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Tuesday, AST Spacemobile (NASDAQ:ASTS) received a consistent vote of confidence from Cantor Fitzgerald, with analyst Colin Canfield upholding an Overweight rating and a $30.00 price target for the company’s stock. According to InvestingPro data, analyst targets range from $30 to $64, with a strong consensus recommendation of 1.62 (Buy). The reaffirmation follows AST Spacemobile’s announcement of its full-year revenue guidance, updates on satellite deployments, and new bookings in Defense and gateway equipment sectors. Current analysis suggests the stock is trading above its Fair Value.
AST Spacemobile, which specializes in satellite communications, is expected to perform in line with the market today after sharing its latest business developments. The stock has shown remarkable momentum, delivering an impressive 1,112% return over the past year. The company has provided its first full-year revenue forecast, with InvestingPro analysts projecting 10.54% revenue growth for FY2025. Additionally, AST Spacemobile has secured incremental bookings in the Defense sector and for gateway equipment, indicating a growing business footprint.
Despite these positive updates, Cantor Fitzgerald anticipates that the stock will trade flat due to the increased costs associated with satellite materials and launch deployments. These costs are expected to counterbalance any newfound optimism from the company’s recent announcements. InvestingPro data reveals the company maintains strong liquidity with a current ratio of 10.62, though it reported negative EBITDA of -$196 million in the last twelve months. Get access to 12 more exclusive ProTips and comprehensive financial analysis through InvestingPro’s detailed research reports.
The firm also noted that while AST Spacemobile might benefit from strong retail sentiment due to clear support from the technology sector and the U.S. Government, as well as updates on satellite manufacturing and deployments, there is a current trend among investors favoring liquidity over catalyst-driven stories. This preference could affect the stock’s performance given AST Spacemobile’s significant cash consumption cycle at this stage of its development.
Looking ahead, Cantor Fitzgerald views AST Spacemobile as a well-positioned provider in the satellite communication and eventual Earth Intelligence market, with positive catalysts on the horizon. The company’s strategic plans include securing more commercial agreements and awards from the U.S. and international governments. These achievements are likely to materialize following the launch of initial services, which are contingent on the deployment of approximately 25 satellites, with early projections pointing to early 2026.
In other recent news, AST SpaceMobile Inc. reported mixed financial results for the first quarter of 2025. The company posted an earnings per share (EPS) of -$0.20, which was better than the expected -$0.26. However, its revenue of $7.18 million fell short of the projected $10.94 million. AST SpaceMobile ended the quarter with $874.5 million in cash, a significant increase from the previous quarter. The company plans to launch a commercial service in early 2026, which could enhance future revenue growth. Analysts from Cantor Fitzgerald and B. Riley Securities have been inquiring about the company’s spectrum strategy and launch plans. AST SpaceMobile has been actively engaging in government contracts, including a $43 million contract with the U.S. Space Development Agency. The company is also working on a strategic agreement to acquire mid-band spectrum in the United States.
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