AST SpaceMobile (NASDAQ:ASTS) Shares Down 6.7% – Time to Sell?

AST SpaceMobile, Inc. (NASDAQ:ASTS) shares were down 6.7% during mid-day trading on Wednesday . The stock traded as low as $67.06 and last traded at $68.01. Approximately 20,160,278 shares changed hands during mid-day trading, an increase of 8% from the average daily volume of 18,583,760 shares. The stock had previously closed at $72.87.

More AST SpaceMobile News

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

• Positive Sentiment: AST SpaceMobile set an August launch window for BlueBird satellites 11, 12 and 13, supporting the buildout of its space-based mobile broadband network. AST SpaceMobile Announces BlueBirds 11, 12, and 13 Orbital Launch in the First Half of August
• Positive Sentiment: The company is set to form a direct-to-mobile communications joint venture with Rakuten in Japan, with equal ownership and Rakuten leading management, expanding ASTS’s commercial reach in a major market. Market Chatter: AST SpaceMobile, Rakuten to Form Direct-to-Mobile Communications JV in Japan
• Positive Sentiment: Rakuten’s CEO described AST’s satellite push as “critical” for Japan’s security, which could boost confidence in the strategic importance of AST SpaceMobile’s network. ASTS Stock Jumps Overnight: Rakuten CEO Calls AST Satellite Push ‘Critical’ For Japan Security Amid SpaceX Rivalry

Analyst Upgrades and Downgrades

ASTS has been the subject of a number of recent research reports. Barclays boosted their target price on shares of AST SpaceMobile from $60.00 to $65.00 and gave the company an “underweight” rating in a research report on Thursday, April 9th. Deutsche Bank Aktiengesellschaft downgraded shares of AST SpaceMobile from a “buy” rating to a “hold” rating and cut their price objective for the company from $117.00 to $106.00 in a report on Friday, May 29th. Roth Mkm restated a “buy” rating and set a $108.00 target price on shares of AST SpaceMobile in a research report on Tuesday, May 12th. New Street Research set a $106.00 target price on shares of AST SpaceMobile in a report on Friday, May 29th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of AST SpaceMobile in a research report on Friday, March 27th. One analyst has rated the stock with a Buy rating, seven have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Reduce” and a consensus price target of $81.33.

AST SpaceMobile Price Performance

The company’s 50-day moving average is $88.56 and its two-hundred day moving average is $89.34. 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 has a market cap of $26.40 billion, a P/E ratio of -38.21 and a beta of 2.70.

AST SpaceMobile (NASDAQ:ASTS) last released its earnings results on Monday, May 11th. The company reported ($0.66) EPS for the quarter, missing the consensus estimate of ($0.23) by ($0.43). AST SpaceMobile had a negative net margin of 573.67% and a negative return on equity of 24.87%. The firm had revenue of $14.73 million during the quarter, compared to the consensus estimate of $39.01 million. During the same period in the prior year, the business earned ($0.20) earnings per share. AST SpaceMobile’s quarterly revenue was up 1952.2% compared to the same quarter last year. Sell-side analysts anticipate that AST SpaceMobile, Inc. will post -1.47 EPS for the current fiscal year.

Insider Activity

In other news, major shareholder Hiroshi Mikitani sold 1,690,000 shares of the business’s stock in a transaction on Tuesday, April 14th. The stock was sold at an average price of $91.42, for a total transaction of $154,499,800.00. Following the completion of the transaction, the insider owned 29,330,155 shares of the company’s stock, valued at approximately $2,681,362,770.10. The trade was a 5.45% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Julio A. Torres sold 15,000 shares of the company’s stock in a transaction 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 sale, the director owned 43,239 shares of the company’s stock, valued at approximately $3,300,865.26. This represents a 25.76% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 3,145,809 shares of company stock valued at $280,645,292 in the last three months. Company insiders own 20.89% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of ASTS. Western Wealth Management LLC lifted its holdings in shares of AST SpaceMobile by 105.3% in the first quarter. Western Wealth Management LLC now owns 9,961 shares of the company’s stock worth $825,000 after acquiring an additional 5,108 shares during the last quarter. Empowered Funds LLC bought a new stake in shares of AST SpaceMobile during the 1st quarter valued at approximately $621,000. Lombard Odier Asset Management Europe Ltd bought a new stake in shares of AST SpaceMobile during the 1st quarter valued at approximately $249,000. NewEdge Advisors LLC increased its position in AST SpaceMobile by 1.1% during the 1st quarter. NewEdge Advisors LLC now owns 93,836 shares of the company’s stock worth $7,776,000 after purchasing an additional 1,036 shares in the last quarter. Finally, Optiver Holding B.V. bought a new position in AST SpaceMobile in the 1st quarter valued at approximately $445,000. Institutional investors 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.