AST SpaceMobile (NASDAQ:ASTS) Trading 8.3% Higher - Time to Buy?

Key Points

• AST SpaceMobile's stock surged 8.3% to $48.85, with trading volume increasing by 16% from its average session volume.
• Analyst ratings are mixed, with three analysts issuing a buy rating and a consensus price target of $42.82.
• The company reported a quarterly loss of ($0.41) EPS, significantly missing analysts' expectations of ($0.19) EPS and generating only $1.16 million in revenue.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report) traded up 8.3% during trading on Monday . The company traded as high as $48.93 and last traded at $48.85. 13,545,821 shares traded hands during mid-day trading, an increase of 16% from the average session volume of 11,683,453 shares. The stock had previously closed at $45.10.

Analyst Ratings Changes

A number of research analysts have commented on the company. B. Riley restated a "buy" rating and issued a $44.00 target price (up previously from $36.00) on shares of AST SpaceMobile in a research note on Monday, June 16th. William Blair began coverage on AST SpaceMobile in a research note on Thursday, August 21st. They set a "market perform" rating for the company. Bank of America began coverage on AST SpaceMobile in a research note on Wednesday, June 25th. They set a "neutral" rating and a $55.00 price target for the company. Scotiabank decreased their price target on AST SpaceMobile from $45.40 to $42.90 and set a "sector perform" rating for the company in a research note on Thursday, August 7th. Finally, Roth Capital reissued a "buy" rating on shares of AST SpaceMobile in a research report on Tuesday, August 12th. Three analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, AST SpaceMobile currently has a consensus rating of "Hold" and a consensus price target of $42.82.

AST SpaceMobile Stock Performance

The firm has a fifty day simple moving average of $48.38 and a 200 day simple moving average of $36.49. The company has a current ratio of 8.23, a quick ratio of 8.23 and a debt-to-equity ratio of 0.42. The stock has a market cap of $17.51 billion, a price-to-earnings ratio of -25.85 and a beta of 2.43.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last posted its quarterly earnings results on Monday, August 11th. The company reported ($0.41) EPS for the quarter, missing the consensus estimate of ($0.19) by ($0.22). The firm had revenue of $1.16 million during the quarter, compared to analyst estimates of $6.37 million. AST SpaceMobile had a negative net margin of 7,213.90% and a negative return on equity of 26.81%. As a group, sell-side analysts expect that AST SpaceMobile, Inc. will post -0.4 earnings per share for the current year.

Insider Buying and Selling

In other news, CTO Huiwen Yao sold 40,000 shares of the stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $40.58, for a total value of $1,623,200.00. Following the completion of the transaction, the chief technology officer directly owned 4,750 shares of the company's stock, valued at approximately $192,755. This represents a 89.39% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CFO Andrew Martin Johnson sold 20,000 shares of the stock in a transaction that occurred on Tuesday, August 26th. The stock was sold at an average price of $52.48, for a total value of $1,049,600.00. Following the completion of the transaction, the chief financial officer directly owned 397,485 shares of the company's stock, valued at approximately $20,860,012.80. The trade was a 4.79% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 41.80% of the company's stock.

Institutional Investors Weigh In On AST SpaceMobile

Hedge funds and other institutional investors have recently bought and sold shares of the business. Atlantic Union Bankshares Corp acquired a new stake in AST SpaceMobile during the 2nd quarter valued at $28,000. Binnacle Investments Inc bought a new position in AST SpaceMobile in the 2nd quarter valued at $33,000. Chapman Financial Group LLC bought a new position in AST SpaceMobile in the 2nd quarter valued at $38,000. Spire Wealth Management bought a new position in AST SpaceMobile in the 2nd quarter valued at $45,000. Finally, Newbridge Financial Services Group Inc. bought a new position in AST SpaceMobile in the 2nd quarter valued at $47,000. 60.95% of the stock is owned by institutional investors and hedge funds.

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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