AST SpaceMobile (NASDAQ:ASTS) Stock Price Down 3.1% – What’s Next?

AST SpaceMobile, Inc. (NASDAQ:ASTS) traded down 3.1% during mid-day trading on Wednesday . The stock traded as low as $83.40 and last traded at $86.10. 17,759,337 shares changed hands during trading, a decline of 6% from the average daily volume of 18,813,098 shares. The stock had previously closed at $88.86.

Key Stories Impacting AST SpaceMobile

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

• Positive Sentiment: Japan is reportedly preparing about 150 billion yen ($926 million) in subsidies for a Rakuten-led consortium working with AST SpaceMobile, raising hopes for a large direct-to-mobile satellite network project in Japan. ASTS Stock Eyes Comeback After 4-Week Slide: Japan Filing Confirms Rakuten-Led Pick For Nearly $1B Push By SpaceX Rival
• Positive Sentiment: Multiple reports said AST SpaceMobile and Rakuten are in talks to form a joint venture for a satellite communications network in Japan, with government support aimed at reducing reliance on foreign providers like Starlink. Rakuten satellite project to receive up to $912 million in Japan govt grant
• Positive Sentiment: ASTS also benefited from broader enthusiasm around the space sector after Rocket Lab’s deal activity lifted investor appetite for satellite and launch companies. Rocket Lab Stock Surges as Iridium Deal Feeds Market Appetite for Space
• Neutral Sentiment: Recent commentary highlighted that AST SpaceMobile has been attracting investor attention and outpacing the market, but this was mostly a reaction to the Japan partnership news rather than a separate fundamental update. Why AST SpaceMobile, Inc. (ASTS) Outpaced the Stock Market Today
• Negative Sentiment: Some reports note ASTS had been on a multi-week slide before the latest rebound, so investors may still be cautious about whether the rally can hold. ASTS Stock Eyes Comeback After 4-Week Slide: Japan Filing Confirms Rakuten-Led Pick For Nearly $1B Push By SpaceX Rival

Analyst Upgrades and Downgrades

Several research analysts have recently commented on ASTS shares. Deutsche Bank Aktiengesellschaft lowered AST SpaceMobile from a “buy” rating to a “hold” rating and decreased their target price for the stock from $117.00 to $106.00 in a research report on Friday, May 29th. Wall Street Zen downgraded shares of AST SpaceMobile from a “sell” rating to a “strong sell” rating in a report on Wednesday, April 15th. Weiss Ratings reiterated a “sell (d-)” rating on shares of AST SpaceMobile in a research note on Wednesday, June 24th. Zacks Research raised shares of AST SpaceMobile from a “strong sell” rating to a “hold” rating in a report on Wednesday, March 4th. Finally, Barclays raised their price target on shares of AST SpaceMobile from $60.00 to $65.00 and gave the stock an “underweight” rating in a research report on Thursday, April 9th. One research analyst has rated the stock with a Buy rating, six have given a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat, AST SpaceMobile presently has a consensus rating of “Reduce” and an average price target of $85.09.

AST SpaceMobile Trading Down 3.1%

The company has a market cap of $33.42 billion, a price-to-earnings ratio of -48.37 and a beta of 2.70. The company has a debt-to-equity ratio of 1.11, a current ratio of 18.47 and a quick ratio of 18.37. The firm’s fifty day moving average price is $87.16 and its 200-day moving average price is $89.40.

AST SpaceMobile (NASDAQ:ASTS) last released its quarterly earnings data on Monday, May 11th. The company reported ($0.66) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.23) by ($0.43). The firm had revenue of $14.73 million during 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 firm’s revenue was up 1952.2% on a year-over-year basis. During the same period last year, the business earned ($0.20) EPS. On average, equities analysts expect that AST SpaceMobile, Inc. will post -1.47 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, major shareholder Hiroshi Mikitani sold 1,350,000 shares of the firm’s stock in a transaction that occurred on Wednesday, April 15th. The stock was sold at an average price of $86.22, for a total value of $116,397,000.00. Following the sale, the insider directly owned 27,980,155 shares in the company, valued at $2,412,448,964.10. This trade represents a 4.60% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Julio A. Torres sold 15,000 shares of the firm’s stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $76.34, for a total value of $1,145,100.00. Following the transaction, the director directly owned 43,239 shares in the company, valued at $3,300,865.26. This trade represents a 25.76% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 3,145,809 shares of company stock worth $280,645,292. 20.89% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Crewe Advisors LLC bought a new position in AST SpaceMobile during the 4th quarter valued at $25,000. Laurel Wealth Advisors LLC acquired a new stake in shares of AST SpaceMobile in the fourth quarter valued at $25,000. Cornerstone Planning Group LLC lifted its holdings in shares of AST SpaceMobile by 16,350.0% in the first quarter. Cornerstone Planning Group LLC now owns 329 shares of the company’s stock valued at $27,000 after buying an additional 327 shares during the period. Byrne Asset Management LLC bought a new position in AST SpaceMobile during the fourth quarter valued at about $29,000. Finally, Acumen Wealth Advisors LLC bought a new position in AST SpaceMobile during the fourth quarter valued at about $29,000. Institutional investors and hedge funds own 60.95% of the company’s stock.

AST SpaceMobile Company Profile

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.