AST SpaceMobile Inc. (NASDAQ:ASTS) stock jumped more than 9% in Wednesday trading.
The move followed an SEC filing that disclosed share purchases linked to director Adriana Cisneros.
AST SpaceMobile Director-Linked Purchases Draw Investor Interest
The Form 4 filing disclosed three purchases dated Aug. 31. They included 1,384 shares at $57.79, 8,768 shares at $57 and 670 shares at $58.87.
The securities were held indirectly through Cisneros’ spouse, an entity and a child. The entity was identified as 1979 Edendale Investments Ltd., which is tied to The Adriana Cisneros 2014 Portfolio Trust.
Insider purchases can signal confidence in a company’s prospects. Therefore, the disclosure attracted attention after AST SpaceMobile’s extended pullback.
Berenberg’s bullish initiation also added to positive sentiment around the stock Wednesday.
Technical Analysis
Despite Wednesday’s rally, AST SpaceMobile remains below its key moving averages. The stock is about 6.9% below its 20-day simple moving average and 8.5% below its 50-day average. It also trades more than 20% below its 100-day and 200-day averages.
Therefore, the longer-term chart remains under pressure. The 20-day average is below the 50-day average. In addition, a death cross formed in July when the 50-day average fell below the 200-day average.
Meanwhile, the relative strength index stands at 46.36. That neutral reading suggests momentum is stabilizing. However, it does not yet signal a clear breakout.
The stock remains well below its 52-week high of $133.86 but above its 52-week low of $36.08. Nearby support sits around $53, where buyers previously entered.
AST SpaceMobile Analyst Outlook
The stock has a Hold consensus rating and an average price forecast of $83.10.
Berenberg initiated coverage Wednesday with a Buy rating and a $92 price forecast. UBS maintained a Neutral rating and lowered its forecast to $78 on Aug. 11. Piper Sandler kept an Overweight rating and reduced its forecast to $98 the same day.
Top ETF Exposure
The Tema Space Innovators ETF (NYSE:NASA) has a 5.19% weighting in AST SpaceMobile. The Procure Space ETF (NASDAQ:UFO) has a 4.28% weighting.
Meanwhile, AST SpaceMobile represents 64.68% of the Tradr 2X Long ASTS Daily ETF (NASDAQ:ASTX). Its large weighting means fund flows could increase the stock’s volatility.
AST SpaceMobile Price Action
AST SpaceMobile shares were up 8.98% at $58.22 at the time of publication Wednesday, according to Benzinga Pro.
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