Ast Spacemobile Inc

SpaceX, AST SpaceMobile, and Rocket Lab shares fell on Monday despite President Trump's memo targeting at least 1,000 launches and re-entries annually by 2030. SpaceX stock dropped 3% to $133.48, AST SpaceMobile fell 3% to $66.85, and Rocket Lab slipped 2% to $71.22, while the Procure Space ETF declined just 0.4% to $45.75. Rocket Lab CFO Adam Spice said a successful Neutron test launch would flip the company to meaningfully adjusted EBITDA positive the following quarter, but CEO Peter Beck warned the window for an end-of-year launch is narrowing. The memo directs agencies to identify federal land for new launch and re-entry sites, name a new federal re-entry site within 90 days, expedite permitting, speed environmental reviews, and secure wireless spectrum.

Elon Musk says SpaceX will hit $1 trillion in annual revenue by 2030, one year earlier than his original 2031 target. To reach that milestone, SpaceX would need to grow its top line at a five-year compound annual growth rate of 121.7% from its 2025 revenue of $18.67 billion. The company expects Starlink to generate $200 billion to $250 billion, launch services $30 billion to $50 billion, and its AI segment $700 billion to $750 billion by 2030. Analysts currently project SpaceX revenue of $184.5 billion by 2028, and the company faces competition from AST SpaceMobile, Rocket Lab, and Amazon.

AST SpaceMobile reported second-quarter results that fell short of analyst estimates, with an adjusted loss of $0.77 per share versus expectations of a loss of about $0.26 to $0.32 per share, and revenue of $31.5 million below the roughly $35 million forecast. The company attributed the revenue to gateway deliveries and milestones under US government programs, while total operating expenses surged to $329.1 million, including a $125.9 million loss on involuntary conversion. AST SpaceMobile reaffirmed its full-year 2026 revenue guidance of $150 million to $200 million and highlighted a revenue backlog of approximately $1.30 billion from commercial partners and US government contracts. The company now has 13 spacecraft in orbit after the recent launch of BlueBirds 11, 12 and 13, and is preparing to initiate beta services with select strategic partners. Shares traded up 1.5% after the earnings release.

Pomerantz LLP is investigating claims on behalf of investors of AST SpaceMobile, Inc. regarding potential securities fraud or unlawful business practices. The investigation follows a January 7, 2026 Scotiabank downgrade of AST to Sell, citing competition from SpaceX’s Starlink, slow customer adoption, and satellite launch delays, after which AST’s stock fell $11.76 per share, or 12.06%, to close at $85.73. Then on July 15, 2026, AST announced the pricing of $1.0 billion aggregate principal amount of 1.625% convertible senior notes due 2034, and its stock fell $11.30 per share, or 17.04%, to close at $55.01 on July 16. Investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, extension 7980.

Amazon is expanding its satellite ambitions with a proposal to deploy a constellation of up to 5,105 satellites to provide direct-to-device mobile connectivity. The proposed Leo network would deliver voice, messaging, data and emergency services to smartphones in areas without terrestrial cellular coverage, with deployment expected to begin in 2028. The service would partner with mobile network operators worldwide and use Globalstar's mobile satellite spectrum following Amazon's agreement earlier this year to acquire Globalstar. The initiative broadens Amazon's satellite strategy beyond broadband internet and positions the company in the growing direct-to-device communications market, where it will compete with companies including SpaceX, AST SpaceMobile and Lynk Global. The expansion comes as the satellite industry faces limited rocket launch availability, a constraint that could slow deployment of next-generation constellations.

Redwire appears to be a better buy than AST SpaceMobile after both space stocks fell sharply from their highs. AST SpaceMobile is down 52% and Redwire has dropped 64%, yet Redwire trades at a price-to-sales ratio of 3.5 compared to AST SpaceMobile's 187. Redwire, a diversified defense and space technologies provider, reported a book-to-bill ratio of 1.92x last quarter and a backlog of $498 million, with full-year revenue expected between $450 million and $500 million. AST SpaceMobile, which aims to build a direct-to-device satellite internet business, has a market capitalization of $22 billion but generated close to zero revenue and burned $1.37 billion in free cash flow over the past 12 months. Redwire's smaller market cap of $2 billion and negative free cash flow of $165 million make its liquidity concerns less severe, while its improving gross margins and defense tailwinds add to its appeal.

