Astera Labs (NASDAQ:ALAB) Trading Down 7.4% - Here's What Happened

Astera Labs, Inc. (NASDAQ:ALAB - Get Free Report)'s stock price was down 7.4% during trading on Friday . The company traded as low as $95.01 and last traded at $92.14. Approximately 1,707,702 shares traded hands during mid-day trading, a decline of 59% from the average daily volume of 4,124,692 shares. The stock had previously closed at $99.53.

Analyst Ratings Changes

A number of analysts have recently issued reports on ALAB shares. Raymond James Financial initiated coverage on shares of Astera Labs in a report on Friday, March 14th. They set an "outperform" rating and a $82.00 price objective for the company. Needham & Company LLC cut their price objective on Astera Labs from $140.00 to $100.00 and set a "buy" rating for the company in a report on Wednesday, May 7th. Citigroup dropped their target price on Astera Labs from $120.00 to $100.00 and set a "buy" rating for the company in a research report on Monday, April 14th. Wall Street Zen raised Astera Labs from a "hold" rating to a "buy" rating in a research note on Saturday. Finally, Stifel Nicolaus decreased their price target on shares of Astera Labs from $150.00 to $100.00 and set a "buy" rating on the stock in a research note on Thursday, April 17th. One research analyst has rated the stock with a hold rating, fifteen have given a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Buy" and an average target price of $100.00.

Astera Labs Stock Down 7.7%

The firm's fifty day moving average price is $81.64 and its 200-day moving average price is $91.70. The stock has a market cap of $14.17 billion, a P/E ratio of 390.70, a PEG ratio of 4.37 and a beta of 1.38.

Astera Labs (NASDAQ:ALAB - Get Free Report) last announced its quarterly earnings results on Tuesday, May 6th. The company reported $0.33 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.28 by $0.05. Astera Labs had a net margin of 8.44% and a return on equity of 2.57%. The business had revenue of $159.44 million for the quarter, compared to analyst estimates of $151.55 million. During the same quarter last year, the firm earned $0.10 EPS. The company's revenue was up 144.1% on a year-over-year basis. Sell-side analysts predict that Astera Labs, Inc. will post 0.34 earnings per share for the current year.

Insider Transactions at Astera Labs

In other Astera Labs news, CFO Michael Truett Tate sold 500,000 shares of the business's stock in a transaction on Friday, May 30th. The shares were sold at an average price of $90.23, for a total transaction of $45,115,000.00. Following the transaction, the chief financial officer now directly owns 618,996 shares of the company's stock, valued at approximately $55,852,009.08. The trade was a 44.68% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, COO Sanjay Gajendra sold 76,373 shares of the company's stock in a transaction on Wednesday, June 18th. The stock was sold at an average price of $98.39, for a total transaction of $7,514,339.47. Following the completion of the transaction, the chief operating officer now owns 715,000 shares of the company's stock, valued at $70,348,850. This trade represents a 9.65% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 1,678,150 shares of company stock worth $148,596,660.

Hedge Funds Weigh In On Astera Labs

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Empowered Funds LLC bought a new position in Astera Labs in the fourth quarter worth about $60,000. Rhumbline Advisers raised its position in shares of Astera Labs by 371.4% in the 4th quarter. Rhumbline Advisers now owns 99,949 shares of the company's stock worth $13,238,000 after acquiring an additional 78,746 shares in the last quarter. Principal Securities Inc. purchased a new position in shares of Astera Labs in the 4th quarter valued at approximately $55,000. Principal Financial Group Inc. bought a new stake in shares of Astera Labs during the fourth quarter valued at approximately $1,388,000. Finally, Sanctuary Advisors LLC boosted its position in shares of Astera Labs by 37.7% during the fourth quarter. Sanctuary Advisors LLC now owns 5,329 shares of the company's stock valued at $706,000 after purchasing an additional 1,458 shares in the last quarter. Hedge funds and other institutional investors own 60.47% of the company's stock.

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.