Astera Labs (NASDAQ:ALAB) Price Target Raised to $125.00

Key Points

• Morgan Stanley has raised its target price for Astera Labs (NASDAQ:ALAB) from $99.00 to $125.00, maintaining an "overweight" rating, indicating a potential upside of 5.57%.
• Astera Labs recently reported earnings of $0.33 per share, surpassing expectations, with revenues up 144.1% compared to the same quarter last year.
• Insider selling has been notable, with CFO Michael Truett Tate selling 500,000 shares, significantly reducing his ownership by 44.68%.

Astera Labs (NASDAQ:ALAB - Free Report) had its price target increased by Morgan Stanley from $99.00 to $125.00 in a research note issued to investors on Wednesday morning,Benzinga reports. They currently have an overweight rating on the stock.

ALAB has been the topic of a number of other reports. Needham & Company LLC lowered their price objective on shares of Astera Labs from $140.00 to $100.00 and set a "buy" rating on the stock in a research report on Wednesday, May 7th. Wall Street Zen lowered shares of Astera Labs from a "buy" rating to a "hold" rating in a research note on Saturday, July 12th. Roth Capital set a $100.00 price target on shares of Astera Labs and gave the company a "buy" rating in a report on Wednesday, May 7th. Northland Securities lowered Astera Labs from an "outperform" rating to a "market perform" rating and set a $120.00 price objective for the company. in a report on Tuesday, July 22nd. Finally, Jefferies Financial Group lifted their price objective on Astera Labs from $95.00 to $130.00 and gave the company a "buy" rating in a research report on Tuesday, July 22nd. Four investment analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company. According to data from MarketBeat.com, Astera Labs has an average rating of "Moderate Buy" and an average target price of $104.40.

Astera Labs Stock Performance

Shares of ALAB stock traded down $8.31 on Wednesday, reaching $128.42. 1,789,960 shares of the company's stock traded hands, compared to its average volume of 4,789,910. The company has a market capitalization of $21.18 billion, a P/E ratio of 579.83, a price-to-earnings-growth ratio of 6.05 and a beta of 1.18. Astera Labs has a 12-month low of $36.22 and a 12-month high of $147.39. The business's 50 day moving average price is $98.76 and its two-hundred day moving average price is $86.34.

Astera Labs (NASDAQ:ALAB - Get Free Report) last released its earnings results 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. The company had revenue of $159.44 million for the quarter, compared to analysts' expectations of $151.55 million. Astera Labs had a return on equity of 2.57% and a net margin of 8.44%. The business's revenue for the quarter was up 144.1% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.10 EPS. Research analysts predict that Astera Labs will post 0.34 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Manuel Alba sold 13,259 shares of the business's stock in a transaction dated Monday, July 21st. The shares were sold at an average price of $111.00, for a total transaction of $1,471,749.00. Following the transaction, the director owned 1,874,498 shares in the company, valued at approximately $208,069,278. The trade was a 0.70% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, COO Sanjay Gajendra sold 165,000 shares of Astera Labs stock in a transaction that occurred on Wednesday, July 9th. The stock was sold at an average price of $98.61, for a total value of $16,270,650.00. Following the sale, the chief operating officer directly owned 695,000 shares in the company, valued at $68,533,950. The trade was a 19.19% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 2,181,759 shares of company stock worth $200,883,431 in the last 90 days.

Institutional Investors Weigh In On Astera Labs

A number of institutional investors have recently bought and sold shares of the business. Thrivent Financial for Lutherans acquired a new stake in shares of Astera Labs during the 4th quarter valued at about $540,000. LPL Financial LLC grew its stake in shares of Astera Labs by 94.0% in the 4th quarter. LPL Financial LLC now owns 54,402 shares of the company's stock valued at $7,205,000 after purchasing an additional 26,364 shares during the period. Corebridge Financial Inc. raised its holdings in shares of Astera Labs by 359.9% in the 4th quarter. Corebridge Financial Inc. now owns 814 shares of the company's stock worth $108,000 after buying an additional 637 shares in the last quarter. Prudential Financial Inc. bought a new position in shares of Astera Labs during the 4th quarter worth approximately $632,000. Finally, Pictet Asset Management Holding SA bought a new position in shares of Astera Labs during the 4th quarter worth approximately $782,000. Institutional investors and hedge funds own 60.47% of the company's stock.

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.