AST SpaceMobile (NASDAQ:ASTS) Shares Up 5.8% - Here's Why

Key Points

• AST SpaceMobile shares jumped 5.8% to $73.90 on Thursday, with 13.4 million shares trading—about 13% below its average session volume.
• Wall Street is mixed: the consensus rating is "Reduce" with a $82.51 target, as analysts' opinions range from Buy to Sell and price targets span roughly $43 to $117.
• The company missed quarterly EPS estimates (‑$0.26 vs. ‑$0.18) despite revenue rising ~2731% year-over-year, and insiders have been selling heavily—Hiroshi Mikitani sold 1.35 million shares (~$116.4M) and insiders sold 3.08 million shares in the past 90 days.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report) shot up 5.8% on Thursday . The company traded as high as $74.36 and last traded at $73.90. 13,404,674 shares were traded during mid-day trading, a decline of 13% from the average session volume of 15,420,905 shares. The stock had previously closed at $69.85.

Wall Street Analyst Weigh In

Several research firms recently commented on ASTS. Wall Street Zen lowered shares of AST SpaceMobile from a "sell" rating to a "strong sell" rating in a research note on Wednesday, April 15th. Zacks Research upgraded AST SpaceMobile from a "strong sell" rating to a "hold" rating in a research report on Wednesday, March 4th. Deutsche Bank Aktiengesellschaft set a $117.00 price objective on AST SpaceMobile in a research note on Wednesday, April 15th. B. Riley Financial cut their target price on AST SpaceMobile from $105.00 to $95.00 and set a "neutral" rating on the stock in a research report on Friday, February 13th. Finally, UBS Group upped their target price on AST SpaceMobile from $43.00 to $85.00 and gave the company a "neutral" rating in a report on Wednesday, March 4th. Two investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and three have given a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Reduce" and a consensus target price of $82.51.

AST SpaceMobile Stock Performance

The firm's 50-day moving average price is $87.10 and its two-hundred day moving average price is $83.56. The company has a quick ratio of 16.27, a current ratio of 16.35 and a debt-to-equity ratio of 0.92. The firm has a market capitalization of $28.23 billion, a PE ratio of -55.98 and a beta of 2.81.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last issued its quarterly earnings results on Monday, March 2nd. The company reported ($0.26) EPS for the quarter, missing the consensus estimate of ($0.18) by ($0.08). AST SpaceMobile had a negative net margin of 482.16% and a negative return on equity of 23.02%. The firm had revenue of $54.31 million during the quarter, compared to analysts' expectations of $39.53 million. The business's revenue was up 2731.3% on a year-over-year basis. As a group, research analysts predict that AST SpaceMobile, Inc. will post -0.99 earnings per share for the current fiscal year.

Insider Buying and Selling at AST SpaceMobile

In related news, major shareholder Hiroshi Mikitani sold 1,350,000 shares of the stock in a transaction dated 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 sale, the insider directly owned 27,980,155 shares of the company's stock, valued at approximately $2,412,448,964.10. This represents a 4.60% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CTO Huiwen Yao sold 40,000 shares of the firm's stock in a transaction dated Monday, March 23rd. The stock was sold at an average price of $88.88, for a total value of $3,555,200.00. Following the sale, the chief technology officer owned 4,750 shares of the company's stock, valued at $422,180. The trade was a 89.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 3,080,000 shares of company stock valued at $274,452,000. 30.90% of the stock is currently owned by insiders.

Hedge Funds Weigh In On AST SpaceMobile

Several institutional investors and hedge funds have recently bought and sold shares of ASTS. REAP Financial Group LLC purchased a new position in AST SpaceMobile during the third quarter valued at approximately $25,000. Crewe Advisors LLC acquired a new position in AST SpaceMobile in the 4th quarter valued at approximately $25,000. Laurel Wealth Advisors LLC acquired a new position in AST SpaceMobile in the 4th quarter valued at approximately $25,000. Byrne Asset Management LLC purchased a new stake in AST SpaceMobile in the 4th quarter worth approximately $29,000. Finally, Acumen Wealth Advisors LLC acquired a new stake in shares of AST SpaceMobile during the 4th quarter valued at $29,000. Hedge funds and other institutional investors own 60.95% of the company's stock.

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.

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