AST SpaceMobile has raised $1 billion through a convertible bond offering to fund its direct-to-device satellite internet plans, sending its stock down nearly 60% from its peak of over $100 a share to around $55. The company, which aims to beam high-speed internet directly to smartphones without a dish, has nine operational satellites in orbit and is manufacturing over 90 more in Texas. It faces significant cash burn, with negative free cash flow of $1.37 billion over the last 12 months, and growing competition from SpaceX's Starlink, which is also developing direct mobile connectivity. Despite the potential market opportunity, the author argues the stock remains overvalued at a $21 billion market cap given less than $100 million in trailing revenue and ongoing dilution risks.

Shares of AST SpaceMobile collapsed 25% this week after the direct-to-device satellite internet provider announced a $1 billion convertible bond offering. The bonds carry a 1.6% annual interest rate, mature in 2034, and have a conversion price of $79.60 per share, while the stock currently trades around $55. The $16 million in annual interest payments is significant relative to the company's $85 million in trailing twelve-month revenue, and the raise surprised investors given AST SpaceMobile had $3 billion in cash on its balance sheet last quarter. The company has been burning $1.37 billion in cash over the past twelve months and faces operational delays, including a misaligned launch from Blue Origin and a launchpad explosion, which could push back its full commercial satellite network launch. Despite the drop, the stock still carries a market capitalization above $20 billion and faces further dilution risk.

US stock futures are drifting lower as investors weigh tighter financial conditions against mixed global growth signals, with E-mini S&P 500 and Nasdaq-100 contracts off by around 0.1% to 0.4%. A planned 25% US tariff on some Brazilian imports raises cost concerns for trade- and agriculture-linked companies, while US crude stockpiles and the Strategic Petroleum Reserve sit at multi-decade lows, potentially feeding through to fuel prices and household budgets. Among top movers, Abbott Laboratories jumped 10.71% after Q2 results eased medtech and nutrition worries, J.B. Hunt Transport Services climbed 8.01% on earnings and analyst target hikes, and FedEx Freight Holding Company gained 7.50% following fresh coverage highlighting freight sector momentum. On the losing side, AST SpaceMobile fell 17.04% after pricing US$1 billion of convertible notes, Nebius Group declined 13.90% on New York's hyperscale data center moratorium, and Bloom Energy dropped 13.64% amid short seller reports and scandium supply questions. Looking ahead, financials earnings from Fifth Third Bancorp, Truist Financial, Regions Financial, and Travelers Companies, along with global inflation readings including China Loan Prime Rate decisions and Canada CPI, will shape the next few sessions.

Several stocks made big moves in midday trading following earnings reports and analyst actions. ManpowerGroup surged 33% after calling for third-quarter revenue to rise 2% to 6%, above the FactSet consensus of 1.7%, and posting adjusted earnings of 99 cents per share on revenue of $4.9 billion, topping estimates. Abbott Laboratories jumped almost 11% as it raised its full-year adjusted earnings guidance to a range of $5.45 to $5.60 per share, above the FactSet consensus of $5.47. UnitedHealth rose 4% after reporting adjusted earnings of $6.38 per share on revenue of $112.03 billion, beating LSEG estimates, and hiked its full-year outlook. Taiwan Semiconductor Manufacturing shed 2% despite beating second-quarter earnings estimates, as it raised full-year capital expenditures to between $60 billion and $64 billion and announced an additional $100 billion investment in Arizona. AtaiBeckley jumped 33% after Eli Lilly agreed to buy the psychedelic drugmaker for $2.8 billion, or $6.75 per share in cash, with potential milestone payments of up to $2.50 per share. GE Aerospace dropped 4% even after beating second-quarter earnings and revenue estimates and raising full-year guidance. United Airlines fell more than 1% as softer-than-expected third-quarter guidance of $2.50 to $3.50 per share, below the FactSet estimate of $3.53, overshadowed an earnings beat. J.B. Hunt Transport Services jumped almost 7% after reporting earnings of $1.91 per share on revenue of $3.5 billion, exceeding FactSet estimates. Cintas gained 6.5% following a Bank of America upgrade to buy, while Cinemark and Imax fell about 4% and 2% respectively after Wells Fargo downgraded both to equal weight. AST SpaceMobile tumbled more than 16% on plans to offer $1 billion of convertible senior notes due 2034.

