Critical Review: KORE Group (NYSE:KORE) and AST SpaceMobile (NASDAQ:ASTS)

AST SpaceMobile (NASDAQ:ASTSGet Free Report) and KORE Group (NYSE:KOREGet Free Report) are both computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, profitability, valuation, risk, institutional ownership, earnings and analyst recommendations.

Volatility and Risk

AST SpaceMobile has a beta of 1.61, meaning that its stock price is 61% more volatile than the S&P 500. Comparatively, KORE Group has a beta of 2.5, meaning that its stock price is 150% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings for AST SpaceMobile and KORE Group, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
AST SpaceMobile 0 0 3 0 3.00
KORE Group 0 2 3 0 2.60

AST SpaceMobile currently has a consensus target price of $14.97, indicating a potential upside of 31.63%. KORE Group has a consensus target price of $14.70, indicating a potential upside of 854.55%. Given KORE Group’s higher probable upside, analysts plainly believe KORE Group is more favorable than AST SpaceMobile.

Insider and Institutional Ownership

61.0% of AST SpaceMobile shares are owned by institutional investors. Comparatively, 57.5% of KORE Group shares are owned by institutional investors. 56.6% of AST SpaceMobile shares are owned by insiders. Comparatively, 30.6% of KORE Group shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares AST SpaceMobile and KORE Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
AST SpaceMobile N/A -32.42% -21.75%
KORE Group -57.97% -123.65% -14.99%

Earnings and Valuation

This table compares AST SpaceMobile and KORE Group’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
AST SpaceMobile $500,000.00 5,856.28 -$87.56 million ($0.98) -11.60
KORE Group $276.61 million 0.46 -$167.04 million ($9.40) -0.16

AST SpaceMobile has higher earnings, but lower revenue than KORE Group. AST SpaceMobile is trading at a lower price-to-earnings ratio than KORE Group, indicating that it is currently the more affordable of the two stocks.

Summary

AST SpaceMobile beats KORE Group on 8 of the 13 factors compared between the two stocks.

About AST SpaceMobile

(Get Free Report)

AST SpaceMobile, Inc., together with its subsidiaries, develops and provides access to a space-based cellular broadband network for smartphones in the United States. Its SpaceMobile service provides cellular broadband services to end-users who are out of terrestrial cellular coverage. The company was founded in 2017 and is headquartered in Midland, Texas.

About KORE Group

(Get Free Report)

KORE Group Holdings, Inc. provides Internet of Things (IoT) services and solutions worldwide. It offers connectivity and location-based services, device solutions, and managed and professional services that are used in the development and support of IoT technology for the business market. The company's products include IoT connectivity-as-a-service; connectivity enablement-as-a-service; device management services; and security location based services. It serves customers in healthcare, fleet and vehicle management, asset management, communication services, and industrial/manufacturing sectors. KORE Group Holdings, Inc. was founded in 2002 and is headquartered in Atlanta, Georgia.

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