Astera Labs (NASDAQ:ALAB) Trading 2.5% Higher - Should You Buy?

Astera Labs, Inc. (NASDAQ:ALAB - Get Free Report)'s share price traded up 2.5% during trading on Tuesday . The stock traded as high as $94.14 and last traded at $92.59. 1,271,712 shares changed hands during trading, a decline of 71% from the average session volume of 4,370,284 shares. The stock had previously closed at $90.32.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on ALAB. Stifel Nicolaus cut their target price on Astera Labs from $150.00 to $100.00 and set a "buy" rating on the stock in a research report on Thursday, April 17th. Evercore ISI upped their price objective on Astera Labs from $87.00 to $104.00 and gave the stock an "outperform" rating in a report on Wednesday, May 21st. William Blair started coverage on shares of Astera Labs in a report on Thursday, May 22nd. They issued an "outperform" rating for the company. Morgan Stanley raised Astera Labs from an "equal weight" rating to an "overweight" rating and set a $99.00 target price on the stock in a report on Monday, May 12th. Finally, Roth Capital set a $100.00 target price on shares of Astera Labs and gave the stock a "buy" rating in a research report on Wednesday, May 7th. Two research analysts have rated the stock with a hold rating, fourteen have assigned a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $100.00.

Astera Labs Stock Performance

The company has a market capitalization of $15.21 billion, a price-to-earnings ratio of 419.41, a P/E/G ratio of 4.50 and a beta of 1.18. The firm has a 50-day simple moving average of $90.83 and a two-hundred day simple moving average of $87.39.

Astera Labs (NASDAQ:ALAB - Get Free Report) last posted its quarterly earnings data on Tuesday, May 6th. The company reported $0.33 earnings per share for the quarter, beating the consensus estimate of $0.28 by $0.05. Astera Labs had a return on equity of 2.57% and a net margin of 8.44%. The business had revenue of $159.44 million during the quarter, compared to the consensus estimate of $151.55 million. During the same period in the prior year, the company earned $0.10 earnings per share. The company's revenue was up 144.1% compared to the same quarter last year. As a group, equities analysts forecast that Astera Labs, Inc. will post 0.34 EPS for the current fiscal year.

Insider Buying and Selling at Astera Labs

In related news, insider Sanjay Gajendra sold 165,000 shares of Astera Labs stock in a transaction that occurred on Thursday, May 8th. The stock was sold at an average price of $71.76, for a total transaction of $11,840,400.00. Following the completion of the transaction, the insider directly owned 755,000 shares in the company, valued at $54,178,800. The trade was a 17.93% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Michael Truett Tate sold 500,000 shares of the stock in a transaction on Friday, May 30th. The shares were sold at an average price of $90.23, for a total value of $45,115,000.00. Following the sale, the chief financial officer owned 618,996 shares in the company, valued at approximately $55,852,009.08. This trade represents a 44.68% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 1,965,984 shares of company stock valued at $178,631,873.

Institutional Investors Weigh In On Astera Labs

Hedge funds and other institutional investors have recently made changes to their positions in the business. Whittier Trust Co. of Nevada Inc. purchased a new position in Astera Labs in the fourth quarter valued at about $25,000. Steward Partners Investment Advisory LLC lifted its position in Astera Labs by 99.0% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 199 shares of the company's stock worth $26,000 after acquiring an additional 99 shares in the last quarter. Oliver Lagore Vanvalin Investment Group purchased a new position in Astera Labs in the 2nd quarter worth approximately $29,000. Murphy & Mullick Capital Management Corp acquired a new stake in Astera Labs in the fourth quarter valued at approximately $43,000. Finally, Sound Income Strategies LLC raised its stake in shares of Astera Labs by 34.7% during the first quarter. Sound Income Strategies LLC now owns 792 shares of the company's stock valued at $47,000 after purchasing an additional 204 shares during the period. 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.

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