AST SpaceMobile (NASDAQ:ASTS) Shares Up 13.7% - Here's What Happened

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) shares were up 13.7% during trading on Tuesday . The company traded as high as $55.50 and last traded at $52.20. Approximately 11,417,383 shares were traded during mid-day trading, a decline of 5% from the average daily volume of 11,998,482 shares. The stock had previously closed at $45.92.

Analyst Ratings Changes

ASTS has been the subject of a number of recent analyst reports. Bank of America initiated coverage on shares of AST SpaceMobile in a research report on Wednesday, June 25th. They set a "neutral" rating and a $55.00 price target for the company. Oppenheimer assumed coverage on shares of AST SpaceMobile in a report on Monday, May 5th. They issued a "market perform" rating for the company. UBS Group restated a "buy" rating and set a $62.00 price target (up from $38.00) on shares of AST SpaceMobile in a research note on Thursday. Scotiabank lowered their price target on AST SpaceMobile from $45.40 to $42.90 and set a "sector perform" rating for the company in a research report on Thursday, August 7th. Finally, B. Riley reiterated a "buy" rating and issued a $44.00 price objective (up previously from $36.00) on shares of AST SpaceMobile in a report on Monday, June 16th. Three investment analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to data from MarketBeat, AST SpaceMobile presently has an average rating of "Moderate Buy" and a consensus price target of $48.41.

AST SpaceMobile Price Performance

The company has a market cap of $15.22 billion, a PE ratio of -25.44 and a beta of 2.33. The company has a 50-day moving average price of $48.37 and a two-hundred day moving average price of $33.45. The company has a debt-to-equity ratio of 0.42, a current ratio of 8.23 and a quick ratio of 10.62.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last announced its quarterly earnings data on Monday, August 11th. The company reported ($0.41) earnings per share (EPS) for the quarter, missing the consensus estimate 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 firm had revenue of $1.16 million for the quarter, compared to the consensus estimate of $6.37 million. Sell-side analysts expect that AST SpaceMobile, Inc. will post -0.4 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related 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 transaction of $1,782,500.00. Following the completion of the sale, the president directly owned 545,595 shares in the company, valued at approximately $19,450,461.75. This trade represents a 8.39% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Shanti B. Gupta sold 15,000 shares of the stock in a transaction on Monday, June 9th. The stock was sold at an average price of $36.08, for a total transaction of $541,200.00. Following the transaction, the chief operating officer owned 315,667 shares in the company, 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 have sold 129,250 shares of company stock worth $4,671,650. 34.15% of the stock is owned by insiders.

Hedge Funds Weigh In On AST SpaceMobile

A number of institutional investors have recently made changes to their positions in ASTS. Rakuten Group Inc. acquired a new position in shares of AST SpaceMobile in the first quarter valued at $705,398,000. Alphabet Inc. acquired a new position in shares of AST SpaceMobile in the 1st quarter worth approximately $203,375,000. T. Rowe Price Investment Management Inc. bought a new stake in shares of AST SpaceMobile during the fourth quarter worth $59,523,000. Northern Trust Corp increased its position in AST SpaceMobile by 2.7% in the 1st quarter. Northern Trust Corp now owns 1,266,315 shares of the company's stock valued at $28,796,000 after acquiring an additional 33,259 shares in the last quarter. Finally, Oppenheimer & Co. Inc. raised its position in AST SpaceMobile by 4.1% in the 1st quarter. Oppenheimer & Co. Inc. now owns 888,654 shares of the company's stock worth $20,208,000 after purchasing an additional 34,591 shares during the last quarter. 60.95% of the stock is currently owned by institutional investors.

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.