AST SpaceMobile (NASDAQ:ASTS) Stock Price Up 18.2% - Here's Why

Key Points

• AST SpaceMobile stock jumped 18.2%, trading as high as $73.85 and last at $72.65 on heavy volume (24.45M shares, +103% vs. average session volume).
• The company reported Q3 EPS of -$0.45 vs. -$0.18 expected and revenue of $14.74M (vs. $22.04M est.), remaining deeply unprofitable despite revenue rising 1,236% year-over-year.
• Analysts are mixed with a consensus "Hold" and average target of $45.66 (well below the current price); insiders recently bought and sold shares (director Adriana Cisneros bought 750 shares at $50.79, CFO sold 10,000 at $56), and insiders own 30.9% of shares.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report) shot up 18.2% during trading on Thursday . The stock traded as high as $73.85 and last traded at $72.65. 24,455,223 shares changed hands during trading, an increase of 103% from the average session volume of 12,037,980 shares. The stock had previously closed at $61.44.

Wall Street Analyst Weigh In

Several research firms have weighed in on ASTS. Roth Capital reaffirmed a "buy" rating on shares of AST SpaceMobile in a research report on Tuesday, August 12th. Weiss Ratings reissued a "sell (e+)" rating on shares of AST SpaceMobile in a research note on Monday, November 24th. William Blair started coverage on shares of AST SpaceMobile in a report on Thursday, August 21st. They set a "market perform" rating on the stock. UBS Group cut shares of AST SpaceMobile from a "buy" rating to a "neutral" rating and cut their price target for the company from $62.00 to $43.00 in a research note on Tuesday, September 9th. Finally, Barclays lowered shares of AST SpaceMobile from an "overweight" rating to an "underweight" rating and set a $60.00 price objective on the stock. in a research note on Friday, October 17th. Three investment analysts have rated the stock with a Buy rating, five have given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat.com, AST SpaceMobile currently has a consensus rating of "Hold" and an average target price of $45.66.

AST SpaceMobile Stock Up 18.2%

The company has a debt-to-equity ratio of 0.43, a quick ratio of 9.48 and a current ratio of 9.56. The firm has a fifty day simple moving average of $68.10 and a 200-day simple moving average of $52.23. The firm has a market cap of $26.66 billion, a price-to-earnings ratio of -58.59 and a beta of 2.76.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last released its quarterly earnings data on Monday, November 10th. The company reported ($0.45) EPS for the quarter, missing the consensus estimate of ($0.18) by ($0.27). The company had revenue of $14.74 million during the quarter, compared to analyst estimates of $22.04 million. AST SpaceMobile had a negative net margin of 1,639.59% and a negative return on equity of 27.76%. AST SpaceMobile's revenue for the quarter was up 1236.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($1.10) earnings per share. As a group, sell-side analysts expect that AST SpaceMobile, Inc. will post -0.4 EPS for the current year.

Insider Buying and Selling at AST SpaceMobile

In related news, Director Adriana Cisneros bought 750 shares of AST SpaceMobile stock in a transaction dated Thursday, November 20th. The shares were bought at an average cost of $50.79 per share, with a total value of $38,092.50. Following the acquisition, the director owned 784,077 shares in the company, valued at $39,823,270.83. This trade represents a 0.10% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, CFO Andrew Martin Johnson sold 10,000 shares of AST SpaceMobile stock in a transaction that occurred on Wednesday, November 26th. The shares were sold at an average price of $56.00, for a total transaction of $560,000.00. Following the completion of the transaction, the chief financial officer directly owned 387,485 shares in the company, valued at $21,699,160. This trade represents a 2.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 30.90% of the company's stock.

Institutional Trading of AST SpaceMobile

Institutional investors and hedge funds have recently modified their holdings of the business. REAP Financial Group LLC bought a new position in AST SpaceMobile in the third quarter valued at about $25,000. Harvest Fund Management Co. Ltd bought a new position in shares of AST SpaceMobile in the third quarter worth about $29,000. Atlantic Union Bankshares Corp acquired a new stake in shares of AST SpaceMobile in the 2nd quarter valued at approximately $28,000. Geneos Wealth Management Inc. grew its holdings in shares of AST SpaceMobile by 225.0% during the 3rd quarter. Geneos Wealth Management Inc. now owns 650 shares of the company's stock valued at $32,000 after purchasing an additional 450 shares during the last quarter. Finally, Binnacle Investments Inc acquired a new position in AST SpaceMobile during the 2nd quarter worth approximately $33,000. 60.95% of the stock is currently owned by institutional investors.

AST SpaceMobile Company Profile

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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