Fred Alger Management LLC Grows Stock Holdings in Astera Labs, Inc. $ALAB

Key Points

• Fred Alger Management LLC increased its position in Astera Labs, Inc. by 13.0%, holding approximately 1,560,033 shares valued at around $93 million, according to their recent SEC filing.
• Astera Labs reported a 149.5% year-over-year increase in revenue for the last quarter, amounting to $191.93 million, and surpassed consensus EPS estimates by $0.11.
• Several analysts have raised their price targets for Astera Labs, with Morgan Stanley increasing theirs to $200.00 and Evercore ISI to $215.00, indicating strong market confidence in the company's growth potential.

Fred Alger Management LLC grew its holdings in shares of Astera Labs, Inc. (NASDAQ:ALAB - Free Report) by 13.0% during the first quarter, according to the company in its most recent disclosure with the SEC. The fund owned 1,560,033 shares of the company's stock after buying an additional 179,638 shares during the quarter. Fred Alger Management LLC owned 0.95% of Astera Labs worth $93,087,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of the business. Dimensional Fund Advisors LP grew its stake in Astera Labs by 4.4% in the fourth quarter. Dimensional Fund Advisors LP now owns 18,250 shares of the company's stock worth $2,417,000 after purchasing an additional 768 shares in the last quarter. Cetera Investment Advisers bought a new position in Astera Labs in the fourth quarter worth approximately $460,000. Cresset Asset Management LLC bought a new position in Astera Labs in the fourth quarter worth approximately $216,000. Deutsche Bank AG grew its stake in Astera Labs by 33.0% in the fourth quarter. Deutsche Bank AG now owns 7,695 shares of the company's stock worth $1,019,000 after purchasing an additional 1,909 shares in the last quarter. Finally, Ethic Inc. bought a new position in Astera Labs in the fourth quarter worth approximately $656,000. Institutional investors own 60.47% of the company's stock.

Astera Labs Stock Performance

ALAB stock traded up $15.88 during midday trading on Wednesday, reaching $230.37. The stock had a trading volume of 6,188,789 shares, compared to its average volume of 4,981,992. The firm has a fifty day simple moving average of $146.67 and a two-hundred day simple moving average of $100.71. The stock has a market cap of $38.29 billion, a PE ratio of 411.38, a P/E/G ratio of 5.48 and a beta of 1.48. Astera Labs, Inc. has a 52-week low of $38.14 and a 52-week high of $230.88.

Astera Labs (NASDAQ:ALAB - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $0.44 earnings per share for the quarter, topping the consensus estimate of $0.33 by $0.11. The company had revenue of $191.93 million for the quarter, compared to the consensus estimate of $172.46 million. Astera Labs had a return on equity of 9.53% and a net margin of 16.54%.The firm's revenue for the quarter was up 149.5% compared to the same quarter last year. During the same period last year, the firm earned $0.13 EPS. Astera Labs has set its Q3 2025 guidance at 0.380-0.390 EPS. On average, sell-side analysts predict that Astera Labs, Inc. will post 0.34 EPS for the current fiscal year.

Insider Activity at Astera Labs

In other news, General Counsel Philip Mazzara sold 10,000 shares of the firm's stock in a transaction dated Thursday, August 28th. The stock was sold at an average price of $188.70, for a total transaction of $1,887,000.00. Following the sale, the general counsel directly owned 161,573 shares in the company, valued at $30,488,825.10. This trade represents a 5.83% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Jack R. Lazar sold 22,500 shares of the firm's stock in a transaction dated Wednesday, August 27th. The shares were sold at an average price of $178.42, for a total value of $4,014,450.00. Following the sale, the director owned 97,351 shares in the company, valued at $17,369,365.42. This trade represents a 18.77% 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 worth $264,172,396 in the last three months. Company insiders own 12.50% of the company's stock.

Analysts Set New Price Targets

Several research analysts recently issued reports on the company. Evercore ISI increased their price objective on Astera Labs from $104.00 to $215.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 6th. Zacks Research raised Astera Labs to a "strong-buy" rating in a research report on Tuesday, August 12th. Morgan Stanley increased their target price on Astera Labs from $155.00 to $200.00 and gave the company an "overweight" rating in a research report on Friday, August 29th. William Blair initiated coverage on Astera Labs in a report on Thursday, May 22nd. They set an "outperform" rating for the company. Finally, 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. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $142.00.

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.