AST SpaceMobile (ASTS.US) successfully launched "the strongest satellite", but concerns over high valuation led to a 9% drop in the stock price.

AST SpaceMobile (ASTS.US) announced on Wednesday that the company has successfully launched the BlueBird 6 satellite, claiming it to be the "largest commercial communication array ever deployed in low Earth orbit." The company states that BlueBird 6 is capable of providing high-speed 4G and 5G signals directly from space to standard, unmodified smartphones and government devices. This satellite was launched into orbit from the Satish Dhawan Space Center on Sriharikota Island in India by an LVM-3 launch rocket. It is three times the size of the six satellites currently in orbit, with ten times the capacity. AST SpaceMobile stated, "The satellite is intended to provide peak data transmission speeds of up to 120 Mbps directly to standard, unmodified mobile devices from space, supporting voice, full data, and video applications." The satellite was assembled, integrated, and tested in the company's manufacturing facility in Midland, Texas. The company plans to launch 45 to 60 satellites by the end of 2026, with an average plan of launching once every one to two months. Yesterday, AST's stock price rose over 7% in trading but later fell, ending down nearly 9% at $78.05. Currently, the stock's trading volume has exceeded 26 million shares, surpassing its three-month average trading volume. Recently, some Wall Street analysts have expressed concerns about the stock being overvalued. As of now, ASTS stock price has risen 336% year-to-date, compared to a 17.5% rise in the S&P benchmark index. As early as December, analyst StoneFox Capital stated, "Despite the potential for speculative price increases, the stock is too expensive for realistic financial goals given the repeated launch delays and uncertainties in execution."