Astera Labs (NASDAQ:ALAB) Stock Price Down 6.2% – Here’s What Happened

Astera Labs, Inc. (NASDAQ:ALAB)’s stock price dropped 6.2% during trading on Wednesday . The stock traded as low as $169.90 and last traded at $169.32. Approximately 761,192 shares traded hands during trading, a decline of 84% from the average daily volume of 4,826,776 shares. The stock had previously closed at $180.56.

Analysts Set New Price Targets

Several analysts have recently weighed in on the company. Wall Street Zen lowered Astera Labs from a “buy” rating to a “hold” rating in a report on Tuesday, November 11th. Zacks Research cut shares of Astera Labs from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 6th. Needham & Company LLC raised their price objective on shares of Astera Labs from $205.00 to $220.00 and gave the company a “buy” rating in a research report on Wednesday, November 5th. Northland Capmk raised shares of Astera Labs from a “hold” rating to a “strong-buy” rating in a research note on Monday, November 17th. Finally, JPMorgan Chase & Co. increased their target price on shares of Astera Labs from $180.00 to $215.00 and gave the company an “overweight” rating in a research note on Wednesday, November 5th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and eight have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Astera Labs has an average rating of “Moderate Buy” and an average price target of $188.17.

Astera Labs Stock Performance

The stock has a 50 day moving average of $159.43 and a two-hundred day moving average of $165.00. The stock has a market cap of $28.52 billion, a PE ratio of 152.88, a PEG ratio of 2.35 and a beta of 1.50.

Astera Labs (NASDAQ:ALAB) last announced its earnings results on Tuesday, November 4th. The company reported $0.49 EPS for the quarter, topping the consensus estimate of $0.39 by $0.10. Astera Labs had a net margin of 27.50% and a return on equity of 13.48%. The company had revenue of $230.58 million during the quarter, compared to analysts’ expectations of $206.42 million. During the same period last year, the company posted $0.23 earnings per share. The business’s revenue for the quarter was up 103.9% on a year-over-year basis. Astera Labs has set its Q4 2025 guidance at 0.50-0.510 EPS. Analysts expect 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 the company’s stock in a transaction on Monday, November 17th. The stock was sold at an average price of $144.69, for a total transaction of $1,653,806.70. Following the transaction, the chief financial officer directly owned 192,297 shares of the company’s stock, valued at approximately $27,823,452.93. The trade was a 5.61% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, COO Sanjay Gajendra sold 90,459 shares of the stock in a transaction dated Monday, November 17th. The stock was sold at an average price of $144.69, for a total value of $13,088,512.71. Following the completion of the sale, the chief operating officer directly owned 1,599,750 shares of the company’s stock, valued at approximately $231,467,827.50. This represents a 5.35% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 576,936 shares of company stock valued at $87,409,540 over the last quarter. 12.50% of the stock is owned by insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Assetmark Inc. raised its holdings in shares of Astera Labs by 374.1% during the third quarter. Assetmark Inc. now owns 128 shares of the company’s stock worth $25,000 after acquiring an additional 101 shares in the last quarter. Oliver Lagore Vanvalin Investment Group purchased a new position in Astera Labs in the second quarter valued at about $29,000. Hilltop National Bank increased its position in Astera Labs by 100.0% in the 4th quarter. Hilltop National Bank now owns 200 shares of the company’s stock worth $33,000 after purchasing an additional 100 shares during the last quarter. Aventura Private Wealth LLC purchased a new stake in shares of Astera Labs during the 4th quarter worth about $33,000. Finally, Bernard Wealth Management Corp. purchased a new stake in shares of Astera Labs during the 2nd quarter worth about $36,000. 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.