AST SpaceMobile (NASDAQ:ASTS) Shares Down 4.4% - Should You Sell?

Key Points

• AST SpaceMobile's share price fell 4.4%, trading between $46.05 and $48.16, with a significantly lower trading volume than usual.
• Analysts have mixed views on AST SpaceMobile, with a consensus rating of "Moderate Buy" and a target price of $48.41.
• The company reported a loss of ($0.41) earnings per share, missing analyst expectations, and had revenues of $1.16 million for the quarter.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report)'s stock price was down 4.4% on Tuesday . The company traded as low as $46.07 and last traded at $46.05. Approximately 2,422,632 shares traded hands during trading, a decline of 80% from the average daily volume of 11,916,824 shares. The stock had previously closed at $48.16.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. Scotiabank reduced their target price on shares of AST SpaceMobile from $45.40 to $42.90 and set a "sector perform" rating for the company in a research note on Thursday, August 7th. Roth Capital restated a "buy" rating on shares of AST SpaceMobile in a research report on Tuesday, August 12th. Oppenheimer assumed coverage on shares of AST SpaceMobile in a research report on Monday, May 5th. They set a "market perform" rating for the company. Bank of America assumed coverage on shares of AST SpaceMobile in a research report on Wednesday, June 25th. They issued a "neutral" rating and a $55.00 price objective for the company. Finally, UBS Group boosted their price objective on shares of AST SpaceMobile from $38.00 to $62.00 and gave the company a "buy" rating in a research report on Thursday, August 14th. Five investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $48.41.

AST SpaceMobile Stock Down 4.9%

The firm has a market capitalization of $14.50 billion, a price-to-earnings ratio of -24.18 and a beta of 2.33. The stock has a 50 day moving average of $48.64 and a 200 day moving average of $33.86. The company has a quick ratio of 8.23, a current 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 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 business had revenue of $1.16 million for the quarter, compared to analyst estimates of $6.37 million. As a group, analysts expect that AST SpaceMobile, Inc. will post -0.4 earnings per share for the current fiscal year.

Insider Buying and Selling at AST SpaceMobile

In related news, CTO Huiwen Yao sold 4,250 shares of the stock in a transaction dated Tuesday, June 10th. The stock was sold at an average price of $34.60, for a total value of $147,050.00. Following the completion of the sale, the chief technology officer directly owned 20,750 shares of the company's stock, valued at approximately $717,950. This represents a 17.00% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, COO Shanti B. Gupta sold 15,000 shares of the company's stock in a transaction that occurred on Monday, June 9th. The shares were sold at an average price of $36.08, for a total transaction of $541,200.00. Following the completion of the transaction, the chief operating officer owned 315,667 shares in the company, valued at approximately $11,389,265.36. This represents a 4.54% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 129,250 shares of company stock valued at $4,671,650. Company insiders own 41.80% of the company's stock.

Institutional Investors Weigh In On AST SpaceMobile

Several hedge funds and other institutional investors have recently modified their holdings of ASTS. Flagship Private Wealth LLC lifted its position in AST SpaceMobile by 2.8% during the 2nd quarter. Flagship Private Wealth LLC now owns 9,106 shares of the company's stock worth $426,000 after buying an additional 250 shares in the last quarter. SBI Securities Co. Ltd. boosted its stake in AST SpaceMobile by 0.5% during the 2nd quarter. SBI Securities Co. Ltd. now owns 56,619 shares of the company's stock worth $2,646,000 after acquiring an additional 268 shares during the last quarter. Signaturefd LLC raised its holdings in AST SpaceMobile by 25.2% during the 2nd quarter. Signaturefd LLC now owns 1,826 shares of the company's stock worth $85,000 after buying an additional 367 shares during the period. Tsfg LLC grew its stake in shares of AST SpaceMobile by 37.0% during the 2nd quarter. Tsfg LLC now owns 1,370 shares of the company's stock worth $64,000 after acquiring an additional 370 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC grew its stake in shares of AST SpaceMobile by 2.4% in the second quarter. Wealth Enhancement Advisory Services LLC now owns 16,641 shares of the company's stock valued at $759,000 after buying an additional 392 shares in the last quarter. Institutional investors and hedge funds own 60.95% of the company's stock.

About AST SpaceMobile

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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