Why AST SpaceMobile Stock Was Sliding Today
Key Points
Blue Origin said it was launching its own space satellite network in late 2027.
Both AST SpaceMobile and EchoStar fell on the news.
Trading at a triple-digit sales multiple, AST is a speculative stock.
- 10 stocks we like better than AST SpaceMobile ›
Shares of AST SpaceMobile (NASDAQ: ASTS) were moving lower today as the maker of broadband-enabling satellites faced new deep-pocketed competition. Blue Origin, Jeff Bezos's space company, announced its own satellite communications network called TeraWave. Both AST SpaceMobile and rival EchoStar fell on the news.
As of 2:25 p.m. ET, the stock was down 13.4%.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Image source: Getty Images.
Blue Origin moves into satellites
In a press release today, Blue Origin introduced TeraWave, a 6 terabytes per second (Tbps) space-based network, consisting of 5,408 optically interconnected satellites. The network is expected to support tens of thousands of users across enterprises, data centers and governments.
Deployment of the TeraWave constellation is expected to begin in the fourth quarter of 2027.
What it means for AST SpaceMobile
AST SpaceMobile just began monetization of its deployment, bringing in $14.7 million in revenue in the third quarter, and it expects $35 million-$50 million in revenue in the fourth quarter.
AST has earned a sky-high valuation on Wall Street as investors see big potential in space-based internet connectivity.
The satellite company already competes with Elon Musk's Starlink, and one more competitor isn't necessarily a threat to AST, though it is worth paying attention to what Blue Origin does in the space.
Overall, the pullback seems more a reflection of AST's valuation than the new competitive threat, especially since Blue Origin's satellites won't be deployed for nearly two years.
AST's revenue is expected to triple in 2026 to nearly $200 million; however, even at that lofty target, the stock is trading at a price-to-sales ratio of roughly 200. In other words, high expectations are still baked into AST. Expect the stock's volatility to continue.
Should you buy stock in AST SpaceMobile right now?
Before you buy stock in AST SpaceMobile, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and AST SpaceMobile wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $470,587!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,091,605!*
Now, it’s worth noting Stock Advisor’s total average return is 930% — a market-crushing outperformance compared to 192% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of January 21, 2026.
Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Recommended Articles
