AST SpaceMobile (ASTS, Financial) experienced a notable price movement with its shares rising by $1.70, or 4.0%, to approximately $44.20. The options activity was relatively subdued, with around 54,000 contracts exchanged, favoring calls over puts, resulting in a put/call ratio of 0.53, slightly below the usual 0.55 mark.
The implied volatility (IV30) declined by 4.03 to about 88.1, positioning it in the lower quartile over the past year. This suggests a projected daily price fluctuation of $2.45. Additionally, the put-call skew intensified, hinting at a higher demand for protection against potential declines.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 8 analysts, the average target price for AST SpaceMobile Inc (ASTS, Financial) is $45.55 with a high estimate of $64.00 and a low estimate of $30.00. The average target implies an upside of 3.08% from the current price of $44.19. More detailed estimate data can be found on the AST SpaceMobile Inc (ASTS) Forecast page.
Based on the consensus recommendation from 9 brokerage firms, AST SpaceMobile Inc's (ASTS, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
ASTS Key Business Developments
Release Date: May 12, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- AST SpaceMobile Inc (ASTS, Financial) is accelerating its launch and scaling of its network with 5 scheduled launches over the next 6 to 9 months.
- The company plans to deploy over 60 satellites during 2025 and 2026, providing continuous coverage in key markets such as the United States, Europe, and Japan.
- AST SpaceMobile Inc (ASTS) has secured a $43 million contract with the US Space Development Agency, highlighting the government's interest in their technology.
- The company has received special temporary authority from the FCC for FirstNet on public safety's Band 14 spectrum, enabling space-based cellular broadband connectivity for first responders.
- AST SpaceMobile Inc (ASTS) has a strong cash position with $874.5 million at the end of the first quarter, up from $567.5 million at the end of the fourth quarter of 2024.
Negative Points
- The company faces higher launch costs due to increased demand and tariffs, impacting their financial projections.
- AST SpaceMobile Inc (ASTS) anticipates a significant increase in capital expenditures in the second quarter, driven by manufacturing and launch contract payments.
- The cost per satellite has increased to a range of $21 to $23 million, up from previous estimates of $19 to $21 million, due to higher launch and materials costs.
- The company is still in a pre-monetization stage with only modest revenue recognized, primarily from limited government application contracts.
- There is uncertainty regarding the successful launch and deployment of Block 2 Bluebird satellites, which is critical for achieving revenue targets.
