Astera Labs (NASDAQ:ALAB) Stock Price Down 5.6% – Time to Sell?

Astera Labs, Inc. (NASDAQ:ALAB)’s stock price dropped 5.6% during mid-day trading on Wednesday . The company traded as low as $174.34 and last traded at $173.4750. Approximately 1,976,846 shares traded hands during trading, a decline of 59% from the average daily volume of 4,872,902 shares. The stock had previously closed at $183.75.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the company. BNP Paribas Exane started coverage on Astera Labs in a research note on Thursday, November 20th. They issued an “outperform” rating and a $225.00 price target for the company. Roth Capital upped their target price on Astera Labs from $200.00 to $225.00 and gave the company a “buy” rating in a research report on Wednesday, November 5th. Bank of America started coverage on Astera Labs in a research report on Friday, October 3rd. They issued a “neutral” rating and a $230.00 price target on the stock. Raymond James Financial initiated coverage on Astera Labs in a research note on Friday, November 21st. They issued a “hold” rating for the company. Finally, JPMorgan Chase & Co. increased their price objective on shares of Astera Labs from $180.00 to $215.00 and gave the stock an “overweight” rating in a research note on Wednesday, November 5th. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $190.63.

Astera Labs Trading Down 4.2%

The firm has a market capitalization of $29.73 billion, a price-to-earnings ratio of 158.57, a PEG ratio of 2.48 and a beta of 1.50. The stock’s 50-day moving average is $160.29 and its 200-day moving average is $168.14.

Astera Labs (NASDAQ:ALAB) last issued its earnings results on Tuesday, November 4th. The company reported $0.49 earnings per share for the quarter, beating analysts’ consensus estimates of $0.39 by $0.10. The firm had revenue of $230.58 million for the quarter, compared to analyst estimates of $206.42 million. Astera Labs had a net margin of 27.50% and a return on equity of 13.48%. The company’s quarterly revenue was up 103.9% on a year-over-year basis. During the same quarter last year, the business posted $0.23 earnings per share. Astera Labs has set its Q4 2025 guidance at 0.50-0.510 EPS. On average, equities research analysts anticipate that Astera Labs, Inc. will post 0.34 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Michael Truett Tate sold 11,430 shares of Astera Labs stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of $144.69, for a total transaction of $1,653,806.70. Following the sale, the chief financial officer directly owned 192,297 shares in the company, valued at $27,823,452.93. This trade represents a 5.61% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Manuel Alba sold 150,000 shares of the business’s stock in a transaction that occurred on Monday, December 1st. The stock was sold at an average price of $166.18, for a total transaction of $24,927,000.00. Following the sale, the director directly owned 1,574,498 shares in the company, valued at $261,650,077.64. The trade was a 8.70% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 576,936 shares of company stock worth $87,409,540. Company insiders own 12.50% of the company’s stock.

Hedge Funds Weigh In On Astera Labs

Hedge funds have recently modified their holdings of the business. Vanguard Group Inc. lifted its holdings in Astera Labs by 14.1% during the 3rd quarter. Vanguard Group Inc. now owns 13,743,141 shares of the company’s stock worth $2,690,907,000 after buying an additional 1,693,918 shares during the period. State Street Corp lifted its stake in shares of Astera Labs by 9.1% in the third quarter. State Street Corp now owns 2,339,451 shares of the company’s stock worth $458,065,000 after acquiring an additional 195,992 shares during the period. 1832 Asset Management L.P. boosted its holdings in Astera Labs by 151.4% in the second quarter. 1832 Asset Management L.P. now owns 1,543,500 shares of the company’s stock valued at $139,563,000 after acquiring an additional 929,600 shares during the last quarter. Massachusetts Financial Services Co. MA increased its position in Astera Labs by 46.6% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 1,507,675 shares of the company’s stock valued at $295,203,000 after purchasing an additional 479,360 shares during the period. Finally, Amundi increased its position in Astera Labs by 1,298.6% during the 3rd quarter. Amundi now owns 1,421,263 shares of the company’s stock valued at $278,283,000 after purchasing an additional 1,319,643 shares during the period. Institutional investors and hedge funds own 60.47% of the company’s stock.

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.