AST SpaceMobile (NASDAQ:ASTS) Trading 5.4% Higher - Here's What Happened

Key Points

• AST SpaceMobile's stock increased by 5.4% during recent trading, reaching a high of $53.20 before closing at $52.71, despite a 66% decline in trading volume compared to its average.
• Analyst ratings for AST SpaceMobile have been mixed, with five analysts rating it as a Buy and five as Hold, resulting in a consensus target price of $48.41.
• The company reported a quarterly loss with earnings per share of ($0.41), missing the consensus estimate, and had revenue of only $1.16 million against expectations of $6.37 million.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report)'s share price was up 5.4% during trading on Tuesday . The company traded as high as $53.20 and last traded at $52.71. Approximately 4,038,829 shares were traded during mid-day trading, a decline of 66% from the average daily volume of 11,787,621 shares. The stock had previously closed at $50.01.

Analyst Upgrades and Downgrades

ASTS has been the topic of a number of recent research reports. B. Riley restated a "buy" rating and set a $44.00 price target (up previously from $36.00) on shares of AST SpaceMobile in a report on Monday, June 16th. Scotiabank reduced their price target on shares of AST SpaceMobile from $45.40 to $42.90 and set a "sector perform" rating on the stock in a research report on Thursday, August 7th. Oppenheimer started coverage on shares of AST SpaceMobile in a research report on Monday, May 5th. They set a "market perform" rating on the stock. UBS Group upped their target price on shares of AST SpaceMobile from $38.00 to $62.00 and gave the stock a "buy" rating in a research report on Thursday, August 14th. Finally, Roth Capital reiterated a "buy" rating on shares of AST SpaceMobile in a research report on Tuesday, August 12th. Five equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $48.41.

AST SpaceMobile Price Performance

The company's 50-day moving average price is $49.49 and its 200-day moving average price is $34.62. The company has a market cap of $18.39 billion, a P/E ratio of -27.16 and a beta of 2.33. The company has a debt-to-equity ratio of 0.42, a current ratio of 8.23 and a quick ratio of 8.23.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last released its quarterly earnings results on Monday, August 11th. The company reported ($0.41) EPS for the quarter, missing analysts' consensus estimates 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 business had revenue of $1.16 million for the quarter, compared to the consensus estimate of $6.37 million. As a group, sell-side analysts predict that AST SpaceMobile, Inc. will post -0.4 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, President Scott Wisniewski sold 50,000 shares of the business's stock in a transaction that occurred on Monday, June 9th. The shares were 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 in the company, valued at approximately $19,450,461.75. The trade was a 8.39% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CTO Huiwen Yao sold 4,250 shares of the business's stock in a transaction that occurred on Tuesday, June 10th. The stock was sold at an average price of $34.60, for a total transaction of $147,050.00. Following the completion of the transaction, the chief technology officer owned 20,750 shares in the company, valued at $717,950. This trade represents a 17.00% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 129,250 shares of company stock worth $4,671,650 in the last ninety days. Company insiders own 41.80% of the company's stock.

Hedge Funds Weigh In On AST SpaceMobile

A number of hedge funds have recently bought and sold shares of the company. Rakuten Group Inc. purchased a new position in shares of AST SpaceMobile in the 1st quarter worth about $705,398,000. Alphabet Inc. bought a new stake in shares of AST SpaceMobile during the first quarter valued at about $203,375,000. Voya Investment Management LLC increased its position in shares of AST SpaceMobile by 1,992.5% during the first quarter. Voya Investment Management LLC now owns 843,554 shares of the company's stock valued at $19,182,000 after buying an additional 803,240 shares during the period. Jump Financial LLC bought a new position in shares of AST SpaceMobile in the first quarter worth approximately $14,750,000. Finally, Y Intercept Hong Kong Ltd bought a new position in shares of AST SpaceMobile in the second quarter worth approximately $21,754,000. 60.95% of the stock is owned by hedge funds and other 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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