Rakuten Investment Management Inc. Acquires Shares of 43,238 Astera Labs, Inc. $ALAB

Key Points

• Rakuten Investment Management acquired 43,238 Astera Labs shares during the second quarter, valued at approximately $19.7 million. Institutional investors collectively own 60.47% of the company.
• Astera Labs reported quarterly EPS of $0.80, exceeding estimates of $0.69, while revenue rose 104.5% year over year to $392.4 million. Despite the strong results, shares opened at $289.47, down 4.8%.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $340.53. Insiders sold 419,244 shares worth approximately $163.1 million over the past 90 days.

Rakuten Investment Management Inc. purchased a new stake in shares of Astera Labs, Inc. (NASDAQ:ALAB - Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund purchased 43,238 shares of the company's stock, valued at approximately $19,715,000.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Glenmede Trust Co. NA lifted its position in Astera Labs by 2.7% during the 1st quarter. Glenmede Trust Co. NA now owns 1,909 shares of the company's stock valued at $209,000 after acquiring an additional 51 shares during the period. Keating Financial Advisory Services Inc. purchased a new stake in Astera Labs in the second quarter worth about $25,000. Lido Advisors LLC increased its stake in shares of Astera Labs by 0.5% during the fourth quarter. Lido Advisors LLC now owns 12,297 shares of the company's stock valued at $2,046,000 after purchasing an additional 57 shares in the last quarter. Transamerica Financial Advisors LLC bought a new position in shares of Astera Labs during the second quarter valued at approximately $35,000. Finally, Goldstein Advisors LLC lifted its holdings in shares of Astera Labs by 5.8% during the fourth quarter. Goldstein Advisors LLC now owns 1,611 shares of the company's stock valued at $268,000 after purchasing an additional 88 shares during the last quarter. 60.47% of the stock is owned by hedge funds and other institutional investors.

Astera Labs Stock Down 4.8%

Shares of NASDAQ ALAB opened at $289.47 on Friday. The firm has a market cap of $50.22 billion, a P/E ratio of 143.30 and a beta of 3.84. Astera Labs, Inc. has a twelve month low of $97.89 and a twelve month high of $499.48. The company has a 50 day moving average of $342.38 and a 200 day moving average of $249.65.

Astera Labs (NASDAQ:ALAB - Get Free Report) last issued its earnings results on Tuesday, August 4th. The company reported $0.80 EPS for the quarter, beating the consensus estimate of $0.69 by $0.11. The business had revenue of $392.40 million for the quarter, compared to the consensus estimate of $360.85 million. Astera Labs had a return on equity of 19.24% and a net margin of 30.74%.The company's revenue was up 104.5% compared to the same quarter last year. During the same period last year, the business posted $0.44 EPS. Astera Labs has set its Q3 2026 guidance at 1.160-1.210 EPS. As a group, equities analysts expect that Astera Labs, Inc. will post 2.7 earnings per share for the current fiscal year.

Insider Activity

In related news, COO Sanjay Gajendra sold 90,630 shares of the stock in a transaction on Monday, August 17th. The stock was sold at an average price of $340.35, for a total transaction of $30,845,920.50. Following the sale, the chief operating officer directly owned 1,119,038 shares of the company's stock, valued at $380,864,583.30. This trade represents a 7.49% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Stefan A. Dyckerhoff sold 8,994 shares of Astera Labs stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $450.00, for a total value of $4,047,300.00. Following the completion of the sale, the director owned 4,631 shares of the company's stock, valued at $2,083,950. The trade was a 66.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 419,244 shares of company stock valued at $163,135,169. Corporate insiders own 10.40% of the company's stock.

Wall Street Analyst Weigh In

A number of analysts have recently commented on ALAB shares. Stifel Nicolaus boosted their price target on Astera Labs from $260.00 to $460.00 and gave the stock a "buy" rating in a research report on Wednesday, June 24th. Royal Bank Of Canada raised their price objective on Astera Labs from $425.00 to $500.00 and gave the company an "outperform" rating in a research report on Wednesday, August 5th. Jefferies Financial Group lifted their price objective on Astera Labs from $270.00 to $450.00 and gave the company a "buy" rating in a research note on Wednesday, August 5th. Evercore reissued an "outperform" rating and issued a $297.00 target price on shares of Astera Labs in a report on Tuesday, May 19th. Finally, Roth Capital reissued a "buy" rating and issued a $450.00 target price on shares of Astera Labs in a research note on Wednesday, August 5th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Astera Labs has an average rating of "Moderate Buy" and a consensus price target of $340.53.

Astera Labs Company Profile

Astera Labs is a fabless semiconductor company that develops connectivity solutions for data center and cloud infrastructure. The firm focuses on addressing signal integrity and link management challenges that arise as server architectures incorporate higher-bandwidth processors and accelerators. Its technology is aimed at improving reliability and performance for high-speed interconnects used in servers, storage systems and compute accelerators.

The company's product portfolio centers on silicon devices and accompanying firmware and software that enhance and manage high-speed links.

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