Astera Labs (NASDAQ:ALAB) Earns Hold (C-) Rating from Weiss Ratings

Key Points

• Astera Labs has received a "hold (C-)" rating from Weiss Ratings, with 14 analysts rating it as a Buy and nine as a Hold.
• The company's stock showed significant movement, recently trading at $164.97, with a market capitalization of $27.42 billion and a P/E ratio of 294.59.
• Astera Labs reported a net margin of 16.54% and a 149.5% year-over-year increase in revenue, totaling $191.93 million, alongside an earnings per share of $0.44 for the last quarter.

Astera Labs (NASDAQ:ALAB - Get Free Report)'s stock had its "hold (c-)" rating reaffirmed by equities researchers at Weiss Ratings in a research report issued to clients and investors on Friday,Weiss Ratings reports.

ALAB has been the topic of several other research reports. Northland Securities cut shares of Astera Labs from an "outperform" rating to a "market perform" rating and set a $120.00 price target on the stock. in a research report on Tuesday, July 22nd. 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 report on Tuesday, September 2nd. Jefferies Financial Group raised their target price on shares of Astera Labs from $95.00 to $130.00 and gave the company a "buy" rating in a report on Tuesday, July 22nd. TD Cowen initiated coverage on shares of Astera Labs in a report on Wednesday, October 1st. They issued a "hold" rating and a $200.00 target price on the stock. Finally, Wall Street Zen raised shares of Astera Labs from a "hold" rating to a "buy" rating in a report on Saturday, October 18th. Fourteen analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $162.06.

Astera Labs Trading Up 0.8%

NASDAQ ALAB traded up $1.33 during trading hours on Friday, reaching $164.97. The company had a trading volume of 4,517,398 shares, compared to its average volume of 5,233,047. The stock has a 50-day moving average of $197.21 and a 200 day moving average of $130.64. Astera Labs has a 1-year low of $47.13 and a 1-year high of $262.90. The stock has a market capitalization of $27.42 billion, a P/E ratio of 294.59, a price-to-earnings-growth ratio of 3.86 and a beta of 1.43.

Astera Labs (NASDAQ:ALAB - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported $0.44 EPS for the quarter, beating analysts' consensus estimates of $0.33 by $0.11. Astera Labs had a net margin of 16.54% and a return on equity of 9.53%. The company had revenue of $191.93 million for the quarter, compared to analysts' expectations of $172.46 million. During the same quarter in the prior year, the company posted $0.13 earnings per share. Astera Labs's revenue for the quarter was up 149.5% compared to the same quarter last year. Astera Labs has set its Q3 2025 guidance at 0.380-0.390 EPS. As a group, sell-side analysts predict that Astera Labs will post 0.34 EPS for the current year.

Insider Buying and Selling

In other news, COO Sanjay Gajendra sold 280,000 shares of the firm's stock in a transaction that occurred on Thursday, August 7th. The shares were sold at an average price of $170.02, for a total transaction of $47,605,600.00. Following the transaction, the chief operating officer directly owned 5,525,545 shares in the company, valued at approximately $939,453,160.90. This trade represents a 4.82% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Michael Truett Tate sold 100,000 shares of the firm's stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $171.38, for a total transaction of $17,138,000.00. Following the transaction, the chief financial officer owned 518,996 shares in the company, valued at approximately $88,945,534.48. This trade represents a 16.16% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,092,997 shares of company stock valued at $192,231,120 over the last three months. 12.50% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Astera Labs

Hedge funds have recently modified their holdings of the business. Great Valley Advisor Group Inc. grew its position in Astera Labs by 2.2% in the 2nd quarter. Great Valley Advisor Group Inc. now owns 4,119 shares of the company's stock valued at $372,000 after buying an additional 90 shares during the last quarter. Straight Path Wealth Management lifted its holdings in Astera Labs by 1.5% in the second quarter. Straight Path Wealth Management now owns 6,850 shares of the company's stock valued at $619,000 after acquiring an additional 100 shares during the period. Rye Brook Capital LLC lifted its holdings in Astera Labs by 1.1% in the third quarter. Rye Brook Capital LLC now owns 9,200 shares of the company's stock valued at $1,801,000 after acquiring an additional 100 shares during the period. First Horizon Advisors Inc. lifted its holdings in Astera Labs by 12.4% in the second quarter. First Horizon Advisors Inc. now owns 982 shares of the company's stock valued at $89,000 after acquiring an additional 108 shares during the period. Finally, Merit Financial Group LLC lifted its holdings in Astera Labs by 3.1% in the third quarter. Merit Financial Group LLC now owns 5,683 shares of the company's stock valued at $1,113,000 after acquiring an additional 170 shares during the period. 60.47% of the stock is currently owned by hedge funds and other institutional investors.

About Astera Labs

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.

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