Rocket Lab generated roughly $200 million in revenue in a single quarter earlier this year, a figure that equals the $150 million to $200 million AST SpaceMobile expects to earn over the entire year of 2026. Rocket Lab's revenue grew more than 60% year-over-year, while AST's most recent quarterly revenue was about $15 million. Rocket Lab operates two revenue engines—launch services and satellite manufacturing—and holds a backlog of over $2 billion, whereas AST is just beginning commercial service after years of network construction. AST has secured more than $1 billion in contracted commitments from wireless carriers and holds a large cash reserve to fund its build-out, but its revenue remains unproven at scale. Neither company is consistently profitable, making both speculative investments, though Rocket Lab's established revenue base presents lower risk today.

AST SpaceMobile shares tumbled 13% after the company priced a $1 billion private offering of 1.625% convertible senior notes due 2034, with an initial conversion price of $79.57 per share, a 20% premium to the prior close. The company also entered into capped call transactions with a $149.20 cap price to reduce potential dilution and granted initial purchasers an option to buy an additional $150 million of notes. Net proceeds are expected to be about $984 million, or $1.13 billion if the option is fully exercised, to fund capped call transactions, growth initiatives, launch capacity, and potential partnerships or acquisitions. Among other movers, Eos Energy Enterprises surged 14% after securing a U.S. Department of War contract for its Z3 zinc-based energy storage system and reporting preliminary second-quarter revenue of $68 million to $69 million, its highest quarterly revenue on record. J.B. Hunt Transport Services gained 8% on better-than-expected second-quarter earnings and revenue, driven by strong intermodal and integrated capacity solutions growth. Taiwan Semiconductor Manufacturing slipped 3% despite beating second-quarter expectations and issuing strong third-quarter guidance, as it reportedly plans to boost its U.S. investment by $100 billion to a total of $265 billion, adding four new fabrication plants. United Airlines fell 3% after its full-year 2026 and third-quarter profit guidance missed estimates due to higher assumed fuel costs, with the company citing an expected $6 billion fuel bill for the year.

SpaceX shares dropped 5% to a record low of $138.58, while AST SpaceMobile fell 5% and Rocket Lab shed 4% on Monday, as a Chinese reusable-rocket milestone and a crude-oil spike pressured the space sector. Bernstein named China the leading competitor to SpaceX after a Long March 10B booster landed on a sea-based platform on July 10, marking China's first orbital-class booster recovery. The Procure Space ETF slid 2% amid risk-off sentiment driven by Strait of Hormuz tensions that lifted WTI crude 4.41% to $74.56 per barrel. Rocket Lab's decline came despite a successful U.S. Space Force responsive-launch demo, and AST SpaceMobile received a New Zealand gateway license ahead of an August launch. Bank of America maintained a Buy rating on Rocket Lab with a $115 target, while Bernstein kept an Outperform on SpaceX with a $239 target.

SpaceX is a more attractive investment than AST SpaceMobile right now, according to Zacks Investment Research, which rates SpaceX a Hold and AST SpaceMobile a Sell. SpaceX is transforming into a vertically integrated AI infrastructure company, integrating its xAI chatbot Grok under the SpaceXAI brand and planning to deploy AI compute satellites as early as 2028, while also acquiring AI coding assistant maker Anysphere in a $60 billion all-stock deal. AST SpaceMobile is preparing to launch three BlueBird direct-to-device satellites in August and holds more than 3,800 patents, but faces margin pressure from rising costs and intense competition. From a valuation standpoint, SpaceX trades at a forward price-to-sales ratio of 36.57, significantly lower than AST SpaceMobile's 61.27. Over the past year, AST SpaceMobile shares have gained 62.1%, while SpaceX is up 12.7% since its IPO.