B. Riley analyst Mike Crawford upgraded AST SpaceMobile (ASTS) stock to "Buy" from "Neutral" on Friday. Crawford maintained an $85 price target. The upgrade follows a significant drop in the company's share price. Its shares fell more than 50% over the last six months.
Crawford cites a more favorable risk/reward profile at the stock's current valuation. The upgrade also follows the company's recent announcement of a $1 billion convertible senior notes offering. B. Riley estimates this offering will increase AST SpaceMobile's deployable cash. Cash is projected to exceed $3.4 billion by the end of the third quarter.