AST SpaceMobile Stock Price Today
- Shares of space telecom company AST SpaceMobile (NASDAQ:ASTS) have been on a huge, multi-week downtrend, in which ASTS stock slipped from $25 in early February, to $7 by mid-April.
- But ASTS stock has reversed course sharply over the past few days.
- Since Monday, AST SpaceMobile stock has soared nearly 30%.
Why ASTS Stock Is Soaring
- Amid surging Treasury yields, fears of inflation, and hopes for big growth in cyclical parts of the economy, investors shunned early-stage technology investments for large parts of February, March, and April.
- AST SpaceMobile is the earliest of early-stage technology investments, as it is a pre-revenue company that doesn’t expect to commence commercial operations until 2023. ASTS stock found itself on the losing side of this shift.
- But this shift was overdone, and in now starting to reverse course, as yields have flattened out and concerns about the durability of the recovery have emerged.
- As this shift has reversed course, ASTS stock has bounced back in a big way.
Does It Matter?
- No. The huge sell-off and subsequent sharp rebound in ASTS stock does not matter all that much, because it’s all just near-term noise in a company that could one day change the world.
- AST SpaceMobile is building the world’s first space-based cellular broadband network.
- No, this isn’t like Elon Musk’s Starlink project. Starlink beams cell signal to ground towers, which then transmits those cell signals to phones. AST SpaceMobile’s breakthrough is that they’ve developed a proprietary technology to beam cell signal straight from their satellite to a smartphone, entirely bypassing ground towers.
- That’s a huge deal, because the whole point of a space-based cellular broadband network is using satellites to transmit cell signal to phones where ground towers cannot reach and/or when ground towers go down.
- Starlink and other projects cannot do this. AST SpaceMobile can.
- To that end, AST SpaceMobile could change the world. About 4 billion people on this planet still don’t have cellular broadband connection, while around 5 billion mobile phones today are constantly moving in and out coverage.
- AST SpaceMobile is building a network to fix both of those problems. It will beam high-speed cellular broadband connection to everyone, everywhere, at all time, without any dead spots.
- If the company pulls this off, ASTS stock will be a potential 100X winner.
ASTS Stock Price Forecast
- AST SpaceMobile is a pre-revenue company that has only launched one satellite, which is still seeking all the necessary licenses, is still trying to figure out how to make all these satellites in a scalable manner, and which won’t start commercial operations until 2023.
- Naturally, there are enormous execution risks here.
- These risks are largely offset by the company’s breakthrough technology, which enables satellite-to-phone direct cell signal, partnerships and investments from some of the world’s largest telecom companies like Vodafone and Rakuten, and a strong engineering team that includes 161 scientists and engineers, 24 of whom are PhDs and 40 of whom have previously built and launched satellites.
- If anyone is going to figure out this problem and create a world-changing, space-based cellular broadband network, it’s going to be AST SpaceMobile.
- If the company is successful, our modeling says this could one day be a $500 stock.
- The odds of success and potential upside are high enough that long-term investors may want to consider taking a position in ASTS stock.
AST SpaceMobile stock is part of a basket of high-quality, hypergrowth stocks with tons of long-term potential, but it’s been beaten and bruised over the past few weeks as the market has turned its back on early-stage growth companies.
Emerging companies in the nascent space economy have tremendous upside value, and many of these stocks are deeply oversold. This gives them the potential for 100% upside or more as the tide appears to be turning in their favor.
Now is the time to buy these stocks. ASTS stock is just one of dozens of stocks out there that could give you big returns from current levels over the next few months and years. The others? Well, we have created a portfolio of stocks which we think represent the most innovative, most exciting early-stage tech stocks in the market with big-time upside potential.
To get the names, ticker symbols, and key business details of those potential 10X winners, subscribe to Exponential Growth Report here.
On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.
By uncovering early investments in hypergrowth industries, Luke Lango puts you on the ground-floor of world-changing megatrends. It’s how his Daily 10X Report has averaged up to a ridiculous 100% return across all recommendations since launching last May. Click here to see how he does it.