Astera Labs (NASDAQ:ALAB) Shares Up 12% - Time to Buy?

Key Points

• Astera Labs' share price surged 12% on Monday, trading at $214.09 after closing at $191.20 previously, with approximately 4.6 million shares traded.
• Analysts have issued mixed ratings, with Barclays raising its price target to $155 and Evercore ISI increasing it to $215, while the consensus rating remains a "Moderate Buy".
• The company reported quarterly earnings of $0.44 EPS, exceeding analysts' expectations, with revenue rising 149.5% year-over-year to $191.93 million.

Astera Labs, Inc. (NASDAQ:ALAB - Get Free Report)'s share price was up 12% on Monday . The company traded as high as $215.95 and last traded at $214.09. Approximately 4,619,979 shares traded hands during mid-day trading, a decline of 7% from the average daily volume of 4,942,290 shares. The stock had previously closed at $191.20.

Analyst Ratings Changes

Several analysts have commented on ALAB shares. Barclays reissued an "overweight" rating and set a $155.00 price target (up from $75.00) on shares of Astera Labs in a research report on Thursday, August 7th. CICC Research began coverage on shares of Astera Labs in a research note on Friday, August 29th. They set an "outperform" rating and a $190.00 price objective for the company. Evercore ISI boosted their target price on Astera Labs from $104.00 to $215.00 and gave the stock an "outperform" rating in a report on Wednesday, August 6th. Needham & Company LLC increased their price target on shares of Astera Labs from $100.00 to $170.00 and gave the company a "buy" rating in a report on Wednesday, August 6th. Finally, Northland Securities lowered 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. One 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 company currently has a consensus rating of "Moderate Buy" and a consensus target price of $142.00.

Astera Labs Stock Up 12.9%

The company's 50-day moving average is $141.64 and its 200 day moving average is $99.01. The company has a market cap of $35.89 billion, a price-to-earnings ratio of 385.91, a price-to-earnings-growth ratio of 4.85 and a beta of 1.46.

Astera Labs (NASDAQ:ALAB - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The company reported $0.44 EPS for the quarter, topping 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 company had revenue of $191.93 million for the quarter, compared to analysts' expectations of $172.46 million. During the same quarter in the previous year, the firm posted $0.13 earnings per share. The firm's quarterly revenue was up 149.5% on a year-over-year basis. Astera Labs has set its Q3 2025 guidance at 0.380-0.390 EPS. Analysts predict that Astera Labs, Inc. will post 0.34 EPS for the current fiscal year.

Insider Activity

In related news, CFO Michael Truett Tate sold 100,000 shares of the stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $171.38, for a total value of $17,138,000.00. Following the completion of the sale, the chief financial officer owned 518,996 shares of the company's stock, valued at approximately $88,945,534.48. This trade represents a 16.16% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Manuel Alba sold 183,000 shares of the company's stock in a transaction dated Tuesday, September 2nd. The stock was sold at an average price of $173.27, for a total transaction of $31,708,410.00. Following the transaction, the director owned 385,863 shares in the company, valued at $66,858,482.01. The trade was a 32.17% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 1,832,489 shares of company stock valued at $264,172,396 in the last three months. Corporate insiders own 12.50% of the company's stock.

Institutional Investors Weigh In On Astera Labs

Hedge funds have recently added to or reduced their stakes in the business. Great Valley Advisor Group Inc. lifted its position in Astera Labs by 2.2% during the second 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 period. Straight Path Wealth Management raised its holdings in Astera Labs by 1.5% in the 2nd 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 last quarter. First Horizon Advisors Inc. grew its holdings in shares of Astera Labs by 12.4% during the second quarter. First Horizon Advisors Inc. now owns 982 shares of the company's stock valued at $89,000 after purchasing an additional 108 shares during the last quarter. Advisors Asset Management Inc. grew its holdings in shares of Astera Labs by 68.6% during the 2nd quarter. Advisors Asset Management Inc. now owns 477 shares of the company's stock valued at $43,000 after acquiring an additional 194 shares in the last quarter. Finally, Hoey Investments Inc. grew its holdings in shares of Astera Labs by 4.2% during the 1st quarter. Hoey Investments Inc. now owns 5,000 shares of the company's stock worth $298,000 after purchasing an additional 200 shares in the last quarter. Institutional investors and hedge funds 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.

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.