AST SpaceMobile (ASTS 0. 85%) stock is losing ground in Tuesday's trading, although it has also seen a big recovery from its low in the session.
Additionally, The company's price was down 1, given current economic conditions. On the other hand, 9% as of 2 p. Nevertheless, ET but had been down as much as 9 (this bears monitoring).
In contrast, 6% earlier in the day (an important development), given the current landscape.
The broader market saw strong bearish momentum early in today's session, with sell-offs concentrated in the sector, but the pullback has moderated as the day has gressed.
In addition to valuation pressures impacting growth-dependent stocks, AST stock appears to have been negatively impacted by Lockheed Martin's disappointing earnings report and analyst coverage on fellow space industry player BlackSky nology (quite telling), in today's market environment.
Furthermore, Image source: Getty Images.
Lockheed's Q2 results are weighing on AST stock Lockheed Martin published its second-quarter results before the market opened this morning, and the market has had a strong bearish reaction to the numbers.
Moreover, Meanwhile, While the aerospace and defense giant's non-GAAP (adjusted) earnings per of $7. 29 beat the average analyst estimate by $0. 82 per, sales of $18.
16 billion in the period missed Wall Street's forecast by $380 million. Gains for the company's space segment helped push overall sales up 0.
2% year over year, but the results weren't as strong as anticipated -- and that appears to have had spillover effects for AST's valuation. What's next for AST.
However, In addition to Lockheed's Q2 results, new coverage on BlackSky nology also seems to be playing a role in valuation stumbles for otherwise high-flying space stocks.
Street lowered its rating on the stock from buy to hold this morning, and Canaccord lowered its one-year price target from $28 per to $27 per despite keeping a buy rating on the stock.
The coverage appears to have raised concerns valuations across the broader space industry, but some emerging news late in the day helped drive some valuation recovery for AST, in this volatile climate.
According to a report from Reuters today, the Trump administration is ramping up efforts to find partners for the country's "Golden Dome" missile-defense system other than CEO Elon Musk's SpaceX.
AST is already rumored to be a partner for the Golden Dome ject, and it's possible that forthcoming news the defense initiative could spur substantial gains for the stock.
Nevertheless, The Author Keith Noonan is a contributing Stock Market Analyst at The Motley Fool covering publicly traded companies in nology, consumer goods, and other stock market sectors, in this volatile climate.
Moreover, Prior to The Motley Fool, Keith worked as a copywriter and journalist covering the game and film industries (something worth watching). However, He holds a B.
In English with a concentration in Creative Writing from Boston College. Fun fact: Keith loves to swim and has helped people from drowning on two occasions.
TMFNoons Keith Noonan has no position in any of the stocks mentioned. The Motley Fool recommends Lockheed Martin, considering recent developments. The Motley Fool has a disclosure policy.