Why AST SpaceMobile Stock Shot 40% Higher in August
In the run-up to AST SpaceMobile's (NASDAQ: ASTS) most important satellite launch to date, investors piled into the stock. Shares of the company soared 40.4% in August, according to data provided by S&P Global Market Intelligence. That came as the maker of satellites for space-based cellular broadband prepares for the launch of its first five commercial satellites as early as this week.
But investors may have gotten ahead of themselves by jumping into AST's stock. Some of those gains have been erased as the stock has dropped by 10% in the first week of September.
The drop was the result of the company announcing plans to raise fresh capital. A look at the August spike and subsequent pullback can help investors understand what may be in store for this growing space-sector name.
Source Fool.com
