Why Space Stocks Virgin Galactic, BlackSky, and AST SpaceMobile Sank on Monday
Monday is looking like another rough day for investors in space stocks across the industry. Shares in recent high-flyers Virgin Galactic Holdings (NYSE: SPCE), BlackSky Technology (NYSE: BKSY), and AST SpaceMobile (NASDAQ: ASTS) are heading south.
As of noon ET, spy satellite operator BlackSky has lost 6.7% of its market capitalization, space tourism stock Virgin Galactic is down 3%, and AST SpaceMobile is off about 2.5%.
Let's take these one at a time, beginning with BlackSky. In what appears to be a simple "sell the news" event, investors who bid up BlackSky in anticipation of the stock being added to the Russell 3000 index of small stocks are selling the company's stock, now that it's actually been added to the index (this morning). Similarly, AST SpaceMobile joined both the Russell 3000 and the Russell 2000 indexes today.
Source Fool.com
