Space stocks are getting hammered this week, too AST SpaceMobile NASDAQ: ASTS this is not the case. Shares of the Midland, Texas-based company have fallen more than 18% since the market closed on Wednesday, July 15, and the main suspect appears to be dampening investor sentiment in that corner of the market.
With SpaceX NASDAQ: SPCX now trading below its IPO price, the Elon Musk-led firm’s poor performance has resurfaced in the industry. Key competitors—including space-based mobile broadband (D2D) provider AST SpaceMobile, launch services provider Rocket Lab NASDAQ: RKLBand a monthly survey service provider Accurate machines NASDAQ: LUNR-posted losses ranging from 18% to 26% over the past five days.
For ASTS shareholders, higher volatility has come to be expected. But this latest development builds on another concerning, bearish stock that has seen the stock slide nearly 60% since hitting its all-time high (ATH) on May 28.
AST SpaceMobile Is the Second Victim of SpaceX’s Fall and Success
On Thursday, July 16, SPCX shares were trading about 42% below their post-IPO high. That performance reflects a broad, ongoing pullback of CapEx-intensive technology stocks, which has had a major impact on the AI infrastructure trade.
But in space cells, it took the form of a direct fix. As D2D’s competitor to SpaceX, AST SpaceMobile saw the worst losses as the volatile attitude coincided with the company’s ill-received offering of $1 billion in senior convertible notes, due in 2034. That has led to speculation that the brand’s need for capital for its core business is cause for concern going forward.
AST SpaceMobile Today
- 52 week interval
- $36.08
▼
$133.86
- Target Value
- $86.95
With SpaceX faltering, the spotlight has once again turned to AST SpaceMobile’s balance sheet.
The company is expected to spend about $3 billion this year and next, with free cash flow not expected until at least 2028.
Scale up to where AST SpaceMobile wants big money. In Q1, that contributed to a year-over-year (YOY) revenue decline of over 292% despite YOY revenue growth of over 1,952%.
Subsequently, earnings per share (EPS) have been disrupted. In Q1, diluted EPS came in at a negative 66 cents, missing consensus by 23 cents and marking the worst performance since the company went public in April 2021.
Meanwhile, SpaceX’s Starlink D2D dominance is fueling concerns that BlueBird’s AST SpaceMobile deployment is failing to meet the company’s 2026 launch goal of placing 45 satellites in low Earth orbit by early next year.
New AST SpaceMobile 2x Leveraged ETF Fails to Attract Income
While there are many basic reasons for investors to be concerned, one comes in the form of a poorly timed leveraged-traded fund (ETF) debut.
On June 23, Leverage Shares launched nine new 2x single-stock ETFs, one of which was an ETF. Find shares of the 2X Long ASTG Daily ETF NASDAQ: ASTG. According to a press release, “the new Cboe-listed ETFs are designed to target up to 200% exposure to the daily performance of their underlying stock.”
As a result, since its post-debut rally on July 2, the ETF has more than doubled ASTS’s losses and is down nearly 63%. The poor timing of its release has dampened fund inflows and added another sales storm to the AST SpaceMobile news, which has benefited short sellers (more on that below).
Wall Street’s Outlook Remains Moderately Reserved
AST SpaceMobile Stock Forecast Today
$86.95
51.39% changedHold on
Based on 11 Analyst Ratings
| Current Price | $57.44 |
|---|---|
| High Forecast | $108.00 |
| Average prediction | $86.95 |
| Low Prognosis | $45.60 |
AST SpaceMobile Stock Forecast Details
Apart from being the leading competitor of SpaceX, the most striking feature of AST SpaceMobile is perhaps its highest volatility, which is shown by its current beta of 2.69.
For casual investors who are comfortable with a company operating at a significant loss—both now and for the foreseeable future—ASTS’s crash from its ATH may be the perfect entry setup. The stock’s $87 consensus price implies a potential upside of 58% from current prices.
That may partly explain the bullish buying among institutional investors. In Q2, inflows of $110 million easily outpaced outflows of $1.77 million, building on the momentum seen in Q1 with revenues of $329 million compared to $19 million in outflows.
But for Wall Street experts, AST SpaceMobile’s high volatility is a red flag.
Overall, ASTS receives a consensus Reduce rating. Of the 11 analysts currently covering the stock, three have assigned a sell rating, six have assigned a hold rating, and two have assigned a buy rating. Current short interest remains high at over 21% of shares, or 64.7 million shares of approximately 388 million shares outstanding.
Before you consider the AST SpaceMobile, you’ll want to hear this.
MarketBeat tracks Wall Street’s top and most effective research analysts and the stocks they recommend to their clients every day. MarketBeat identified five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on… and AST SpaceMobile wasn’t on the list.
Although AST SpaceMobile currently has a hold rating among analysts, senior analysts believe these five stocks are a better buy.
View Five Stocks Here
Discover the 10 Best Stocks to Go for 2026 and secure a reliable income in uncertain markets. Download the report now to identify high dividend payers and avoid common dividend pitfalls.
Get This Free Report
