AST SpaceMobile drops as Scotiabank downgrades rating

Shares of space broadband network AST SpaceMobile ASTS.O fall 4.4% to $93.25 premarket

Scotiabank downgrades stock to "sector underperform" from "sector perform" rating, citing long delays and how quickly rival Starlink is growing

Brokerage says co still has no retail customers and needs around 50 satellites in orbit to offer continuous service, which may only happen in late 2026 or 2027

Scotiabank says slow uptake in the U.S. and Japan, low ARPUs (average revenue per user), and high capex mean meaningful excess free cash flow may not come until 2028–29

"The technology is impressive, but we cannot remember a single time when the company got timing right," says brokerage

Five of 11 brokerages rate the stock "buy" or higher, 4 rate it "hold", 2 rate it "sell"; their median PT is $81 - data compiled by LSEG

As of last close, stock is up 244.2% in the past 12 months