

AST SpaceMobile Trading Down 1.1%

The company has a market capitalization of $14.08 billion, a price-to-earnings ratio of -23.49 and a beta of 2.33. The firm has a 50-day moving average price of $48.82 and a 200-day moving average price of $33.94. The company has a current ratio of 8.23, a quick ratio of 8.23 and a debt-to-equity ratio of 0.42.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last issued its earnings results on Monday, August 11th. The company reported ($0.41) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.19) by ($0.22). AST SpaceMobile had a negative return on equity of 26.81% and a negative net margin of 7,213.90%.The company had revenue of $1.16 million during the quarter, compared to analyst estimates of $6.37 million. As a group, sell-side analysts predict that AST SpaceMobile, Inc. will post -0.4 EPS for the current year.

Insider Transactions at AST SpaceMobile

In other news, President Scott Wisniewski sold 50,000 shares of the firm's stock in a transaction dated Monday, June 9th. The stock was sold at an average price of $35.65, for a total transaction of $1,782,500.00. Following the completion of the sale, the president directly owned 545,595 shares of the company's stock, valued at $19,450,461.75. This trade represents a 8.39% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, COO Shanti B. Gupta sold 10,000 shares of the firm's stock in a transaction dated Monday, June 16th. The stock was sold at an average price of $41.84, for a total value of $418,400.00. Following the sale, the chief operating officer directly owned 305,667 shares of the company's stock, valued at $12,789,107.28. This trade represents a 3.17% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 129,250 shares of company stock valued at $4,671,650 in the last three months. Corporate insiders own 34.15% of the company's stock.

Hedge Funds Weigh In On AST SpaceMobile

Several large investors have recently added to or reduced their stakes in the company. Atlantic Union Bankshares Corp bought a new stake in AST SpaceMobile during the 2nd quarter worth approximately $28,000. Sunbelt Securities Inc. grew its position in AST SpaceMobile by 61.9% during the 1st quarter. Sunbelt Securities Inc. now owns 1,321 shares of the company's stock worth $30,000 after acquiring an additional 505 shares during the last quarter. Binnacle Investments Inc bought a new stake in AST SpaceMobile during the 2nd quarter worth approximately $33,000. GAMMA Investing LLC grew its position in AST SpaceMobile by 388.7% during the 1st quarter. GAMMA Investing LLC now owns 1,559 shares of the company's stock worth $35,000 after acquiring an additional 1,240 shares during the last quarter. Finally, Chapman Financial Group LLC bought a new stake in AST SpaceMobile during the 2nd quarter worth approximately $38,000. Institutional investors and hedge funds own 60.95% of the company's stock.

AST SpaceMobile Company Profile

AST SpaceMobile, Inc, together with its subsidiaries, develops and provides access to a space-based cellular broadband network for smartphones in the United States. Its SpaceMobile service provides cellular broadband services to end-users who are out of terrestrial cellular coverage. The company was founded in 2017 and is headquartered in Midland, Texas.

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