Latest news with #ChristopherSchoell
CNBC
5 days ago
- Business
- CNBC
UBS sees this space stock as 'high risk, high reward investment'
AST Spacemobile is a "high risk, high reward investment," according to UBS. UBS resumed coverage of stock in the satellite design and manufacturer with a buy rating on Thursday and raised its price target to $62 per share from $38. The firm's forecast calls for about 24% upside from Wednesday's $50.05 close. ASTS YTD mountain AST Spacemobile stock in 2025. Analyst Christopher Schoell pointed to the company's cash hoard of about $1.5 billion and a broader-than-expected government opportunity, coupled with potentially greater visibility into regulations, as reasons he's optimistic on the stock. "Along with billions of potential funding for satellite connectivity from various U.S. government programs (incl. Golden Dome, DoD's PLEO program, etc.) and rising European sovereign interest, we believe AST is in a stronger position to drive utilization on its constellation," the analyst said. "We also expect the revenue upside to flow through at high margin and now look for ~80% total EBITDA margins long-term (~75% prior), at the high-end of peers given low recurring opex and its wholesale business model," he added. AST has been on fire this year, soaring more than 143.2%. This week alone, the stock has jumped 10% after the company said it's nearing the launch of nearly 60 satellites that will power cell- based broadband networks . To be sure, there are risks to AST's outlook. "In a downside scenario, launch failures or delays push out the achievement of substantial coverage and/or competitive, regulatory and technology factors weigh on the company's ability to scale revenues and achieve profitability/positive free cash flow," Schoell said. The stock isn't widely covered, but the majority of those who do are bullish. LSEG data shows that six of nine analysts covering the stock rate it a buy, while the other three have a hold rating.
Yahoo
07-03-2025
- Business
- Yahoo
Why AST SpaceMobile Stock Is Skyrocketing Again Today
After posting big gains in yesterday's trading, AST SpaceMobile (NASDAQ: ASTS) stock is surging again Wednesday. The space-based telecommunications company's share price was up 14.8% as of 1:30 p.m. ET, and had been up as much as 17% earlier in the daily session. AST is gaining thanks to multiple positive catalysts. In addition to price target increases from two analysts, investors are also feeling more bullish about space industry stocks following comments from President Trump in his speech to Congress last night. In new coverage published before the market opened this morning, UBS maintained a buy rating on AST stock and raised its one-year price target from $31 per share to $38 per share. The firm's lead analyst on the stock, Christopher Schoell, said that new service deals and ramping satellite production made the stock a worthwhile investment despite the high degree of risk involved. Scotiabank also increased its price target on AST in coverage this morning, raising its one-year forecast from $40.20 per share to $47.90 per share and maintaining an outperform rating on the stock. The firm's analysts pointed to recent fundraising success paving the way for the company to move forward with the manufacturing of 40 new satellites and its partnership with Vodafone as reasons for its increasingly bullish stance. In his speech to Congress last night, President Trump once again indicated a commitment to expanding U.S. space exploration initiatives. Space stocks are getting a boost from the president's comments, and AST is participating in the rally. As a provider of satellite-based communications services, it's possible that the company will see direct and indirect bullish catalysts from federal space initiatives. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $300,764!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $44,730!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $524,504!* Right now, we're issuing 'Double Down' alerts for three incredible companies, and there may not be another chance like this anytime soon.*Stock Advisor returns as of March 3, 2025 Keith Noonan has no position in any of the stocks mentioned. The Motley Fool recommends Bank Of Nova Scotia and Vodafone Group Public. The Motley Fool has a disclosure policy. Why AST SpaceMobile Stock Is Skyrocketing Again Today was originally published by The Motley Fool Sign in to access your portfolio
