AST SpaceMobile (NASDAQ:ASTS) Shares Up 13.7% - Still a Buy?

Key Points

• AST SpaceMobile's stock price increased by 13.7% during trading, reaching a high of $55.50 before closing at $52.20.
• Analysts maintain a consensus rating of "Moderate Buy" for AST SpaceMobile, with a price target averaging $44.99.
• Insider selling has been notable, with key executives collectively selling over 184,000 shares in the past 90 days, indicating a potential decrease in insider confidence.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report)'s stock price shot up 13.7% during mid-day trading on Tuesday . The company traded as high as $55.50 and last traded at $52.20. 11,417,383 shares traded hands during mid-day trading, a decline of 5% from the average session volume of 11,998,482 shares. The stock had previously closed at $45.92.

Analyst Ratings Changes

ASTS has been the topic of several analyst reports. B. Riley reaffirmed a "buy" rating and set a $44.00 price target (up previously from $36.00) on shares of AST SpaceMobile in a research report on Monday, June 16th. Roth Capital reissued a "buy" rating on shares of AST SpaceMobile in a research note on Tuesday. Bank of America assumed coverage on shares of AST SpaceMobile in a report on Wednesday, June 25th. They set a "neutral" rating and a $55.00 target price on the stock. Oppenheimer started coverage on AST SpaceMobile in a research report on Monday, May 5th. They set a "market perform" rating on the stock. Finally, Scotiabank decreased their target price on AST SpaceMobile from $45.40 to $42.90 and set a "sector perform" rating for the company in a report on Thursday, August 7th. Three analysts have rated the stock with a hold rating and five have issued a buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $44.99.

AST SpaceMobile Price Performance

The business has a 50-day simple moving average of $46.76 and a two-hundred day simple moving average of $32.82. The stock has a market capitalization of $15.92 billion, a price-to-earnings ratio of -25.26 and a beta of 2.33. The company has a quick ratio of 10.62, a current ratio of 10.62 and a debt-to-equity ratio of 0.60.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last issued its quarterly earnings results on Monday, August 11th. The company reported ($0.41) EPS for the quarter, missing the consensus estimate of ($0.19) by ($0.22). The firm had revenue of $1.16 million during the quarter, compared to analysts' expectations of $6.37 million. AST SpaceMobile had a negative net margin of 7,033.22% and a negative return on equity of 23.56%. As a group, research analysts predict that AST SpaceMobile, Inc. will post -0.4 earnings per share for the current fiscal year.

Insider Activity

In other news, President Scott Wisniewski sold 50,000 shares of the stock in a transaction on Monday, June 9th. The stock was sold at an average price of $35.65, for a total value of $1,782,500.00. Following the transaction, the president owned 545,595 shares of the company's stock, valued at $19,450,461.75. This represents a 8.39% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, COO Shanti B. Gupta sold 15,000 shares of the stock in a transaction dated Monday, June 9th. The stock was sold at an average price of $36.08, for a total value of $541,200.00. Following the transaction, the chief operating officer owned 315,667 shares of the company's stock, valued at approximately $11,389,265.36. This trade represents a 4.54% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 184,250 shares of company stock valued at $6,146,750. Insiders own 41.80% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of ASTS. Rakuten Group Inc. acquired a new position in shares of AST SpaceMobile during the first quarter valued at about $705,398,000. Alphabet Inc. purchased a new stake in AST SpaceMobile in the 1st quarter valued at $203,375,000. T. Rowe Price Investment Management Inc. purchased a new position in AST SpaceMobile during the 4th quarter worth $59,523,000. Voya Investment Management LLC grew its stake in shares of AST SpaceMobile by 1,992.5% in the 1st quarter. Voya Investment Management LLC now owns 843,554 shares of the company's stock worth $19,182,000 after acquiring an additional 803,240 shares in the last quarter. Finally, Jump Financial LLC bought a new position in shares of AST SpaceMobile during the first quarter valued at about $14,750,000. Institutional investors 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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