Astera Labs (NASDAQ:ALAB) Stock Price Down 4% – Here’s Why

Shares of Astera Labs, Inc. (NASDAQ:ALAB) were down 4% during trading on Wednesday . The stock traded as low as $244.61 and last traded at $249.74. Approximately 5,321,471 shares traded hands during trading, a decline of 4% from the average daily volume of 5,536,849 shares. The stock had previously closed at $260.23.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the company. Stifel Nicolaus increased their price objective on Astera Labs from $260.00 to $460.00 and gave the stock a “buy” rating in a research report on Wednesday, June 24th. Needham & Company LLC upped their price target on Astera Labs from $220.00 to $260.00 and gave the company a “buy” rating in a research note on Wednesday, May 6th. Roth Capital reissued a “buy” rating and set a $275.00 price objective on shares of Astera Labs in a research report on Wednesday, May 6th. JPMorgan Chase & Co. upped their target price on shares of Astera Labs from $205.00 to $280.00 and gave the company an “overweight” rating in a research report on Wednesday, May 6th. Finally, TD Cowen lifted their price target on shares of Astera Labs from $225.00 to $425.00 and gave the company a “hold” rating in a research report on Monday, July 13th. Thirteen investment analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Astera Labs currently has an average rating of “Moderate Buy” and a consensus target price of $282.00.

Astera Labs Stock Down 4.0%

The firm has a 50-day moving average price of $360.60 and a 200 day moving average price of $227.59. The firm has a market capitalization of $42.81 billion, a PE ratio of 168.74, a price-to-earnings-growth ratio of 3.27 and a beta of 3.66.

Astera Labs (NASDAQ:ALAB) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $0.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.07. Astera Labs had a return on equity of 18.49% and a net margin of 26.72%.The firm had revenue of $308.36 million for the quarter, compared to the consensus estimate of $292.19 million. During the same quarter in the previous year, the business earned $0.33 EPS. The company’s quarterly revenue was up 93.5% compared to the same quarter last year. Astera Labs has set its Q2 2026 guidance at 0.680-0.700 EPS. Equities research analysts expect that Astera Labs, Inc. will post 1.86 earnings per share for the current year.

Insider Buying and Selling at Astera Labs

In other news, Director Manuel Alba sold 136,974 shares of the firm’s stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $442.01, for a total value of $60,543,877.74. Following the completion of the transaction, the director owned 1,287,524 shares of the company’s stock, valued at approximately $569,098,483.24. This trade represents a 9.62% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Jitendra Mohan sold 139,951 shares of Astera Labs stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $200.16, for a total transaction of $28,012,592.16. Following the completion of the transaction, the chief executive officer owned 3,929,183 shares of the company’s stock, valued at $786,465,269.28. This trade represents a 3.44% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,676,845 shares of company stock valued at $444,928,806 in the last three months. 10.40% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Astera Labs

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Glenmede Trust Co. NA grew its stake in shares of Astera Labs by 2.7% in the first quarter. Glenmede Trust Co. NA now owns 1,909 shares of the company’s stock worth $209,000 after acquiring an additional 51 shares in the last quarter. Lido Advisors LLC grew its stake in Astera Labs by 0.5% during the 4th quarter. Lido Advisors LLC now owns 12,297 shares of the company’s stock worth $2,046,000 after purchasing an additional 57 shares in the last quarter. Perigon Wealth Management LLC grew its stake in Astera Labs by 6.2% during the 4th quarter. Perigon Wealth Management LLC now owns 1,252 shares of the company’s stock worth $208,000 after purchasing an additional 73 shares in the last quarter. Sound Income Strategies LLC increased its holdings in Astera Labs by 9.2% during the 4th quarter. Sound Income Strategies LLC now owns 902 shares of the company’s stock worth $164,000 after purchasing an additional 76 shares during the period. Finally, Venturi Wealth Management LLC raised its position in Astera Labs by 2.6% in the 4th quarter. Venturi Wealth Management LLC now owns 3,284 shares of the company’s stock valued at $546,000 after purchasing an additional 84 shares in the last quarter. Hedge funds and other institutional investors own 60.47% of the company’s stock.

About Astera Labs

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.