AST SpaceMobile Seen 49.9% Undervalued at $170 as BlueBird, Rakuten Progress Bolster Case
Updated
Updated · Simply Wall St · Jul 4
AST SpaceMobile Seen 49.9% Undervalued at $170 as BlueBird, Rakuten Progress Bolster Case
1 articles · Updated · Simply Wall St · Jul 4
Summary
$85.13 shares are being framed as 49.9% below a $170 fair value estimate after AST SpaceMobile said its latest BlueBird satellites are fully operational and advanced a Rakuten-backed Japan venture.
The bullish case leans on rapid revenue growth, improving margins and telecom-scale earnings, with the valuation model assuming BlueBird deployment converts carrier partnerships into service revenue over time.
$3.5 billion in cash as of March 31, 2026, and reports that AST does not plan new convertible debt this year strengthen confidence that it can fund a heavy deployment plan.
Execution risk still dominates the debate: any delay in BlueBird rollout or slower carrier monetization could undermine the thesis, especially with the stock already trading above the average analyst target.
Volatility remains high despite longer-term momentum, with AST up 19.15% over seven days, down 20.65% over 30 days and still showing an 86.69% one-year total shareholder return.