Core Viewpoint - AST SpaceMobile has seen its shares increase by over 1,000% in the past three years, particularly since mid-2024, as the feasibility of its business model has improved, despite not yet having a fully functional service [1]. Group 1: Company Overview - AST SpaceMobile is attempting to build a space-based mobile broadband network that will interact with existing cellphones, eliminating the need for users to upgrade their technology [3]. - The company is partnering with existing telecom providers, which provides access to their capital and customer base [3][4]. Group 2: Financial Performance - In the first half of 2025, AST SpaceMobile generated approximately $1.9 million in revenue while incurring expenses of $137.6 million, indicating it is still operating at a loss [5]. - The company plans to launch between 45 and 60 satellites into orbit from 2025 to 2026, which is expected to increase revenue but will also incur significant costs [5][6]. Group 3: Market Position and Risks - Despite the promising business model and partnerships, AST SpaceMobile remains a money-losing startup, which raises concerns about its long-term viability [5][6]. - The rapid increase in stock price may have already priced in much of the positive news surrounding the company, suggesting potential volatility ahead [5].

Market Overview - Markets experienced a rise due to softer-than-expected inflation figures, with September inflation increasing by 3% year-over-year and core inflation easing to 3.0%, leading to expectations of potential Federal Reserve rate cuts [1][2] - Major indexes reached new all-time highs, supported by strong earnings from the auto sector [1] Bullish Stocks - Beyond Meat Inc. (NASDAQ:BYND) saw a stock surge of over 24% after a debt swap that eliminated approximately 97% of old notes, significantly reducing near-term bankruptcy risk, although existing shareholders faced heavy dilution as bondholders now own about 81% of the company [3] - Intel Corp. (NASDAQ:INTC) reported Q3 earnings that exceeded estimates with $13.65 billion in revenue and $0.23 adjusted EPS, driven by increased demand for compute due to AI advancements [4] - Alphabet Inc. (NASDAQ:GOOG) shares rose after Anthropic announced plans to expand its use of Google Cloud technologies, securing access to over 1 million TPU chips and more than 1 GW of capacity, reinforcing Alphabet's leadership in AI and cloud [5] Bearish Stocks - Newmont Corp. (NYSE:NEM) reported Q3 revenue of $5.52 billion and $1.71 EPS, but faced a 4% decline in production to 1.42 million ounces and a decrease in gold grades, leading to a stock slip despite strong cash flow due to future headwind concerns [6] - AST SpaceMobile Inc. (NASDAQ:ASTS) shares fell after announcing a $500 million convertible note offering, raising concerns about dilution and financing risks among investors [7] Industry Trends - The Invesco WilderHill Clean Energy ETF (NASDAQ:PBW) has increased by 44% year-to-date, outperforming both the VanEck Semiconductor ETF (NYSE:SMH) and NVIDIA Corp. (NASDAQ:NVDA), despite challenges from the Trump administration's efforts to roll back clean-energy tax credits [8]

Group 1 - The article emphasizes the importance of investing in quality blue-chip stocks, BDCs, and REITs for generating dividends in the long term [1] - The goal is to build investment portfolios that can provide financial independence for lower and middle-class workers [1] - The author expresses a preference for a buy-and-hold investment strategy, focusing on quality over quantity [1] Group 2 - The analyst has a beneficial long position in the shares of USB and VZ, indicating confidence in these stocks [2] - The article is written based on the author's own opinions and does not involve compensation from any mentioned companies [2] - Seeking Alpha clarifies that past performance does not guarantee future results and that the views expressed may not reflect the platform's overall stance [3]

Company Overview - AST SpaceMobile, Inc. (NASDAQ:ASTS) is focused on building and operating the BlueBird satellite network, which provides space-based cellular broadband that connects directly to standard smartphones [2]. Financial Performance - The company has experienced significant stock price volatility, with a year-to-date increase of over 200%, currently trading at approximately $71, but down more than 30 points from its recent high [1]. - AST SpaceMobile has reported losses for the last five years, with a negative free cash flow of $677 million over the past 12 months [1]. Recent Developments - The company recently offered $1 billion in convertible notes and 2 million shares at a price of around $78, indicating a need for capital amid its ongoing financial struggles [1]. Investment Perspective - While AST SpaceMobile shows potential as an investment, there are opinions suggesting that certain AI stocks may offer greater upside potential with less downside risk [3].

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgency to invest now [1][13] - The energy demands of AI technologies are highlighted, with data centers consuming as much energy as small cities, leading to concerns about power grid strain and rising electricity prices [2][3] Investment Opportunity - A specific company is presented as a critical player in the AI energy sector, owning essential energy infrastructure assets that are poised to benefit from the increasing energy demands of AI [3][7] - This company is characterized as a "toll booth" operator in the AI energy boom, collecting fees from energy exports and benefiting from the onshoring trend driven by tariffs [5][6] Financial Position - The company is noted for being debt-free and holding a significant cash reserve, which is nearly one-third of its market capitalization, positioning it favorably compared to other energy firms burdened with debt [8][10] - It is trading at less than 7 times earnings, indicating a potentially undervalued investment opportunity in the context of its critical role in AI and energy [10][12] Market Trends - The article discusses the broader trends of AI infrastructure supercycles, the surge in U.S. LNG exports, and the importance of nuclear energy in the future power strategy [14][7] - The influx of talent into the AI sector is expected to drive continuous innovation and advancements, reinforcing the long-term growth potential of investments in AI [12][11]

