Quick Overview
- Rakuten CEO Hiroshi Mikitani offloaded approximately $154.5M worth of ASTS shares, contributing to ~$274M in total insider sales during the previous quarter
- The BlueBird 7 satellite mission has been postponed until April 19, launching from Kennedy Space Center
- Deutsche Bank reduced its price objective from $139 down to $117 following Amazon’s Globalstar acquisition announcement
- Short positions reached their highest level in eight months as bearish sentiment increased
- Major institutional players like Vanguard and Invesco have been expanding their ASTS holdings
AST SpaceMobile (ASTS) experienced a challenging trading week, with shares declining approximately 6% amid a confluence of negative catalysts including significant insider transactions, a satellite launch postponement, and revised analyst expectations.
The most notable development involved Rakuten’s billionaire founder Hiroshi Mikitani divesting 1.69 million shares on April 14 at an average sale price of $91.42, generating approximately $154.5 million in proceeds. This substantial transaction rattled market participants. Taking a broader view, company insiders collectively disposed of roughly 3.08 million shares during the most recent quarter, representing total proceeds of approximately $274 million. Current insider ownership stands at about 30.9%.
The company’s Chief Technology Officer also executed a significant transaction. Huiwen Yao sold 40,000 shares on March 23 at a price of $88.88, reducing his holdings by nearly 90%. Following this sale, Yao retained only 4,750 shares.
BlueBird 7 Mission Update
The BlueBird 7 satellite, initially planned for an earlier timeframe, has been rescheduled for April 19. The spacecraft will lift off from Kennedy Space Center aboard Blue Origin’s New Glenn-3 rocket during a launch window spanning 6:45 a.m. to 8:45 a.m. EDT.
This satellite features a phased-array antenna measuring approximately 2,400 square feet and is engineered to provide direct-to-device broadband connectivity to conventional smartphones, enabling peak download speeds exceeding 120 Mbps through both 4G and 5G networks.
A successful deployment would represent a critical achievement for validating the company’s technological capabilities. ASTS maintains partnerships with more than 50 mobile carriers worldwide, collectively representing nearly 3 billion subscribers. Strategic partners include AT&T, Verizon, Vodafone, and Google.
The mission postponement intensified investor concerns. Short interest surged to its highest point in eight months as market participants adopted defensive positions ahead of the launch.
Wall Street Revises Expectations
Deutsche Bank trimmed its price objective from $139 to $117, citing intensifying competition following Amazon’s announcement of its planned Globalstar acquisition. This development sparked questions about ASTS’s competitive positioning in the satellite communications sector.
Scotiabank took a more aggressive stance, downgrading the shares to “sector underperform” with a $45.60 price objective. B. Riley lowered its target from $105 to $95 while maintaining a neutral stance. The consensus rating currently stands at “Reduce” with an average price objective of $77.10, significantly beneath present trading levels.
However, the outlook isn’t uniformly negative. Deutsche Bank maintains its $117 target. Television personality Jim Cramer expressed optimism about the stock during Mad Money. Additionally, Barclays increased its target to $65 from $60 following the successful BlueBird 6 deployment with ISRO, though the firm maintained an Underweight rating.
Regarding institutional activity, Vanguard expanded its position by 13.4% during Q3 to nearly 20 million shares. Invesco grew its holdings by over 600%, while VanEck more than doubled its stake. Total institutional ownership currently represents approximately 61% of shares outstanding.
ASTS announced Q4 2025 financial results on March 2, reporting revenue of $54.31 million, substantially exceeding the $39.53 million analyst consensus. Earnings per share registered at -$0.26, falling short of the anticipated -$0.18. Management provided 2026 revenue guidance ranging from $150 million to $200 million.
Shares opened Friday trading at $85.53, positioned between the 50-day moving average of $88.90 and the 200-day moving average of $83.34. The 12-month trading range extends from $20.26 to $129.89.
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