AST SpaceMobile (NASDAQ:ASTS) Stock Falls 8.5% - Should You Sell?

Key Points

• AST SpaceMobile shares dropped 8.5% to $40.66 amid concerns over launch delays, rising competition from SpaceX’s Starlink, litigation exposure, and continued earnings and revenue shortfalls.
• The company’s long-term outlook depends on launching its BlueBird satellite constellation on schedule and converting partnerships—such as its completed TELUS integration test—into commercial revenue. Analysts estimate ASTS could miss its 60-satellite target until 2028.
• Analyst sentiment is mixed: Piper Sandler downgraded the stock to Neutral and cut its target to $54, while the broader consensus remains Hold with an $80.18 price target. AST SpaceMobile recently missed quarterly EPS and revenue expectations, reporting a $0.77 loss per share on $31.52 million in revenue.

AST SpaceMobile, Inc. (NASDAQ:ASTS - Get Free Report)'s share price fell 8.5% during mid-day trading on Friday. The stock traded as low as $40.02 and last traded at $40.66. 17,009,199 shares traded hands during trading, an increase of 1% from the average daily volume of 16,811,486 shares. The stock had previously closed at $44.46.

Key Stories Impacting AST SpaceMobile

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

• Positive Sentiment: AST SpaceMobile and TELUS completed an integration test connecting TELUS’s terrestrial network with AST’s satellite system, supporting the company’s strategy to provide direct-to-smartphone connectivity in remote and underserved areas. Launch Delays Could Change The Case For AST SpaceMobile Stock
• Neutral Sentiment: Management’s long-term investment case still depends on launching its BlueBird satellite constellation on schedule and converting partnerships into commercial revenue. Progress on those milestones could help determine whether the recent selloff is temporary or reflects a deeper change in the company’s outlook. AST SpaceMobile Is Building Something Wall Street Can’t Ignore
• Negative Sentiment: SpaceX’s expanding Starlink spectrum access and satellite deployment plans are increasing competitive pressure. Analysts also questioned whether AST SpaceMobile has sufficient launch capacity to build a midband constellation, with one estimate suggesting the 60-satellite target could slip to 2028. ASTS Stock Heads For Worst Year Since Listing
• Negative Sentiment: Piper Sandler downgraded AST SpaceMobile from Overweight to Neutral, while ongoing earnings and revenue shortfalls continue to undermine confidence in the company’s execution and near-term valuation. Piper Sandler Downgrades AST SpaceMobile
• Negative Sentiment: Several law firms publicized a securities class action covering investors who purchased ASTS securities from March 4, 2025, through July 15, 2026. The allegations include potentially misleading disclosures about liquidity and capital needs, including roughly $3 billion of convertible-note offerings. The lead-plaintiff deadline is November 13, 2026, adding legal and reputational overhang. ASTS Securities Class Action Deadline Alert
• Negative Sentiment: AST SpaceMobile’s stock has fallen about 67% over the reported period as investors reassess launch timing, competition, litigation exposure, and the company’s ability to meet its revenue plan. AST SpaceMobile Is Down 67%—Could SpaceX’s Mobile Push Deepen the Selloff?

Analysts Set New Price Targets

A number of equities research analysts have recently commented on ASTS shares. William Blair reaffirmed a "market perform" rating on shares of AST SpaceMobile in a report on Monday, October 5th. Deutsche Bank Aktiengesellschaft raised AST SpaceMobile from a "hold" rating to a "buy" rating and set a $93.00 price objective for the company in a research note on Monday. UBS Group initiated coverage on AST SpaceMobile in a research report on Wednesday, September 2nd. They set a "buy" rating for the company. Berenberg Bank initiated coverage on AST SpaceMobile in a report on Wednesday, September 2nd. They issued a "buy" rating and a $92.00 target price on the stock. Finally, Piper Sandler cut AST SpaceMobile from an "overweight" rating to a "neutral" rating and cut their price target for the stock from $98.00 to $54.00 in a research note on Tuesday. Five analysts have rated the stock with a Buy rating, seven have issued a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $80.18.

AST SpaceMobile Stock Down 8.5%

The company has a quick ratio of 12.90, a current ratio of 13.05 and a debt-to-equity ratio of 1.24. The stock has a market capitalization of $15.82 billion, a PE ratio of -19.00 and a beta of 2.72. The firm's fifty day moving average is $61.23 and its 200-day moving average is $74.42.

AST SpaceMobile (NASDAQ:ASTS - Get Free Report) last released its earnings results on Monday, August 10th. The company reported ($0.77) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.32) by ($0.45). The business had revenue of $31.52 million for the quarter, compared to analyst estimates of $34.53 million. AST SpaceMobile had a negative return on equity of 22.88% and a negative net margin of 536.66%. During the same quarter in the previous year, the firm posted ($0.41) EPS. On average, equities research analysts predict that AST SpaceMobile, Inc. will post -1.92 earnings per share for the current year.

Insider Buying and Selling at AST SpaceMobile

In related news, CTO Huiwen Yao sold 40,000 shares of the firm's stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $58.93, for a total value of $2,357,200.00. Following the completion of the sale, the chief technology officer owned 34,750 shares in the company, valued at $2,047,817.50. This trade represents a 53.51% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Shanti B. Gupta sold 12,000 shares of the business's stock in a transaction dated Wednesday, September 16th. The stock was sold at an average price of $58.89, for a total transaction of $706,680.00. Following the sale, the chief operating officer directly owned 462,980 shares in the company, valued at approximately $27,264,892.20. This represents a 2.53% decrease in their position. The SEC filing for this sale provides additional information. 20.89% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On AST SpaceMobile

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Tidal Investments LLC raised its stake in shares of AST SpaceMobile by 9,876.8% during the 2nd quarter. Tidal Investments LLC now owns 1,049,061 shares of the company's stock worth $93,220,000 after buying an additional 1,038,546 shares during the last quarter. Tema ETFs LLC raised its position in AST SpaceMobile by 109,486.8% during the second quarter. Tema ETFs LLC now owns 1,003,815 shares of the company's stock worth $89,199,000 after acquiring an additional 1,002,899 shares during the last quarter. Bank of America Corp DE lifted its holdings in shares of AST SpaceMobile by 140.3% in the first quarter. Bank of America Corp DE now owns 1,644,246 shares of the company's stock valued at $136,259,000 after purchasing an additional 960,045 shares in the last quarter. Bank of New York Mellon Corp purchased a new stake in shares of AST SpaceMobile in the second quarter valued at about $67,907,000. Finally, Sumitomo Mitsui Trust Group Inc. acquired a new stake in shares of AST SpaceMobile in the first quarter valued at approximately $34,627,000. 60.95% of the stock is owned by institutional investors and hedge funds.

AST SpaceMobile Company Profile

AST SpaceMobile, Inc develops a space-based cellular broadband network designed to connect standard mobile phones directly to satellites without requiring specialized satellite phones or equipment. The company's objective is to extend mobile connectivity to areas that lack reliable terrestrial cellular coverage, including remote and underserved regions.

Its system is built around the planned SpaceMobile satellite constellation, including BlueBird satellites equipped with large communications arrays.

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