Why Did ASTS, CRWV, RGTI Stocks Tumble To 52-Week Lows Today?

• AST SpaceMobile hit a yearly low as SpaceX's potential wireless expansion raised competition concerns. 
• CoreWeave faced pressure amid rising borrowing costs and tighter lending conditions.
• Rigetti hit a 52-week low of $10.60 amid quantum sector weakness and commercialization concerns.  

AST SpaceMobile (ASTS), CoreWeave (CRWV) and Rigetti Computing (RGTI) stocks tumbled to fresh 52-week lows on Monday as investors weighed rising competition in satellite communications, higher borrowing costs for AI infrastructure and continued weakness across the quantum computing sector. 

AST SpaceMobile stock plummeted 11%, while CoreWeave and Rigetti stocks tumbled 8% and 5%, respectively. 

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AST SpaceMobile Faces A New Competitive Challenge

AST SpaceMobile stock hit an annual low of $36.08 after reports suggested Elon Musk led SpaceX (SPCX) could expand its satellite-based wireless ambitions through potential access to spectrum assets associated with EchoStar's Boost Mobile business.

Investors worry that SpaceX could combine satellite services with regular mobile networks to compete more strongly in the market. This could make it harder for AST SpaceMobile to keep prices competitive and meet its rollout plans.  On Stocktwits, retail sentiment around the stock remained in ‘bearish’ territory. 

CoreWeave Struggles With AI Infrastructure Financing Costs

CoreWeave stock also reached a fresh yearly low of $49.46 as concerns about the availability and affordability of funding for artificial intelligence infrastructure weighed on investors.

Building large data centers costs a lot of money upfront. Companies like CoreWeave borrow money using their expensive Nvidia (NVDA) chips as collateral to fund these projects. 

However, higher borrowing expenses and tougher lending conditions could make these projects more expensive. Although demand for advanced GPU computing capacity remains strong, increased interest payments and refinancing challenges could pressure profits. Retail sentiment around the stock remained ‘neutral’. 

Rigetti Extends Quantum Computing Sell-Off

Rigetti Computing stock fell to a new 52-week low of $10.60 as investors sold quantum computing stocks ahead of third-quarter earnings. Concerns about slow progress, high spending and unclear customer demand also hurt the sector. 

B. Riley slashed its price target on Rigetti to $25 from $35 while maintaining a ‘Buy’ rating. However, the slashed price target still implies a 134% upside potential from the stock’s last closing price.  Rigetti will report Q3 earnings on Nov. 10, and analysts see $3.68 million in revenue with a loss of $0.05 per share, according to Fiscal.ai. 

Retail sentiment around the stock slipped to ‘bearish’ from ‘neutral’. 

So far this year, ASTS, CRWV and RGTI stocks have declined between 29% and 51%. 

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