AST SpaceMobile (NASDAQ:ASTS) Stock Price Up 3.9% - Here's What Happened

Key Points

• AST SpaceMobile shares rose 3.9% on Wednesday, hitting an intraday high of $88.95 as trading volume jumped to about 29.4 million shares, well above the average.
• The main catalyst was the successful orbital launch of BlueBirds 8, 9, and 10, which investors view as a major execution milestone for the company’s direct-to-phone satellite network rollout.
• Despite the stock move, analysts remain cautious overall: the consensus rating is “Reduce” with an average price target of $81.33, and recent results showed a wider-than-expected loss and weaker-than-expected revenue.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report)'s share price rose 3.9% on Wednesday . The stock traded as high as $88.95 and last traded at $85.43. Approximately 29,411,508 shares traded hands during trading, an increase of 60% from the average daily volume of 18,340,254 shares. The stock had previously closed at $82.25.

More AST SpaceMobile News

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

• Positive Sentiment: AST SpaceMobile announced the successful orbital launch of BlueBirds 8, 9, and 10, its largest commercial communications satellites to date, which strengthens confidence in its direct-to-phone network rollout. AST SpaceMobile Announces Successful Orbital Launch of BlueBirds 8, 9, and 10
• Positive Sentiment: The successful deployment of three BlueBird satellites into orbit is being treated as a major execution win and a step toward commercial-scale service, which has helped lift ASTS shares. AST SpaceMobile shares rise after launch of three BlueBird satellites
• Neutral Sentiment: Some articles note that ASTS is benefiting from renewed attention on the space sector and from trading interest around the SpaceX IPO, but this is more of a market flow effect than a direct fundamental change for the company. AST SpaceMobile Announces Launch Date for Its Next 3 BlueBird Satellites
• Negative Sentiment: One recent note pointed to rising competition and execution risk in the satellite communications market, reminding investors that ASTS still faces meaningful hurdles even after the launch success. Can ASTS Thrive Despite Rising Competition in the SATCOM Space?

Wall Street Analysts Forecast Growth

ASTS has been the topic of several recent research reports. Roth Mkm reiterated a "buy" rating and set a $108.00 target price on shares of AST SpaceMobile in a research report on Tuesday, May 12th. B. Riley Financial lifted their target price on shares of AST SpaceMobile from $75.00 to $85.00 and gave the company a "neutral" rating in a research report on Tuesday, May 12th. UBS Group decreased their target price on shares of AST SpaceMobile from $85.00 to $80.00 and set a "neutral" rating on the stock in a research report on Tuesday, May 12th. Barclays lifted their price target on shares of AST SpaceMobile from $60.00 to $65.00 and gave the company an "underweight" rating in a report on Thursday, April 9th. Finally, New Street Research set a $106.00 price target on shares of AST SpaceMobile in a report on Friday, May 29th. One analyst has rated the stock with a Buy rating, seven have issued a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Reduce" and an average price target of $81.33.

AST SpaceMobile Price Performance

The company's fifty day moving average price is $90.11 and its two-hundred day moving average price is $88.57. The company has a market cap of $33.16 billion, a price-to-earnings ratio of -47.99 and a beta of 2.70. The company has a quick ratio of 18.37, a current ratio of 18.47 and a debt-to-equity ratio of 1.11.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last announced its earnings results on Monday, May 11th. The company reported ($0.66) EPS for the quarter, missing the consensus estimate of ($0.23) by ($0.43). The business had revenue of $14.74 million for the quarter, compared to analyst estimates of $39.01 million. AST SpaceMobile had a negative return on equity of 24.87% and a negative net margin of 573.67%.The business's revenue for the quarter was up 1952.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($0.20) EPS. On average, equities research analysts forecast that AST SpaceMobile, Inc. will post -1.47 EPS for the current fiscal year.

Insider Buying and Selling at AST SpaceMobile

In other AST SpaceMobile news, major shareholder Hiroshi Mikitani sold 1,350,000 shares of the business's stock in a transaction on Wednesday, April 15th. The shares were sold at an average price of $86.22, for a total transaction of $116,397,000.00. Following the completion of the sale, the insider owned 27,980,155 shares in the company, valued at approximately $2,412,448,964.10. The trade was a 4.60% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Julio A. Torres sold 15,000 shares of the business's stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $76.34, for a total transaction of $1,145,100.00. Following the sale, the director owned 43,239 shares of the company's stock, valued at $3,300,865.26. This trade represents a 25.76% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 3,185,809 shares of company stock worth $284,200,492. Company insiders own 20.89% of the company's stock.

Hedge Funds Weigh In On AST SpaceMobile

A number of hedge funds have recently bought and sold shares of ASTS. AQR Capital Management LLC boosted its stake in AST SpaceMobile by 11.8% in the first quarter. AQR Capital Management LLC now owns 34,548 shares of the company's stock worth $786,000 after buying an additional 3,642 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of AST SpaceMobile by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 79,764 shares of the company's stock worth $1,814,000 after buying an additional 3,515 shares during the period. Millennium Management LLC lifted its holdings in shares of AST SpaceMobile by 16.1% in the 1st quarter. Millennium Management LLC now owns 467,626 shares of the company's stock worth $10,634,000 after buying an additional 64,989 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of AST SpaceMobile by 18.1% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 325,621 shares of the company's stock worth $7,405,000 after acquiring an additional 49,811 shares in the last quarter. Finally, Strs Ohio acquired a new position in AST SpaceMobile during the 1st quarter valued at about $168,000. 60.95% of the stock is owned by hedge funds and other institutional investors.

About AST SpaceMobile

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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