Key Points
AST SpaceMobile (NASDAQ: ASTS), a developer of low Earth orbit (LEO) satellites, went public through a merger with a special purpose acquisition company in April 2021. It’s risen more than fivefold since its market debut, but could it deliver millionaire-making gains?
Why did AST’s stock soar?
AST’s LEO satellites, which are much larger than SpaceX‘s (NASDAQ: SPCX) Starlink satellites, help telecom companies expand their wireless networks to remote areas. It’s launched 13 of its BlueBird satellites so far, and 12 of them are currently in orbit.
Image source: Getty Images.
AST aims to expand its constellation to 45 satellites by early 2027, and to more than 248 satellites over the next few years. It’s already working with more than 60 carriers worldwide, including AT&T and Verizon, to reach over 3 billion wireless subscribers.
AST’s backlog reached $1.3 billion at the end of the second quarter of 2026, which is equivalent to nearly eight times its projected revenue of $169 million for the full year. By 2028, analysts expect its revenue to reach $1.73 billion as more carriers use satellite-based connections.
But with a market cap of $18.7 billion, AST already trades at 11 times its 2028 sales. It could deliver multibagger gains over the next decade as it expands, but it probably won’t turn a fresh $10,000 investment into $1 million with a 100-bagger gain. Instead, investors should consider it a volatile — but promising play — on the nascent market for LEO satellites.
Should you buy stock in AST SpaceMobile right now?
Before committing capital to AST SpaceMobile, thorough due diligence is essential. While the company’s growth trajectory and strategic partnerships with major telecom providers like AT&T and Verizon present significant upside potential, its current valuation reflects substantial investor optimism. The stock’s trajectory will depend heavily on successful satellite deployment, technological execution, and broader market adoption of LEO satellite solutions. Investors should weigh the high volatility against the long-term promise of infrastructure expansion in underserved markets.