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AST SpaceMobile (NASDAQ: ASTS) reached a record high near $120 after being selected as a prime contractor for the $151 billion SHIELD defense program. The contract validates ASTS's satellite technology but faces challenges including a high market cap over $40 billion and a price-to-sales ratio of nearly 1,300x.

The company reported a loss of 45 cents per share in its last quarter and is under pressure to raise $1 billion for additional satellites. If convertible notes are exercised, existing shareholders may experience significant dilution. Competing with SpaceX's Starlink, which has launched numerous satellites, ASTS risks losing market share despite superior technology, leading to a Wall Street rating of