Schaeffer's Top Stock Picks for '25

AST SpaceMobile Stock Plunges on Stock Offering

Year-to-date, ASTS is down 6.7%

Deputy Editor
Jun 28, 2023 at 10:45 AM
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AST SpaceMobile Inc (NASDAQ:ASTS) stock is plummeting today, after the wireless telecommunications concern revealed the pricing and sizing of its previously announced public stock offering, with Barclays as the sole bookrunner. The company sold 12.5 million shares for gross proceeds of about $59.4 million, which will be used for general purposes. 

At last check, ASTS was down 27.6% at $4.62. The stock is breaking below its 20-day moving average, which has provided support since late April. Year-to-date, the equity is down 6.7%. It's also worth noting that shares have ended up on the short sell restricted (SSR) list amid the volatility. 

So far in the option pits today, 9,677 calls and 12,000 puts have been exchanged, which is already 11 times the average daily volume. The weekly 6/30 4.50-strike call is the most popular, with new positions being bought to open there. 

Short-term traders are heavily put-biased. This is per the equity's Schaeffer's put/call open interest ratio (SOIR), which ranks higher than 93% of readings from the past 12 months. 

 

 
 

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