Astera Labs (NASDAQ:ALAB) Stock Price Down 2.3% - Time to Sell?

Key Points

• Astera Labs (NASDAQ:ALAB) shares declined by 2.3% during trading, with a last traded price of $200.64 after falling below $192 earlier in the session.
• Recent analyst reports show a mix of ratings, with Morgan Stanley raising its target price from $155 to $200, while Evercore ISI has set a target of $215, indicating a positive outlook for the stock.
• Institutional investors control 60.47% of Astera Labs' stock, reflecting significant interest from major players despite recent insider selling by executives.

Astera Labs, Inc. (NASDAQ:ALAB - Get Free Report) shares fell 2.3% during trading on Thursday . The company traded as low as $191.66 and last traded at $200.64. 6,216,171 shares changed hands during trading, an increase of 21% from the average session volume of 5,130,659 shares. The stock had previously closed at $205.27.

Wall Street Analysts Forecast Growth

ALAB has been the topic of a number of research analyst reports. Morgan Stanley lifted their target price on Astera Labs from $155.00 to $200.00 and gave the stock an "overweight" rating in a report on Friday, August 29th. Stifel Nicolaus set a $145.00 price target on Astera Labs and gave the stock a "buy" rating in a research note on Monday, August 4th. Evercore ISI raised their price objective on Astera Labs from $104.00 to $215.00 and gave the stock an "outperform" rating in a research report on Wednesday, August 6th. Wall Street Zen upgraded Astera Labs from a "hold" rating to a "buy" rating in a research report on Saturday, August 16th. Finally, Deutsche Bank Aktiengesellschaft raised their price objective on Astera Labs from $160.00 to $200.00 and gave the stock a "buy" rating in a research report on Tuesday, September 2nd. One research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $152.94.

Astera Labs Stock Down 2.3%

The business has a 50-day simple moving average of $177.91 and a two-hundred day simple moving average of $112.78. The stock has a market capitalization of $33.35 billion, a P/E ratio of 358.29, a PEG ratio of 5.84 and a beta of 1.48.

Astera Labs (NASDAQ:ALAB - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported $0.44 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.33 by $0.11. Astera Labs had a return on equity of 9.53% and a net margin of 16.54%.The business had revenue of $191.93 million for the quarter, compared to analyst estimates of $172.46 million. During the same quarter in the prior year, the firm posted $0.13 earnings per share. The firm'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. On average, sell-side analysts forecast that Astera Labs, Inc. will post 0.34 earnings per share for the current year.

Insider Buying and Selling

In related news, CEO Jitendra Mohan sold 152,517 shares of Astera Labs stock in a transaction that occurred on Thursday, August 7th. The stock was 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 trade represents a 25.31% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Manuel Alba sold 183,000 shares of the company's stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $173.27, for a total value of $31,708,410.00. Following the sale, the director owned 385,863 shares of the company's stock, valued at approximately $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 have sold 1,576,027 shares of company stock valued at $239,177,011 in the last ninety days. 12.50% of the stock is owned by company insiders.

Hedge Funds Weigh In On Astera Labs

A number of institutional investors have recently modified their holdings of ALAB. Cetera Investment Advisers acquired a new position in shares of Astera Labs during the 4th quarter worth $460,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in Astera Labs by 2,824.4% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 154,524 shares of the company's stock worth $20,467,000 after purchasing an additional 149,240 shares in the last quarter. Public Employees Retirement System of Ohio increased its holdings in Astera Labs by 364.3% in the 4th quarter. Public Employees Retirement System of Ohio now owns 37,145 shares of the company's stock worth $4,920,000 after purchasing an additional 29,145 shares in the last quarter. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in Astera Labs in the 4th quarter worth about $18,209,000. Finally, Wealthedge Investment Advisors LLC bought a new stake in shares of Astera Labs in the 4th quarter valued at about $351,000. 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.

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