Head-To-Head Comparison: AST SpaceMobile (NASDAQ:ASTS) vs. Aviat Networks (NASDAQ:AVNW)

Aviat Networks (NASDAQ:AVNW) and AST SpaceMobile (NASDAQ:ASTS) are both computer and technology companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, profitability, analyst recommendations, earnings and valuation.

Institutional & Insider Ownership

78.6% of Aviat Networks shares are owned by institutional investors. Comparatively, 61.0% of AST SpaceMobile shares are owned by institutional investors. 4.1% of Aviat Networks shares are owned by insiders. Comparatively, 34.2% of AST SpaceMobile shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Aviat Networks	-0.53%	5.06%	2.18%
AST SpaceMobile	-7,033.22%	-23.56%	-13.79%

Earnings & Valuation

This table compares Aviat Networks and AST SpaceMobile”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aviat Networks	$408.08 million	0.77	$10.76 million	($0.20)	-124.15
AST SpaceMobile	$4.64 million	3,131.88	-$300.08 million	($1.99)	-23.05

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

Volatility & Risk

Aviat Networks has a beta of 1.58, suggesting that its stock price is 58% more volatile than the S&P 500. Comparatively, AST SpaceMobile has a beta of 2.27, suggesting that its stock price is 127% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for Aviat Networks and AST SpaceMobile, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aviat Networks	0	0	5	0	3.00
AST SpaceMobile	0	3	5	0	2.63

Aviat Networks currently has a consensus price target of $37.60, indicating a potential upside of 51.43%. AST SpaceMobile has a consensus price target of $45.34, indicating a potential downside of 1.16%. Given Aviat Networks’ stronger consensus rating and higher possible upside, research analysts plainly believe Aviat Networks is more favorable than AST SpaceMobile.

Summary

Aviat Networks beats AST SpaceMobile on 9 of the 13 factors compared between the two stocks.

About Aviat Networks

Aviat Networks, Inc. provides microwave networking and wireless access networking solutions in North America, Africa, the Middle East, Europe, Latin America, and the Asia Pacific. The company offers outdoor, indoor, and split-mount radios; microwave routers, switches, and trunking; and private LTE, virtual fiber, and element management products; and hosted software products, such as aviat design, frequency assurance software, and health assurance software. It also provides project services, which includes design and engineering, site and path surveys, assembly and integrations, project management, and install and commission; and managed services, such as network and interface monitoring, network health, onsite maintenance, and remote upgrades. In addition, the company offers support services, including extended warranty, warranty plus, provision support, and license key management, as well as instructor and virtual instructor led training, e-learning and certification services. It serves communications service providers and private network operators, including federal, state and local government agencies, transportation agencies, energy and utility companies, public safety agencies, and broadcast network operators. The company markets its products through a direct sales, service, and support organization; indirect sales channels comprising dealers, resellers, and sales representatives; and through online. Aviat Networks, Inc. company was incorporated in 2006 and is headquartered in Austin, Texas.

About AST SpaceMobile

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.