10 Best Performing Small-Cap Stocks in 2024

3. AST SpaceMobile Inc. (NASDAQ:ASTS)

Year-to-Date Performance as of September 23: 338.80%

Market Cap as of September 23: $4.19 billion

Number of Hedge Fund Holders: 15

AST SpaceMobile Inc. (NASDAQ:ASTS) is a satellite designer and manufacturer that aims to provide global cellular broadband coverage from space. It is developing a constellation of satellites that will enable users to connect to the internet from their existing mobile devices, regardless of their location on Earth.

The company successfully launched its first 5 commercial satellites, known as BlueBirds, on September 11. It took over 7 years and $1 billion to reach this point. These satellites will provide cellular broadband service and other applications. It’s targeting nearly 100% geographical coverage for the continental UA using a premium 850 MHz low-band spectrum. After in-orbit service activation, it will start with 5,600 sales across the country.

It also secured a major strategic financing partner and customer, adding Verizon to a top-tier group that also includes AT&T, Google, Vodafone, American Tower, Rakuten, Bell Canada, and others. This 100 million commitment from Verizon, including 65 million commercial prepayments and 35 million convertible notes, is another validation of its technology and business model.

Its scalability and cost position are expected to be tailwinds. The satellite constellation’s design allows for scalability in coverage area and number of users. By using existing mobile infrastructure and focusing on underrepresented areas, the company can provide cost-effective solutions. Vertical integration of 95% of satellite subsystems gives the company control over IP and manufacturing.

AST SpaceMobile Inc. (NASDAQ:ASTS) closed the second quarter of 2024 with $900K in revenue and $0.51 in loss per share. It continues to work on the production and deployment of Block 2 satellites, with adjusted cash operating expenses to remain in the range of $30 million and $35 million per quarter for the second half of 2024. It has promising long-term prospects due to innovative technology and strategic partnerships.