Core Insights - AST SpaceMobile, Inc. (NASDAQ:ASTS) is recognized for its innovative approach in providing space-based cellular broadband, aiming to address global mobile coverage gaps and deliver affordable internet services [2] Group 1: Company Overview - AST SpaceMobile operates the BlueBird satellite network, which connects directly to standard smartphones for both commercial and government applications [2] - The company is positioned as a pioneer in the space-based cellular broadband sector, with the potential to significantly impact mobile connectivity worldwide [2] Group 2: Market Sentiment - Recent commentary from Jim Cramer indicates concerns regarding AST SpaceMobile's financial maneuvers, specifically mentioning a large convertible filing that may negatively affect the stock price [1] - Crossroads Capital highlights AST SpaceMobile as their second-largest position, emphasizing its potential to solve a critical issue for mobile users globally [2] Group 3: Investment Considerations - While AST SpaceMobile shows promise, there are suggestions that certain AI stocks may present better upside potential with lower downside risk [3]

Core Insights - The article emphasizes the importance of building robust and diversified investment portfolios to preserve and increase wealth over time [1]. Group 1: Company Overview - The Pragmatic Investor is designed to guide investors of all levels, covering global macro, international equities, commodities, tech, and cryptocurrencies [1]. - The platform offers features such as a portfolio, weekly market updates, actionable trades, technical analysis, and a chat room for investor engagement [1]. Group 2: Analyst Background - James Foord, an economist with a decade of experience in analyzing global markets, leads The Pragmatic Investor [1].

Core Insights - AT&T Inc. and AST SpaceMobile, Inc. are significant players in the mobile and wireless connectivity sector, each with unique strengths in their respective fields [1][2] AT&T Overview - AT&T is one of the largest wireless service providers in North America, offering a wide range of communication and business solutions, including wireless, broadband, and cloud-based services [1] - The company is experiencing positive momentum in its postpaid wireless business, characterized by a lower churn rate and increased adoption of higher-tier unlimited plans [4] - AT&T is focused on enhancing its mobile 5G, fixed wireless, and edge computing services to drive growth, utilizing Ericsson technology for Open RAN deployment [4][5] - Collaborations with TransUnion and Microsoft aim to improve customer experiences and enhance productivity through cloud integration [5] - Despite these efforts, AT&T faces challenges such as a nationwide wireless service outage that impacted customer trust and intense competition from Verizon and T-Mobile [6] AST SpaceMobile Overview - AST SpaceMobile is developing the first global cellular broadband network in space, accessible via standard smartphones, utilizing a constellation of satellites in low Earth orbit [2][7] - The company has launched its first five commercial satellites, which feature the largest commercial communications arrays, and plans to deploy 45 to 60 satellites by Q1 2026 [7] - AST SpaceMobile's service aims to fill cellular coverage gaps, partnering with major carriers like AT&T and Verizon to enhance coverage in the U.S. [9] - The company holds a diverse portfolio of over 3,650 patents related to its satellite ecosystem [7] Competitive Dynamics - AT&T's growth is driven by 5G upgrades and improved wireless services, while AST SpaceMobile is advancing with its Bluebird satellites [8] - AT&T's valuation metrics are more attractive compared to AST SpaceMobile, which has a significantly higher price/sales ratio [15] - Despite AST SpaceMobile's sharper revenue growth, AT&T's solid subscriber momentum and extensive network modernizations position it favorably in the market [18] Financial Estimates - The Zacks Consensus Estimate for AT&T's 2025 sales indicates a year-over-year growth of 2.2%, while EPS is expected to decline by 8.8% [11] - In contrast, AST SpaceMobile's 2025 sales are projected to grow by 1,120%, but its EPS is expected to decline by 39.4% [12] Price Performance - Over the past year, AT&T's stock has increased by 15.1%, while AST SpaceMobile has seen a remarkable gain of 184.6% [14] - AT&T is considered a better investment option due to its more attractive valuation metrics and solid subscriber growth [18]

Core Viewpoint - AST SpaceMobile's shares declined by 13.5% following the announcement of a $1 billion private offering of convertible senior notes, which dilutes existing shareholders [1][3]. Group 1: Offering Details - The company announced a private offering of $1 billion in convertible senior notes due in 2036, increasing from an initial target of $850 million [3]. - The notes have an initial conversion price of $96.30, representing a premium of 22.5% to the previous closing price, which has now increased to nearly 40% [3]. - The interest rate on the notes is set at 2%, with an option for purchasers to buy an additional $150 million in notes [3]. Group 2: Financial Implications - AST expects to receive approximately $981.9 million in proceeds from the sale, which will be used for general corporate purposes, including satellite deployment [4]. - The company is currently valued at a market cap of $26 billion and anticipates generating meaningful revenue between $50 million to $75 million in the second half of the year [6]. Group 3: Market Reaction and Future Outlook - Investors are generally hesitant about capital raises for companies without profits, which is reflected in the stock's performance [5]. - Although the convertible debt will not immediately dilute investors, further capital raises are likely needed in the future as the company is years away from profitability [6][7].

Gold Blow-Off TopPlease click here for an enlarged chart of SPDR Gold Trust (NYSE:GLD).Note the following:The chart shows the our signal to take partial profits on gold.  We have been bullish on gold from the cycle low near $1000.  We have been advocating 5% – 8% allocation to gold.The chart shows when our blow-off top signal was first given.  The signal was subsequently repeated.The chart shows that since our blow-off top signal, gold has experienced the worst sell off in 12 years.Prior to the blow-off top ...