AST SpaceMobile sees rare sell-off after 254% surge

AST SpaceMobile sees rare sell-off after 254% surge

AST SpaceMobile Inc. (NASDAQ: ASTS) experienced a notable sell-off in its stock price on Tuesday morning, following the announcement of an at-the-market (ATM) stock offering. The satellite communications company aims to raise up to $800 million through this offering, which is expected to provide flexibility in accessing funding when market conditions are favorable . The stock, which has been on a significant upward trajectory, dropped by 7% during trading hours. This comes after a remarkable 254% year-to-date (YTD) surge, driven by a series of milestones and partnerships . The stock has more than doubled in price in 2025, reaching an all-time high near $61.18 on October 2 . AST SpaceMobile has been making significant strides in its satellite-based cellular broadband network. The company has secured major carrier partnerships, including Bell Canada and Vodafone, and has plans to deploy nationwide service in various markets, including the United States and Europe . Additionally, the company has secured spectrum rights and has a fully-funded plan to deploy 45 to 60 satellites into orbit by 2026 . However, the company is not yet profitable, and its financial results have fallen short of expectations in the past. In Q2 2025, the company reported a loss of $0.41 per share on $1.15 million in revenue, which was far below consensus estimates . Despite this, the company has a strong balance sheet, with over $1.5 billion in cash and cash equivalents as of June 30, 2025 . The sell-off in AST SpaceMobile's stock price is likely due to the uncertainty surrounding the company's ability to execute its satellite rollout and win paying subscribers. While the company has made significant progress in its partnerships and technology, the competitive landscape is crowded, with rivals like SpaceX's Starlink and legacy satellite carriers also vying for market share . In the coming months, investors will be closely watching AST SpaceMobile's Q3 financial results, which are expected to be released on November 13, 2025. The company's ability to meet its financial targets and execute on its satellite rollout will be crucial in determining its future performance.