Piper Sandler Slashes ASTS Target to $54 on Sixth Straight Miss, Rising Cash Burn
ASTS is trading near its 52-week low of $39.87 (2.0% above the low).
Summary
Piper Sandler cut ASTS to Neutral and dropped its price target to $54 from $98, citing doubts about the satellite deployment pace and possible SpaceX launch constraints. The downgrade lands on top of a sixth consecutive quarterly earnings miss and rising cash burn from BlueBird production and launch costs. The Q2 print already showed revenue of $31.5M versus $35.18M consensus and an adjusted loss of $0.77 per share, with the 10-Q flagging higher losses and burn even as management said it was fully funded for 90 satellites. The stock is trading near its 52-week low around $40, well below the new $54 target, so the downgrade removes a big chunk of the sell-side upside case rather than repricing the equity outright. The real question is execution: whether BlueBird cadence holds and whether launch capacity from SpaceX stays available.
At the time of this announcement, ASTS was trading at $40.65 on NASDAQ in the Technology sector, with a market capitalization of approximately $15.8B. The 52-week trading range was $39.87 to $133.86. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Wiseek News.