Ast Spacemobile (NASDAQ: ASTS) shares fell more than 4% on Thursday, even as Roth/MKM initiated coverage on the stock with a Buy rating and a bullish $42 price target.
Analysts at Roth/MKM highlighted AST SpaceMobile’s innovative approach of leveraging existing mobile network operator (MNO) spectrum to provide satellite-based connectivity directly to smartphones worldwide. They believe this model could be a game-changer in bridging the global cellular coverage gap, as 85-90% of the Earth’s surface remains underserved by terrestrial networks. Given this potential, the firm sees a substantial market opportunity, estimating a total addressable market (TAM) of over $30 billion by 2030.
The analysts also express confidence in the company’s financial position, noting it is nearly fully funded for its commercialization plans, which are set to begin in 2026. They expect sales growth to accelerate sharply by the end of 2026 and into 2027.
This bullish analyst coverage comes after AST Spacemobile entered a strategic partnership with Ligado Networks. The collaboration, aimed at enhancing its space-based network capabilities, includes access to 45 MHz of lower mid-band spectrum in the U.S. and Canada. The agreement requires AST to make an upfront payment of $350 million, followed by subsequent annual payments.
AST SpaceMobile (NASDAQ: ASTS) currently trades at $23.14, within its 52-week range of $1.99 to $39.08. Wall Street maintains a Strong Buy consensus, with price targets ranging from $30 to $64.
Salman Akhtar is a finance, stocks, and technology journalist with years of experience across various news organizations. He has contributed his expertise to outlets such as 24NewsHD, TrimFeed, The Voice Pakistan, and TheTechBasic. Salman is passionate about making complex topics accessible to a broad audience. His dedication to delivering accurate and timely information has established him as a trusted voice in the industry. Read Full Bio
