Assessing AST SpaceMobile (ASTS) Valuation After New Telecom Deals and Orbital AI Infrastructure Speculation

AST SpaceMobile (ASTS) is back in the spotlight as fresh telecom partnerships and chatter about its role in future orbital AI data centers intersect with high profile commentary on the stock’s speculative upside and risks.

See our latest analysis for AST SpaceMobile.

Those AT&T and Verizon wins, plus the buzz around orbital AI infrastructure, help explain why AST SpaceMobile has a 30 day share price return of 24.92 percent and a three year total shareholder return of 1887.05 percent, even after a recent pullback.

If this kind of space telecom story has caught your attention, it is a good time to explore other ambitious aerospace and defense stocks that could be building similar long term momentum.

With shares trading above Wall Street targets despite minimal revenue and mounting losses, AST SpaceMobile looks priced for perfection rather than execution hiccups. This raises the question: is there still a buying opportunity here, or is future growth already baked in?

Price to Book of 17.4x: Is it justified?

On a price to book basis, AST SpaceMobile looks richly valued at the last close of $76.70 compared with both peers and the wider telecom industry.

The price to book ratio compares the company’s market value to its accounting book value, making it a common yardstick for asset heavy, capital intensive businesses like space telecom infrastructure.

AST SpaceMobile trades at a price to book of 17.4 times, which means investors are paying a steep premium over its current net assets for future growth and profitability that is still several years away.

That premium stands out sharply against both the peer average of 7.3 times and the US telecom industry average of just 1.2 times, suggesting the market is assigning AST SpaceMobile a venture like valuation multiple rather than a traditional carrier style one.

See what the numbers say about this price — find out in our valuation breakdown.

Result: Price to Book of 17.4x (OVERVALUED)

However, persistent losses and a share price that is already above analyst targets mean that any launch delay or technical setback could quickly puncture today’s optimism.

Find out about the key risks to this AST SpaceMobile narrative.

Another View: DCF Points the Other Way

While the lofty price to book suggests AST SpaceMobile is overvalued, our DCF model paints a different picture. It estimates fair value at about $194 per share, implying the stock is around 61 percent undervalued. Is the market underestimating long term cash flows, or is the model too optimistic?

Look into how the SWS DCF model arrives at its fair value.

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out AST SpaceMobile for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 908 undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.

Build Your Own AST SpaceMobile Narrative

If you see the numbers differently or want to stress test your own thesis, you can build a personalized take in minutes: Do it your way

A great starting point for your AST SpaceMobile research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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