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ASTS Gearing Up for BlueBird 7 Launch: Can it Drive its Growth Engine?

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Key Takeaways

  • AST SpaceMobile prepares for BlueBird 7 launch after BlueBird 6 success, advancing its D2D network plans.
  • ASTS aims to deploy 45-60 satellites by 2026, boosting global cellular broadband from space.
  • Large phased-array satellites and LEO expansion could enhance AST SpaceMobile's market position.

AST SpaceMobile, Inc. (ASTS - Free Report) is reportedly gearing up for the upcoming launch of its BlueBird 7 satellite, following the successful introduction of BlueBird 6. These next-generation satellites are designed to deliver 24/7 high-speed cellular broadband coverage directly to smartphones worldwide. These advanced satellites feature nearly 2,400 square feet arrays, which make them the largest commercial phased arrays ever deployed in low Earth orbit (LEO). 

AST SpaceMobile is reportedly on track to deploy about 45-60 satellites in orbit by the end of 2026. These commercial satellites in LEO mark a key advancement in developing a space-based mobile network infrastructure. The first-generation satellites feature commercial communications arrays spanning 693 square feet, offering non-continuous service across the United States using more than 5,600 cells within the premium low-band spectrum.

The upcoming BlueBird 7 satellite launch represents a pivotal near-term catalyst for AST SpaceMobile, as it moves closer to commercializing its direct-to-device (D2D) satellite broadband network. The successful deployment could materially strengthen ASTS’ competitive positioning in a rapidly expanding space-based connectivity market.

How are Competitors Faring?

AST SpaceMobile faces competition from Viasat, Inc. (VSAT - Free Report) and Iridium Communications Inc. (IRDM - Free Report) in the satellite communication space. Iridium operates one of the largest commercial constellations with a mesh architecture of 66 operational Low-Earth Orbit 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 D2D 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 D2D satellite services.

ASTS’ Price Performance, Valuation and Estimates

AST SpaceMobile has gained 209.7% over the past year compared with the industry’s growth of 48.6%

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From a valuation standpoint, AST SpaceMobile trades at a forward price-to-sales ratio of 109.14, well above the industry tally of 4.96.

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Image Source: Zacks Investment Research

The Zacks Consensus Estimate for AST SpaceMobile’s earnings for 2026 has moved down 35.1% over the past 60 days.

Zacks Investment Research
Image Source: Zacks Investment Research

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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