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 research report issued to clients and investors on Tuesday.

ALAB has been the topic of several other reports. TD Cowen cut their price objective on shares of Astera Labs from $225.00 to $170.00 and set a “hold” rating on the stock in a report on Wednesday, November 5th. Barclays reiterated an “equal weight” rating and set a $155.00 target price on shares of Astera Labs in a research report on Monday, October 20th. Needham & Company LLC raised their price target on Astera Labs from $205.00 to $220.00 and gave the stock a “buy” rating in a research report on Wednesday, November 5th. Cowen reaffirmed a “hold” rating on shares of Astera Labs in a research note on Wednesday, November 5th. Finally, Susquehanna increased their target price on Astera Labs from $80.00 to $125.00 and gave the company a “neutral” rating in a research note on Thursday, August 7th. Thirteen research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $181.59.

Astera Labs Stock Down 5.8%

Astera Labs stock opened at $157.79 on Tuesday. The business’s 50-day simple moving average is $195.31 and its 200 day simple moving average is $142.69. The stock has a market cap of $26.65 billion, a price-to-earnings ratio of 142.15, a P/E/G ratio of 3.12 and a beta of 1.37. Astera Labs has a 12-month low of $47.13 and a 12-month high of $262.90.

Astera Labs (NASDAQ:ALAB) last announced its quarterly earnings data on Tuesday, November 4th. The company reported $0.49 earnings per share for the quarter, topping the consensus estimate of $0.39 by $0.10. Astera Labs had a return on equity of 13.48% and a net margin of 27.50%.The firm had revenue of $230.58 million during the quarter, compared to analysts’ expectations of $206.42 million. During the same period in the previous year, the business posted $0.23 EPS. The company’s quarterly revenue was up 103.9% compared to the same quarter last year. Astera Labs has set its Q4 2025 guidance at 0.50-0.510 EPS. As a group, sell-side analysts expect that Astera Labs will post 0.34 EPS for the current year.

Insider Activity

In other Astera Labs news, CFO Michael Truett Tate sold 18,861 shares of Astera Labs stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $183.51, for a total value of $3,461,182.11. Following the transaction, the chief financial officer owned 259,512 shares of the company’s stock, valued at approximately $47,623,047.12. The trade was a 6.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Manuel Alba sold 183,000 shares of the company’s stock in a transaction that occurred 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 completion of the transaction, the director owned 385,863 shares of the company’s stock, valued at $66,858,482.01. This trade represents a 32.17% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 434,480 shares of company stock worth $77,881,380. Corporate insiders own 12.50% of the company’s stock.

Institutional Investors Weigh In On Astera Labs

Hedge funds and other institutional investors have recently bought and sold shares of the company. Assetmark Inc. boosted its position in Astera Labs by 374.1% during the 3rd quarter. Assetmark Inc. now owns 128 shares of the company’s stock worth $25,000 after acquiring an additional 101 shares during the last quarter. Oliver Lagore Vanvalin Investment Group bought a new stake in shares of Astera Labs in the second quarter worth $29,000. Bernard Wealth Management Corp. acquired a new position in Astera Labs during the second quarter worth $36,000. Clearstead Trust LLC grew its position in Astera Labs by 46,100.0% in the second quarter. Clearstead Trust LLC now owns 462 shares of the company’s stock valued at $42,000 after purchasing an additional 461 shares in the last quarter. Finally, Advisors Asset Management Inc. increased its stake in Astera Labs by 68.6% in the 2nd quarter. Advisors Asset Management Inc. now owns 477 shares of the company’s stock valued at $43,000 after buying an additional 194 shares during the last quarter. Institutional investors and hedge funds 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.