Wall Street Zen Downgrades Astera Labs (NASDAQ:ALAB) to Hold

Astera Labs (NASDAQ:ALAB) was downgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report issued on Sunday.

Several other equities analysts have also weighed in on the stock. Northland Securities lowered shares of Astera Labs from an “outperform” rating to a “market perform” rating and set a $120.00 price objective on the stock. in a report on Tuesday, July 22nd. Weiss Ratings restated a “hold (c-)” rating on shares of Astera Labs in a report on Wednesday, October 8th. Needham & Company LLC increased their price objective on shares of Astera Labs from $100.00 to $170.00 and gave the company a “buy” rating in a report on Wednesday, August 6th. Evercore ISI increased their price objective on shares of Astera Labs from $104.00 to $215.00 and gave the company an “outperform” rating in a report on Wednesday, August 6th. Finally, Morgan Stanley increased their target price on shares of Astera Labs from $155.00 to $200.00 and gave the stock an “overweight” rating in a report on Friday, August 29th. Fourteen analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $162.06.

Astera Labs Price Performance

ALAB opened at $170.28 on Friday. The company’s 50 day simple moving average is $196.47 and its 200-day simple moving average is $133.16. Astera Labs has a one year low of $47.13 and a one year high of $262.90. The stock has a market capitalization of $28.30 billion, a P/E ratio of 304.07, a price-to-earnings-growth ratio of 4.11 and a beta of 1.43.

Astera Labs (NASDAQ:ALAB) last announced its quarterly earnings data on Tuesday, August 5th. The company reported $0.44 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.11. Astera Labs had a net margin of 16.54% and a return on equity of 9.53%. The business had revenue of $191.93 million for the quarter, compared to analyst estimates of $172.46 million. During the same period in the prior year, the business posted $0.13 earnings per share. Astera Labs’s revenue was up 149.5% compared to the same quarter last year. Astera Labs has set its Q3 2025 guidance at 0.380-0.390 EPS. As a group, analysts anticipate that Astera Labs will post 0.34 EPS for the current year.

Insider Buying and Selling

In related news, Director Manuel Alba sold 183,000 shares of the firm’s stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $173.27, for a total transaction of $31,708,410.00. Following the sale, the director directly owned 385,863 shares in the company, valued at $66,858,482.01. This trade represents a 32.17% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Jack R. Lazar sold 22,500 shares of the firm’s stock in a transaction on Wednesday, August 27th. The stock was sold at an average price of $178.42, for a total transaction of $4,014,450.00. Following the sale, the director owned 97,351 shares in the company, valued at approximately $17,369,365.42. The trade was a 18.77% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 1,092,997 shares of company stock valued at $192,231,120. 12.50% of the stock is owned by company insiders.

Institutional Investors Weigh In On Astera Labs

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Oliver Lagore Vanvalin Investment Group acquired a new stake in shares of Astera Labs during the second quarter worth $29,000. Grove Bank & Trust acquired a new stake in shares of Astera Labs during the third quarter worth $68,000. Bernard Wealth Management Corp. acquired a new stake in shares of Astera Labs during the second quarter worth $36,000. Clearstead Trust LLC raised its holdings in shares of Astera Labs by 46,100.0% during the second quarter. Clearstead Trust LLC now owns 462 shares of the company’s stock worth $42,000 after acquiring an additional 461 shares during the period. Finally, Advisors Asset Management Inc. raised its holdings in shares of Astera Labs by 68.6% during the second quarter. Advisors Asset Management Inc. now owns 477 shares of the company’s stock worth $43,000 after acquiring an additional 194 shares during the period. 60.47% of the stock is currently owned by institutional investors and hedge funds.

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.