Needham & Company LLC Forecasts Strong Price Appreciation for Astera Labs (NASDAQ:ALAB) Stock

Key Points

• Needham & Company LLC has raised its price target for Astera Labs (NASDAQ:ALAB) from $100 to $170, indicating a potential upside of 25.42% from the current price, while maintaining a "buy" rating.
• Astera Labs reported $191.93 million in revenue for the last quarter, significantly surpassing analysts' expectations of $172.46 million, with a 149.5% increase year-over-year.
• Insider transactions reveal significant stock sales, with CEO Jitendra Mohan selling 128,250 shares valued at over $11.5 million, suggesting a 19.16% decrease in his ownership position.

Astera Labs (NASDAQ:ALAB - Get Free Report) had its price objective hoisted by equities researchers at Needham & Company LLC from $100.00 to $170.00 in a research note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. Needham & Company LLC's price target would indicate a potential downside of 2.52% from the company's current price.

Several other research analysts have also commented on ALAB. Northland Capmk lowered shares of Astera Labs from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, July 22nd. Stifel Nicolaus set a $145.00 price target on shares of Astera Labs and gave the company a "buy" rating in a research report on Monday. Morgan Stanley upped their price objective on Astera Labs from $99.00 to $125.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 30th. William Blair initiated coverage on Astera Labs in a research note on Thursday, May 22nd. They issued an "outperform" rating on the stock. Finally, Northland Securities cut Astera Labs from an "outperform" rating to a "market perform" rating and set a $120.00 target price for the company. in a research note on Tuesday, July 22nd. Four analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the company's stock. According to data from MarketBeat.com, Astera Labs presently has a consensus rating of "Moderate Buy" and a consensus target price of $120.80.

Astera Labs Stock Up 28.7%

Shares of Astera Labs stock traded up $38.85 on Wednesday, reaching $174.39. The company's stock had a trading volume of 17,220,305 shares, compared to its average volume of 5,990,108. The company has a market capitalization of $28.76 billion, a P/E ratio of 311.41, a PEG ratio of 6.36 and a beta of 1.39. Astera Labs has a 52-week low of $36.22 and a 52-week high of $183.62. The stock has a 50-day moving average price of $102.68 and a 200-day moving average price of $86.73.

Astera Labs (NASDAQ:ALAB - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $0.44 EPS for the quarter, beating the consensus estimate of $0.33 by $0.11. The firm had revenue of $191.93 million during the quarter, compared to analysts' expectations of $172.46 million. Astera Labs had a return on equity of 9.95% and a net margin of 16.54%. The business's revenue for the quarter was up 149.5% on a year-over-year basis. During the same quarter last year, the firm earned $0.13 earnings per share. Sell-side analysts forecast that Astera Labs will post 0.34 earnings per share for the current fiscal year.

Insider Buying and Selling at Astera Labs

In related news, Director Manuel Alba sold 13,259 shares of the company's stock in a transaction that occurred on 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 of the company's stock, valued at approximately $208,069,278. This represents a 0.70% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Jitendra Mohan sold 76,258 shares of the company's stock in a transaction dated Monday, July 21st. The stock was sold at an average price of $112.72, for a total value of $8,595,801.76. Following the sale, the chief executive officer owned 475,421 shares of the company's stock, valued at $53,589,455.12. This represents a 13.82% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 2,181,759 shares of company stock valued at $200,883,431 over the last 90 days.

Institutional Investors Weigh In On Astera Labs

Large investors have recently made changes to their positions in the company. Oliver Lagore Vanvalin Investment Group bought a new position in shares of Astera Labs during the 2nd quarter worth approximately $29,000. Bernard Wealth Management Corp. acquired a new position in shares of Astera Labs during the 2nd quarter worth about $36,000. NewEdge Advisors LLC acquired a new position in shares of Astera Labs in the 4th quarter valued at $63,000. National Bank of Canada FI boosted its holdings in shares of Astera Labs by 121.7% in the fourth quarter. National Bank of Canada FI now owns 541 shares of the company's stock valued at $72,000 after buying an additional 297 shares during the period. Finally, Banque Transatlantique SA bought a new position in shares of Astera Labs during the 4th quarter worth approximately $86,000. 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.