AST SpaceMobile (NASDAQ:ASTS) Shares Up 10.3% – Here’s What Happened

Shares of AST SpaceMobile, Inc. (NASDAQ:ASTS) traded up 10.3% during mid-day trading on Tuesday . The stock traded as high as $64.63 and last traded at $63.34. 18,262,186 shares were traded during mid-day trading, a decline of 2% from the average daily volume of 18,653,061 shares. The stock had previously closed at $57.42.

Trending Headlines about AST SpaceMobile

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

• Positive Sentiment: AST SpaceMobile completed its private offering of $1.15 billion of convertible senior notes due 2034, boosting liquidity and funding flexibility for its satellite network plans. AST SpaceMobile Announces Completion of Private Offering of $1.15 Billion of Convertible Senior Notes Due 2034
• Positive Sentiment: Shares were helped by a broader risk-on move in space stocks, with the sector rebounding after recent weakness. AST SpaceMobile Catapults 12%, SpaceX Rises 7%, Virgin Galactic and Rocket Lab Rally as Space Stock Trade Takes a Risk-on Turn
• Positive Sentiment: A new bullish note argued the convertible financing supports AST SpaceMobile’s long-term growth and could accelerate its constellation timeline, reinforcing the stock’s investment case. AST SpaceMobile: Convertible Notes Accelerate Its Full Potential (Rating Upgrade)
• Neutral Sentiment: There was also a premarket headline about Midland approving a much larger factory incentive package, which may support manufacturing plans but does not directly change near-term fundamentals. ASTS Stock Jumps Premarket: Midland Approves Factory Nearly 5x Larger Than AST SpaceMobile’s Original Plant
• Negative Sentiment: Investor caution remains high after a law firm announced it is investigating claims on behalf of ASTS investors, which can add uncertainty and pressure sentiment. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of AST SpaceMobile, Inc. – ASTS
• Negative Sentiment: Jim Cramer’s comments calling AST SpaceMobile “losing a fortune” and warning it could fall further may weigh on sentiment among retail traders. Jim Cramer Says Buy Lyft at $15, But Warns AST SpaceMobile Is “Losing a Fortune” and Could Fall to $40

Analyst Ratings Changes

Several equities analysts have commented on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of AST SpaceMobile in a research report on Wednesday, June 24th. Deutsche Bank Aktiengesellschaft cut AST SpaceMobile from a “buy” rating to a “hold” rating and reduced their price target for the stock from $117.00 to $106.00 in a research report on Friday, May 29th. Roth Capital reiterated a “buy” rating and set a $108.00 price target on shares of AST SpaceMobile in a research note on Tuesday, May 12th. William Blair reissued a “market perform” rating on shares of AST SpaceMobile in a report on Friday, May 29th. Finally, New Street Research set a $106.00 price objective on AST SpaceMobile in a research note on Friday, May 29th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, five have given a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $86.95.

AST SpaceMobile Stock Up 10.3%

The firm has a market capitalization of $24.58 billion, a price-to-earnings ratio of -35.58 and a beta of 2.69. The company has a debt-to-equity ratio of 1.11, a quick ratio of 18.37 and a current ratio of 18.47. The business’s 50 day moving average is $86.26 and its 200-day moving average is $89.12.

AST SpaceMobile (NASDAQ:ASTS) last released its earnings results 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 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 firm’s revenue was up 1952.2% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.20) EPS. Equities analysts anticipate that AST SpaceMobile, Inc. will post -1.45 EPS for the current fiscal year.

Insider Activity at AST SpaceMobile

In other AST SpaceMobile news, CFO Andrew Martin Johnson sold 45,809 shares of AST SpaceMobile stock in a transaction that occurred on Thursday, June 11th. The stock was sold at an average price of $93.81, for a total value of $4,297,342.29. Following the transaction, the chief financial officer directly owned 503,619 shares of the company’s stock, valued at $47,244,498.39. The trade was a 8.34% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Julio A. Torres sold 15,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $76.34, for a total value of $1,145,100.00. Following the transaction, the director owned 43,239 shares of the company’s stock, valued at approximately $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. Insiders sold a total of 105,809 shares of company stock worth $9,748,492 in the last 90 days. 20.89% of the stock is owned by company insiders.

Hedge Funds Weigh In On AST SpaceMobile

Several large investors have recently bought and sold shares of the stock. Vanguard Group Inc. increased its holdings in shares of AST SpaceMobile by 7.9% during the 4th quarter. Vanguard Group Inc. now owns 21,488,180 shares of the company’s stock worth $1,560,687,000 after purchasing an additional 1,568,292 shares during the period. Vodafone Ventures Ltd acquired a new position in shares of AST SpaceMobile during the fourth quarter valued at about $397,413,000. Morgan Stanley lifted its stake in shares of AST SpaceMobile by 44.0% in the fourth quarter. Morgan Stanley now owns 4,661,551 shares of the company’s stock valued at $338,569,000 after buying an additional 1,425,199 shares during the period. Geode Capital Management LLC lifted its stake in shares of AST SpaceMobile by 9.8% in the fourth quarter. Geode Capital Management LLC now owns 4,522,549 shares of the company’s stock valued at $328,749,000 after buying an additional 402,505 shares during the period. Finally, State Street Corp grew its position in AST SpaceMobile by 9.7% during the fourth quarter. State Street Corp now owns 3,951,685 shares of the company’s stock worth $287,011,000 after buying an additional 350,690 shares in the last quarter. 60.95% of the stock is currently owned by institutional investors and hedge funds.

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.