Several pure-play space stocks rallied 20% or more this week, in part driven by what sector analysts called a "Trump-Elon trade." Just this week saw Rocket Lab up 41%, Intuitive Machines up 28%, Spire Global up 26%, Planet Labs up 16%, Redwire up 15% and AST SpaceMobile up 10%.
Why AST SpaceMobile Stock Just Crashed 12%
Is the market having the right reaction to AST SpaceMobile's recent third-quarter report?
ASTS reports modest third-quarter 2024 results driven by the successful orbital launch of the first five commercial satellites, the BlueBirds, along with multiple deal wins.
Why Is AST SpaceMobile Stock Plummeting After Earnings?
AST SpaceMobile (NASDAQ: ASTS) has announced agreements to secure orbital launch capacity for a global, space-based cellular broadband network accessible directly from standard smartphones. Targeting high-demand markets like the U.S., Europe, Japan, and government applications, the launch campaign will begin in 2025-2026 from Cape Canaveral, using Blue Origin's New Glenn rocket and other vehicles to deploy up to 60 next-gen Block 2 BlueBird satellites.
AST SpaceMobile's share price dropped after the release of its Q3 results, although there was little reason for this from a fundamental perspective. AST is reaching a point where it can demonstrate the viability of its business, but meaningful revenue probably remains 1-2 years away. This likely means that ASTS stock will remain at the mercy of small shifts in investor sentiment in the short term.
AST SpaceMobile plans to use Blue Origin's New Glenn rocket to launch some of the satellites for its space-based cellular broadband network in 2025 and 2026.
AST SpaceMobile, Inc. (NASDAQ:ASTS ) Q3 2024 Earnings Conference Call November 14, 2024 5:00 PM ET Company Participants Scott Wisniewski - President and Chief Strategy Officer Abel Avellan - Founder, Chairman and Chief Executive Officer Andrew Johnson - Chief Financial Officer and Chief Legal Officer Conference Call Participants Mike Crawford - B. Riley Securities Christopher Schoell - UBS Chris Quilty - Quilty Analytics Bryan Kraft - Deutsche Bank Caleb Henry - Quilty Analytics Operator Good day and thank you for standing by.
AST SpaceMobile, Inc. (ASTS) came out with quarterly earnings of $0.10 per share, beating the Zacks Consensus Estimate of a loss of $0.18 per share. This compares to loss of $0.23 per share a year ago.
Shares of AST SpaceMobile Inc. fell in extended trading Thursday after the space-based broadband company's third-quarter loss widened.
Here is how AST SpaceMobile, Inc. (ASTS) and Innodata Inc. (INOD) have performed compared to their sector so far this year.