Astera Labs (NASDAQ:ALAB) Earns Hold Rating from Analysts at TD Cowen

Key Points

• TD Cowen has initiated coverage on Astera Labs, providing a "hold" rating and a price target of $200.00, suggesting a potential upside of 2.15% from its previous close.
• The company's recent earnings report showed an EPS of $0.44, surpassing expectations, with a significant 149.5% revenue increase year-over-year.
• Company insiders, including the CEO and CFO, sold a total of 1.5 million shares recently, indicating a 12.50% ownership by corporate insiders.

Stock analysts at TD Cowen assumed coverage on shares of Astera Labs (NASDAQ:ALAB - Get Free Report) in a research note issued to investors on Wednesday. The brokerage set a "hold" rating and a $200.00 price target on the stock. TD Cowen's target price indicates a potential upside of 2.15% from the company's previous close.

Other analysts have also issued reports about the stock. Wall Street Zen raised shares of Astera Labs from a "hold" rating to a "buy" rating in a research report on Saturday, August 16th. CICC Research initiated coverage on Astera Labs in a report on Friday, August 29th. They set an "outperform" rating and a $190.00 price objective for the company. Susquehanna upped their price objective on Astera Labs from $80.00 to $125.00 and gave the company a "neutral" rating in a research report on Thursday, August 7th. Morgan Stanley boosted their target price on shares of Astera Labs from $155.00 to $200.00 and gave the company an "overweight" rating in a research note on Friday, August 29th. Finally, Cowen started coverage on shares of Astera Labs in a report on Tuesday. They issued a "hold" rating on the stock. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $155.71.

Astera Labs Trading Down 1.5%

NASDAQ:ALAB opened at $195.80 on Wednesday. The company has a market capitalization of $32.55 billion, a P/E ratio of 349.64, a P/E/G ratio of 5.04 and a beta of 1.48. The business's 50-day moving average is $185.00 and its 200 day moving average is $116.75. Astera Labs has a 12 month low of $47.13 and a 12 month high of $262.90.

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 return on equity of 9.53% and a net margin of 16.54%.The firm had revenue of $191.93 million during the quarter, compared to the consensus estimate of $172.46 million. During the same period in the prior year, the company earned $0.13 EPS. The company's quarterly revenue 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. On average, research analysts forecast that Astera Labs will post 0.34 earnings per share for the current year.

Insider Buying and Selling at Astera Labs

In other Astera Labs news, CEO Jitendra Mohan sold 152,517 shares of the stock in a transaction dated 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 completion of the sale, the chief executive officer directly owned 450,001 shares of the company's stock, valued at approximately $76,648,670.33. This represents a 25.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CFO Michael Truett Tate sold 100,000 shares of Astera Labs 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 completion of the transaction, the chief financial officer directly owned 518,996 shares in the company, valued at approximately $88,945,534.48. The trade was a 16.16% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 1,513,027 shares of company stock valued at $233,510,161. 12.50% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Astera Labs

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Corient Private Wealth LLC purchased a new position in Astera Labs in the 2nd quarter worth $543,000. Osaic Holdings Inc. boosted its position in Astera Labs by 208.0% in the second quarter. Osaic Holdings Inc. now owns 60,787 shares of the company's stock valued at $5,496,000 after buying an additional 41,051 shares during the last quarter. China Universal Asset Management Co. Ltd. increased its holdings in Astera Labs by 175.7% in the 2nd quarter. China Universal Asset Management Co. Ltd. now owns 10,200 shares of the company's stock worth $922,000 after buying an additional 6,500 shares during the period. Munro Partners purchased a new position in Astera Labs during the 2nd quarter worth approximately $2,355,000. Finally, Thrivent Financial for Lutherans acquired a new stake in Astera Labs during the 2nd quarter valued at approximately $592,000. 60.47% of the stock is currently owned by institutional investors and hedge funds.

Astera Labs Company Profile

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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