Why is AST SpaceMobile stock climbing today?
Investing.com ·
Why is AST SpaceMobile stock climbing today?
Investing.com -- AST SpaceMobile stock climbed 2.5% in pre-open trading after the company unveiled plans to develop its own reusable heavy-lift rocket, dubbed Blacklift, powered by engines sourced from Firefly Aerospace under a commercial agreement valued at more than $1.3 billion. The three-year deal covers the delivery of 36 rocket engines — 27 Miranda units and nine vacuum-variant Vira engines — along with a perpetual license to manufacture those engines and three years of engineering support, with the rocket designed to carry up to five BlueBird satellites per launch into low Earth orbit starting in late 2028.
AST SpaceMobile CEO Abel Avellan described Firefly as "one of a few companies in the United States with a proven liquid engine of this scale, making it a scarcity in the industry," underscoring the strategic rationale for the partnership. The deal adds to a positive near-term newsflow backdrop that includes a U.S. Space Force subcontract win announced earlier this week, positioning the company as a player in national security space applications. Investors are also positioning ahead of the company’s Q3 earnings release due November 9, with analyst consensus projecting revenue growth of more than 200% year-over-year.
The broader market is providing a constructive tailwind, with the Nasdaq up 1.7% today, reflecting renewed appetite for growth and technology names. The S&P 500 is also modestly positive, up 0.3%, though the Dow Jones is pulling back 0.9%, suggesting a rotation toward tech-oriented equities that benefits high-beta names like ASTS. The stock’s 52-week range of $28.98 to $133.86 illustrates the significant volatility shareholders have endured, with today’s pre-market low of $28.98 touching that 52-week floor before recovering sharply on the Firefly news.
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