AST SpaceMobile (NASDAQ:ASTS) Shares Gap Down on Disappointing Earnings

Key Points

• AST SpaceMobile shares fell sharply after the company reported disappointing quarterly results, opening well below the prior close and trading down about 11.9% on the day.
• The company posted EPS of -$0.66, missing the consensus estimate of -$0.23, and revenue of $14.74 million, far below the expected $39.01 million.
• Despite the earnings miss, the article notes ongoing long-term progress in manufacturing, regulatory approvals, partnerships, and satellite rollout plans, though execution risks remain high.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report) shares gapped down before the market opened on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $82.55, but opened at $73.43. AST SpaceMobile shares last traded at $73.3970, with a volume of 8,512,637 shares traded.

The company reported ($0.66) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.23) by ($0.43). The firm had revenue of $14.74 million for the quarter, compared to the consensus estimate of $39.01 million. AST SpaceMobile had a negative net margin of 482.16% and a negative return on equity of 23.02%. The business's revenue for the quarter was up 1952.2% on a year-over-year basis. During the same quarter in the prior year, the firm posted ($0.20) earnings per share.

Key Stories Impacting AST SpaceMobile

Here are the key news stories impacting AST SpaceMobile this week:

• Positive Sentiment: Management emphasized continued progress on manufacturing, regulatory matters, partnerships, and government programs, supporting the long-term growth story. AST SpaceMobile Provides Business Update and First Quarter 2026 Results
• Positive Sentiment: Investors were optimistic about recent speed breakthroughs and the company’s potential to improve service performance. AST SpaceMobile's stock is on the rise as investors gear up for earnings from the SpaceX rival
• Positive Sentiment: The company received FCC approval to deploy and operate a 248-satellite constellation, which supports its commercial rollout plans. AST SpaceMobile Weighs FCC Win Against BlueBird 7 Setback And Valuation
• Neutral Sentiment: Multiple earnings call transcripts and presentation materials were released, but they mainly reinforce the same mix of progress and execution risk. AST SpaceMobile, Inc. (ASTS) Q1 2026 Earnings Call Transcript
• Negative Sentiment: Q1 results missed both EPS and revenue estimates, reinforcing concerns that the business is still in an investment-heavy, pre-scale phase. AST SpaceMobile, Inc. (ASTS) Reports Q1 Loss, Misses Revenue Estimates
• Negative Sentiment: A satellite loss and rollout delay continue to add execution risk to the investment case. AST SpaceMobile Weighs FCC Win Against BlueBird 7 Setback And Valuation

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Deutsche Bank Aktiengesellschaft set a $117.00 target price on shares of AST SpaceMobile in a research report on Wednesday, April 15th. Zacks Research raised shares of AST SpaceMobile from a "strong sell" rating to a "hold" rating in a research report on Wednesday, March 4th. Barclays lifted their price objective on AST SpaceMobile from $60.00 to $65.00 and gave the company an "underweight" rating in a report on Thursday, April 9th. New Street Research set a $115.00 price target on AST SpaceMobile in a research note on Monday, April 20th. Finally, Wall Street Zen lowered AST SpaceMobile from a "sell" rating to a "strong sell" rating in a research note on Wednesday, April 15th. Two equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Reduce" and an average price target of $82.51.

Insider Activity at AST SpaceMobile

In other news, CTO Huiwen Yao sold 40,000 shares of the firm's stock in a transaction that occurred on Monday, March 23rd. The shares were sold at an average price of $88.88, for a total transaction of $3,555,200.00. Following the completion of the sale, the chief technology officer owned 4,750 shares of the company's stock, valued at approximately $422,180. This trade represents a 89.39% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, major shareholder Hiroshi Mikitani sold 1,350,000 shares of the business's stock in a transaction that occurred on Wednesday, April 15th. The stock was sold at an average price of $86.22, for a total value of $116,397,000.00. Following the completion of the transaction, the insider directly owned 27,980,155 shares in the company, valued at $2,412,448,964.10. The trade was a 4.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 3,080,000 shares of company stock valued at $274,452,000. Company insiders own 30.90% of the company's stock.

Institutional Trading of AST SpaceMobile

Several large investors have recently made changes to their positions in ASTS. Oslo Pensjonsforsikring AS acquired a new stake in shares of AST SpaceMobile in the first quarter valued at $76,000. Baader Bank Aktiengesellschaft acquired a new position in AST SpaceMobile during the 1st quarter worth about $1,604,000. Cassaday & Co Wealth Management LLC acquired a new position in AST SpaceMobile during the 1st quarter worth about $119,000. Legacy Wealth Managment LLC ID grew its holdings in AST SpaceMobile by 4,190.3% during the 1st quarter. Legacy Wealth Managment LLC ID now owns 1,330 shares of the company's stock worth $110,000 after acquiring an additional 1,299 shares during the last quarter. Finally, Hollencrest Capital Management grew its holdings in AST SpaceMobile by 11.7% during the 1st quarter. Hollencrest Capital Management now owns 1,592 shares of the company's stock worth $132,000 after acquiring an additional 167 shares during the last quarter. Institutional investors own 60.95% of the company's stock.

AST SpaceMobile Stock Down 11.9%

The stock has a market cap of $27.78 billion, a price-to-earnings ratio of -55.63 and a beta of 2.60. The company has a debt-to-equity ratio of 0.92, a quick ratio of 16.27 and a current ratio of 16.35. The firm's 50-day simple moving average is $85.64 and its two-hundred day simple moving average is $82.86.

AST SpaceMobile Company Profile

AST SpaceMobile is a U.S.-based aerospace company developing a space-based cellular broadband network designed to connect standard mobile phones and other devices directly to satellites. The company's core proposition is “space-to-cell” service: operating a constellation of low-Earth-orbit (LEO) satellites equipped with large, high-power phased-array antennas to provide wide-area mobile broadband without requiring users to buy specialized terminals or handset modifications.

AST SpaceMobile designs, builds and operates satellite payloads and supporting ground infrastructure.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.