On Tuesday, AST SpaceMobile (NASDAQ:ASTS) disclosed a partnership with TELUS (NYSE:TU) to deliver satellite-powered cellular broadband connectivity.
This collaboration aims to enhance coverage in remote areas of Canada, adding pressure as broader markets experienced declines.
Details
Under the agreement, TELUS will invest in ground-based satellite infrastructure and become an equity shareholder in AST SpaceMobile, reinforcing their long-term alignment.
The service, planned for late 2026, will allow TELUS customers to send texts, make calls, and use data in Canada’s most isolated regions using their existing smartphones.
The partnership is expected to bridge connectivity gaps across Canada, ensuring that users can stay connected in remote locations, whether for work or leisure.
This initiative combines TELUS’ wireless network with AST SpaceMobile’s innovative satellite technology, aiming to redefine mobile coverage in challenging geographic areas.
Executive Commentary
Chris Ivory, AST SpaceMobile Chief Commercial Officer added, “By combining TELUS’ proven leadership in network innovation with AST SpaceMobile’s innovative technology, we aim to provide seamless mobile coverage from city centers to the most isolated regions, ensuring people, businesses and first responders stay connected when it matters most. Together, we are working to redefine what mobile coverage means for Canadians, using the smartphones they already carry every day.”
Technical Analysis
The broader market experienced a downturn, with the S&P 500 falling 0.97% and the Nasdaq down 1.10%. This decline in major indices suggests that AST SpaceMobile’s gains may be driven by company-specific news rather than overall market trends.
The stock is currently trading 9.8% below its 100-day SMA, indicating some short-term weakness, yet it remains positioned closer to its 52-week highs than lows. Over the past 12 months, shares have increased significantly, reflecting a strong upward trend.
The RSI is at 44.45, which is considered neutral territory, while the MACD is not available for analysis. This combination suggests the stock is in a stable phase, with no immediate bullish or bearish momentum.
- Key Resistance: $95.00
- Key Support: $90.00
Earnings & Analyst Outlook
Looking further out, the next major catalyst for the stock arrives with the May 11, 2026 earnings report.
- EPS Estimate: Loss of 20 cents (Up from Loss of 20 cents)
- Revenue Estimate: $41.21 million (Up from 72 cents million)
Analyst Consensus & Recent Actions: The stock carries a Hold Rating with an average price target of $59.83. Recent analyst moves include:
- B. Riley Securities: Neutral (Lowers Target to $95.00) (Feb. 13)
- B. Riley Securities: Downgraded to Neutral (Raises Target to $105.00) (Jan. 13)
- Scotiabank: Downgraded to Sector Underperform (Target $45.60) (Jan. 7)
Price Action: Telus shares were up 0.66% at $13.80 and AST SpaceMobile shares were up 2.92% at $95.39 during premarket trading on Wednesday, according to Benzinga Pro data.
Image via Shutterstock
