ASTS to Deploy 45-60 Satellites in Orbit by 2026: Stock to Benefit?

AST SpaceMobile, Inc. ASTS is on track to deploy about 45-60 satellites in orbit by the end of 2026. The company has already deployed its first five commercial satellites (dubbed BlueBird) in LEO, marking a key advancement in developing a space-based mobile network infrastructure. These satellites have the largest-ever commercial communications arrays spanning 693 square feet. They offer non-continuous service across the United States using more than 5,600 cells within the premium low-band spectrum. 

This achievement follows the success of the company's in-orbit BlueWalker 3 satellite, creating a space-based cellular broadband network that can directly link with mobile devices, eliminating the need for ground-based infrastructure. By expanding its connectivity to remote areas, AST SpaceMobile aims to ensure that more people have access to vital communication services.

AST SpaceMobile has completed the assembly of microns for phased arrays of eight Block 2 BlueBird satellites. This will be the largest deployment in LEO for commercial use. Management believes that the larger aperture array will enable greater spectrum reuse, enhanced signal strength and increased capacity, reducing the number of satellites required to achieve service coverage compared to smaller aperture designs. This is likely to provide nationwide intermittent service in the United States by the end of 2025, followed by the United Kingdom, Japan and Canada in the first quarter of 2026.

How are Competitors Faring?

AST SpaceMobile faces competition from Viasat, Inc. VSAT and Iridium Communications Inc. IRDM in the satellite communication space. Iridium operates one of the largest commercial constellations with a mesh architecture of 66 operational LEO satellites. It offers dedicated commercial global voice and data communications services to both businesses and governments in the United States as well as globally. Iridium has been making solid investments to boost its technology infrastructure. It aims to launch satellite services for Direct-to-Device and satellite-based personal communication devices.

Viasat is ramping up investments in the development of its revolutionary ViaSat-3 broadband communications platform, which will have nearly 10 times the bandwidth capacity of ViaSat-2. The ViaSat-3 platform will help to form a global broadband network with sufficient network capacity to allow better consumer choices with an affordable, high-quality, high-speed Internet and video streaming service. Viasat can become a credible challenger for ASTS in the satellite connectivity space in India’s market. In late 2024, Viasat collaborated with BSNL, a telecommunication service provider in India, to successfully demonstrate direct-to-device satellite services.

ASTS’ Price Performance, Valuation and Estimates

AST SpaceMobile has gained 39.4% over the past year compared with the industry’s growth of 25.6%

From a valuation standpoint, AST SpaceMobile trades at a forward price-to-sales ratio of 89.41, well above the industry.

The Zacks Consensus Estimate for AST SpaceMobile’s earnings for 2025 has moved northward over the past 60 days.

AST SpaceMobile currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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