Astera Labs (NASDAQ:ALAB) Shares Down 2.7% - Here's Why
Astera Labs (NASDAQ:ALAB) shares fell 2.7% to $245.20 during mid-day trading, with a significant increase in trading volume. Analysts have issued various target price upgrades, with a consensus rating of "Moderate Buy" and a target of $152.94. The company reported strong earnings, exceeding estimates with $0.44 EPS and $191.93 million in revenue, up 149.5% year-over-year. Insider selling activity was noted, with CEO Jitendra Mohan and COO Sanjay Gajendra selling significant shares. Institutional investors have also modified their holdings in the company recently.
Astera Labs, Inc. (NASDAQ:ALAB - Get Free Report) fell 2.7% during mid-day trading on Friday . The stock traded as low as $231.18 and last traded at $245.20. 22,420,803 shares traded hands during mid-day trading, an increase of 343% from the average session volume of 5,056,494 shares. The stock had previously closed at $251.88.
Analyst Upgrades and Downgrades
- 4 Stocks Every AI ETF Is Buying—And They’re Not What You Think
Several brokerages have recently issued reports on ALAB. Stifel Nicolaus set a $145.00 target price on shares of Astera Labs and gave the company a "buy" rating in a research note on Monday, August 4th. Deutsche Bank Aktiengesellschaft raised their target price on shares of Astera Labs from $160.00 to $200.00 and gave the company a "buy" rating in a research note on Tuesday, September 2nd. Jefferies Financial Group lifted their price objective on shares of Astera Labs from $95.00 to $130.00 and gave the stock a "buy" rating in a research note on Tuesday, July 22nd. Citigroup lifted their price objective on shares of Astera Labs from $160.00 to $275.00 and gave the stock a "buy" rating in a research note on Wednesday. Finally, Evercore ISI lifted their price objective on shares of Astera Labs from $104.00 to $215.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $152.94.
Read Our Latest Stock Report on ALAB
Astera Labs Price Performance
- MarketBeat Week in Review – 06/23 - 6/27
The stock's 50-day moving average price is $166.97 and its 200 day moving average price is $108.30. The firm has a market cap of $40.76 billion, a P/E ratio of 437.86, a price-to-earnings-growth ratio of 6.32 and a beta of 1.48.
Astera Labs (NASDAQ:ALAB - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported $0.44 earnings per share for the quarter, topping analysts' consensus estimates of $0.33 by $0.11. The business had revenue of $191.93 million for the quarter, compared to the consensus estimate of $172.46 million. Astera Labs had a net margin of 16.54% and a return on equity of 9.53%. The firm's revenue for the quarter was up 149.5% on a year-over-year basis. During the same period in the previous year, the company earned $0.13 earnings per share. Astera Labs has set its Q3 2025 guidance at 0.380-0.390 EPS. As a group, analysts forecast that Astera Labs, Inc. will post 0.34 EPS for the current fiscal year.
Insider Activity
- Astera Labs: AI Infrastructure Play With Significant Growth Ahead
In related news, CEO Jitendra Mohan sold 152,517 shares of the business's stock in a transaction on Thursday, August 7th. The shares were sold at an average price of $170.33, for a total transaction of $25,978,220.61. Following the transaction, the chief executive officer directly owned 450,001 shares in the company, valued at approximately $76,648,670.33. The trade was a 25.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, COO Sanjay Gajendra sold 280,000 shares of the business's stock in a transaction on Thursday, August 7th. The stock was sold at an average price of $170.02, for a total transaction of $47,605,600.00. Following the transaction, the chief operating officer owned 5,525,545 shares in the company, valued at approximately $939,453,160.90. The trade was a 4.82% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 1,576,713 shares of company stock valued at $239,237,016 in the last ninety days. Corporate insiders own 12.50% of the company's stock.
Hedge Funds Weigh In On Astera Labs
Several institutional investors and hedge funds have recently modified their holdings of ALAB. Cetera Investment Advisers acquired a new position in shares of Astera Labs in the fourth quarter valued at $460,000. Deutsche Bank AG increased its holdings in shares of Astera Labs by 33.0% in the fourth quarter. Deutsche Bank AG now owns 7,695 shares of the company's stock valued at $1,019,000 after purchasing an additional 1,909 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. acquired a new position in shares of Astera Labs in the fourth quarter valued at $1,543,000. Quantinno Capital Management LP acquired a new position in shares of Astera Labs in the fourth quarter valued at $548,000. Finally, Visionary Wealth Advisors acquired a new position in shares of Astera Labs in the fourth quarter valued at $211,000. 60.47% of the stock is currently owned by institutional investors and hedge funds.
Astera Labs Company Profile
(Get Free Report)Astera Labs, Inc designs, manufactures, and sells semiconductor-based connectivity solutions for cloud and AI infrastructure. Its Intelligent Connectivity Platform is comprised of a portfolio of data, network, and memory connectivity products, which are built on a unifying software-defined architecture that enables customers to deploy and operate high performance cloud and AI infrastructure at scale.
Further Reading
- Five stocks we like better than Astera Labs
- Find and Profitably Trade Stocks at 52-Week Lows
- Darden Restaurants: A Textbook Buy-the-Dip Opportunity
- What is the Dow Jones Industrial Average (DJIA)?
- Top 125 Family Businesses People Most Want to Work for in the U.S. [2025 Survey]
- Should You Invest in Penny Stocks?
- NIO's New Dawn: Why Wall Street's Bullish Turn Signals a Comeback
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.
Should You Invest $1,000 in Astera Labs Right Now?
Before you consider Astera Labs, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Astera Labs wasn't on the list.
While Astera Labs currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
