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Just For You AST SpaceMobile's Big Win: Shares Soar on New Deal With VerizonWritten by Leo Miller. Published 10/11/2025. 
Key Points - AST SpaceMobile has been one of the best-performing stocks of 2025, with its latest deal with Verizon adding fuel to its rally.
- The deal changes the company's relationship with Verizon in a highly positive way.
- Still, with few concrete details, investors should stay aware of the significant valuation concerns surrounding ASTS.
When it comes to stocks that have excited and rewarded investors in 2025, AST SpaceMobile (NASDAQ: ASTS) is clearly among the biggest winners. Through the Oct. 8 close, shares were up roughly 311% — an impressive run. Investors likely grew more confident after the firm's latest agreement with a top telecom company. On Oct. 8, the company announced a deal with Verizon Communications (NYSE: VZ). Under the agreement, AST SpaceMobile said it will "provide direct-to-cellular AST SpaceMobile service when needed for Verizon customers starting in 2026." The announcement lifted ASTS shares by about 16% over two days. Below, we break down what the deal means for ASTS stock and how its valuation stacks up. Verizon Moves From ASTS Financier to Customer Something unusual is unfolding inside the Republican Party — from Marjorie Taylor Greene breaking ranks to Ted Cruz calling the White House a "mafia," and even Trump's approval rating slipping. But veteran analyst Porter Stansberry says this isn't really about politics at all. It's part of a much larger shift he calls The Final Displacement — a historic economic and social realignment already impacting millions of Americans. His new documentary explains what's driving it and how to prepare before it accelerates further. Watch The Final Displacement to see what's really happening behind the scenes Beginning in 2026, Verizon will offer customers the ability to connect to AST SpaceMobile's low Earth orbit satellites, enabling cellular service in highly remote parts of the United States. The deal validates AST's business model and represents a meaningful step toward commercial sales. It builds on AST's 2024 agreement with Verizon, which helped fund exploration of the "definitive commercial agreement" the companies are now implementing. This commercial agreement creates a clearer path for AST to generate significant — and potentially recurring — revenue in the coming years. It also builds on similar partnerships the company has signed with telecom giants AT&T (NYSE: T) and Vodafone (NASDAQ: VOD), helping to establish AST SpaceMobile as a leader in its niche. That said, few financial specifics of these deals have been disclosed, making it difficult to know how much revenue AST will realize and at what cost. ASTS's Valuation Gap: Current Results vs. Forward Estimates Investors should note the wide gap between AST SpaceMobile's recent financials and the expectations baked into the stock price. Over the last 12 months (LTM), ASTS generated just $4.9 million in revenue, yet it trades at a market capitalization of roughly $31.4 billion. Among U.S. stocks with $10 million or less in LTM revenue, ASTS has the largest market cap. The next-highest company in that group, Rigetti Computing (NASDAQ: RGTI), has a market cap near $14.5 billion, underscoring how extreme ASTS's backward-looking valuation is even among speculative names. Analysts' revenue forecasts help justify the company's valuation. For 2027 and 2028, consensus estimates call for revenues of $830 million and $2.54 billion, respectively — implying forward price-to-sales (P/S) ratios of about 38x and 12x. That looks more reasonable compared with some other high-flying speculative companies. For example, analysts expect Rigetti and Joby Aviation (NYSE: JOBY) to generate roughly $40 million and $144 million in revenue in 2027, giving them forward P/S ratios near 374x and 100x for that year. Still, among U.S. telecom stocks with 2027 revenue projections, ASTS's forward P/S ratio remains by far the highest; the group average is only about 4x. ASTS: Analyst Forecasts Signal Nearly 50% Downside in Shares Projections can be wrong — ASTS's actual results could exceed or fall short of expectations. As a baseline, the consensus implies revenues growing from $4.9 million today to $830 million in roughly three and a half years, which would require many things to go right for the company. Despite the ambitious forward projections, analysts currently view ASTS as overvalued in the near term. The MarketBeat consensus price target is just over $45, implying about 48% downside from the Oct. 9 closing price. Barclays raised its target from $37 to $60 — the most bullish projection MarketBeat has tracked in 2025 — but that level still implies roughly 39% downside. MarketBeat has not yet tracked analysts revising targets since the Oct. 8 announcement; it's possible updates could arrive and change the overall picture of analyst sentiment on ASTS. Bearish indicators do not preclude further gains, but investors should recognize that ASTS carries substantial risk.
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