Astera Labs (NASDAQ:ALAB) Stock Price Target Cut by TD Cowen

Key Points

• TD Cowen cut Astera Labs’ price target from $375 to $300 and maintained a “hold” rating, implying approximately 4.68% upside from the prior close.
• Analyst sentiment remains mixed but leans positive: Astera Labs has an average “Moderate Buy” rating and a consensus target price of $344.17, based on 11 Buy and 10 Hold ratings.
• The company reported strong quarterly results, with $0.80 EPS and $392.4 million in revenue exceeding estimates; revenue increased 104.5% year over year. Insiders have sold roughly $127.3 million of stock over the past 90 days.

Astera Labs (NASDAQ:ALAB - Get Free Report) had its target price decreased by analysts at TD Cowen from $375.00 to $300.00 in a report released on Monday, Benzinga reports. The brokerage currently has a "hold" rating on the stock. TD Cowen's price target suggests a potential upside of 4.68% from the stock's previous close.

A number of other research firms also recently weighed in on ALAB. Weiss Ratings upgraded Astera Labs from a "hold (c)" rating to a "buy (b-)" rating in a research report on Thursday, October 8th. Zacks Research cut shares of Astera Labs from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 5th. Northland Securities downgraded shares of Astera Labs from an "outperform" rating to a "market perform" rating in a research note on Friday, October 9th. Morgan Stanley lifted their price target on shares of Astera Labs to $335.00 and gave the stock an "overweight" rating in a research note on Monday, August 3rd. Finally, Bank of America boosted their price objective on shares of Astera Labs from $240.00 to $450.00 and gave the stock a "neutral" rating in a report on Tuesday, June 23rd. Eleven analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. Based on data from MarketBeat.com, Astera Labs has an average rating of "Moderate Buy" and a consensus target price of $344.17.

Astera Labs Stock Up 0.3%

NASDAQ ALAB opened at $286.58 on Monday. The stock's 50-day simple moving average is $314.24 and its two-hundred day simple moving average is $299.64. Astera Labs has a twelve month low of $97.89 and a twelve month high of $499.48. The company has a market capitalization of $49.72 billion, a price-to-earnings ratio of 141.87 and a beta of 3.68.

Astera Labs (NASDAQ:ALAB - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The company reported $0.80 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.69 by $0.11. The firm had revenue of $392.40 million during the quarter, compared to analysts' expectations of $360.85 million. Astera Labs had a return on equity of 19.24% and a net margin of 30.74%. The company's revenue for the quarter was up 104.5% compared to the same quarter last year. During the same period in the prior year, the business earned $0.44 EPS. Astera Labs has set its Q3 2026 guidance at 1.160-1.210 EPS. On average, equities analysts expect that Astera Labs will post 2.70 earnings per share for the current fiscal year.

Insider Activity

In other news, COO Sanjay Gajendra sold 90,630 shares of the business's stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $340.35, for a total value of $30,845,920.50. Following the completion of the sale, the chief operating officer owned 1,119,038 shares of the company's stock, valued at approximately $380,864,583.30. The trade was a 7.49% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Stefan A. Dyckerhoff sold 8,994 shares of the stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $274.96, for a total value of $2,472,990.24. Following the sale, the director owned 3,309 shares of the company's stock, valued at $909,842.64. This represents a 73.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 408,558 shares of company stock valued at $127,306,034. Company insiders own 10.40% of the company's stock.

Hedge Funds Weigh In On Astera Labs

Several institutional investors and hedge funds have recently bought and sold shares of ALAB. Keating Financial Advisory Services Inc. bought a new stake in Astera Labs in the second quarter valued at approximately $25,000. Archer Investment Corp purchased a new stake in shares of Astera Labs during the second quarter valued at approximately $30,000. Transamerica Financial Advisors LLC purchased a new stake in shares of Astera Labs during the second quarter valued at approximately $35,000. Continuum Advisory LLC bought a new position in shares of Astera Labs in the second quarter worth approximately $37,000. Finally, GK Wealth Management LLC bought a new position in shares of Astera Labs in the third quarter worth approximately $29,000. 60.47% of the stock is currently owned by institutional investors.

Astera Labs Company Profile

Astera Labs, Inc is a semiconductor and connectivity solutions company that develops hardware and software for data centers, cloud computing, and artificial intelligence infrastructure. Its products are designed to help move data between processors, memory, storage, and networking components while addressing bandwidth, latency, and system-management requirements.

The company's portfolio includes Aries PCI Express and Compute Express Link (CXL) Smart Retimers, Taurus Ethernet Smart Cable Modules, Scorpio Smart Fabric Switches, and Leo CXL Memory Connectivity Controllers.

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