Deutsche Bank Upgrades AST SpaceMobile Following Stock Pullback
Deutsche Bank upgraded AST SpaceMobile, Inc. (ASTS) to a Buy rating from Hold while keeping its $93 price target. The upgrade comes after a recent sharp drop in share value, with the stock slipping over 10% in a single session and dropping more than 60% from its May record high of $133.86. Analysts view the recent selling pressure as an attractive entry point given the satellite firm's expansion opportunities.
Market concerns arose after competitor SpaceX agreed to acquire an 800 MHz spectrum portfolio, but analysts argue the deal will not diminish AST SpaceMobile's appeal. In fact, rival carrier moves could make AST SpaceMobile more valuable to existing telecom partners, with potential for carriers like T-Mobile US, Inc. (TMUS) to utilize its services. The company currently maintains partnerships with over 60 mobile operators reaching more than three billion global subscribers, supported by a contracted backlog of roughly $1.3 billion.
Looking ahead, AST SpaceMobile plans to deploy approximately 45 satellites throughout 2026. Following the deployment of BlueBird 13, its BlueBirds 14, 15, and 16 are already stationed at Cape Canaveral awaiting launch. The company has reaffirmed its 2026 revenue forecast of $150 million to $200 million, building on last year's $70.9 million in revenue despite missing quarterly estimates in its most recent earnings report.
Key points
- Deutsche Bank upgraded AST SpaceMobile to Buy with a $93 price target, viewing the recent stock decline as an entry opportunity.
- The stock has fallen over 60% from its all-time high of $133.86 set in May, despite steady operational progress.
- Analysts note that SpaceX's recent spectrum acquisition does not weaken AST SpaceMobile's value to mobile carrier partners.
- AST SpaceMobile reaffirmed its 2026 revenue target of $150 million to $200 million and plans to deploy about 45 satellites in 2026.
Written by our AI from expert market sources across the web. It can contain mistakes: check the facts before acting on them. Write-ups powered by the free AI API at FreeTheAI.org
How we writeDisclaimerQuestions and answers
Why did Deutsche Bank upgrade AST SpaceMobile stock?
Deutsche Bank upgraded AST SpaceMobile to Buy after recent share weakness, calling it an opportune time to invest. The firm kept a $93 price target and expects potential long-term benefits as mobile operators seek satellite partnerships.
What is AST SpaceMobile's revenue guidance for 2026?
AST SpaceMobile reaffirmed its full-year 2026 revenue outlook of $150 million to $200 million. The company generated $70.9 million in revenue last year and holds a contracted backlog of approximately $1.3 billion.
How many satellites does AST SpaceMobile plan to launch in 2026?
AST SpaceMobile aims to deploy around 45 satellites during 2026. Following the deployment of BlueBird 13, satellites BlueBirds 14, 15, and 16 are already at Cape Canaveral awaiting launch.