Astera Labs (NASDAQ:ALAB) Stock Price Down 8.4% – What’s Next?

Astera Labs, Inc. (NASDAQ:ALAB)’s share price traded down 8.4% during trading on Monday . The stock traded as low as $214.31 and last traded at $213.0560. 1,469,229 shares changed hands during trading, a decline of 73% from the average session volume of 5,344,532 shares. The stock had previously closed at $232.68.

Analysts Set New Price Targets

ALAB has been the topic of several recent research reports. Stifel Nicolaus upped their price objective on Astera Labs from $236.00 to $260.00 and gave the stock a “buy” rating in a report on Wednesday, May 6th. Needham & Company LLC increased their target price on Astera Labs from $220.00 to $260.00 and gave the stock a “buy” rating in a research note on Wednesday, May 6th. Citigroup increased their price objective on Astera Labs from $200.00 to $245.00 and gave the stock a “buy” rating in a research note on Wednesday, May 6th. UBS Group began coverage on Astera Labs in a report on Tuesday, April 21st. They issued a “neutral” rating and a $180.00 price objective on the stock. Finally, Loop Capital began coverage on Astera Labs in a research note on Thursday, March 5th. They issued a “buy” rating and a $250.00 target price for the company. Fifteen equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $229.65.

Astera Labs Price Performance

The firm has a 50 day moving average of $155.40 and a two-hundred day moving average of $156.31. The stock has a market cap of $36.26 billion, a PE ratio of 142.99, a PEG ratio of 3.08 and a beta of 3.35.

Astera Labs (NASDAQ:ALAB) last issued its quarterly earnings data on Tuesday, May 5th. The company reported $0.61 earnings per share for the quarter, beating analysts’ consensus estimates of $0.54 by $0.07. The company had revenue of $308.36 million during the quarter, compared to analysts’ expectations of $292.19 million. Astera Labs had a return on equity of 18.49% and a net margin of 26.72%.The firm’s revenue for the quarter was up 93.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.33 earnings per share. Astera Labs has set its Q2 2026 guidance at 0.680-0.700 EPS. As a group, equities analysts anticipate that Astera Labs, Inc. will post 1.84 EPS for the current fiscal year.

Insider Activity at Astera Labs

In other Astera Labs news, COO Sanjay Gajendra sold 230,639 shares of the company’s stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $198.22, for a total value of $45,717,262.58. Following the completion of the sale, the chief operating officer directly owned 664,361 shares in the company, valued at $131,689,637.42. This represents a 25.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Jitendra Mohan sold 325,693 shares of the company’s stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $172.14, for a total value of $56,064,793.02. Following the completion of the sale, the chief executive officer owned 4,079,322 shares of the company’s stock, valued at $702,214,489.08. This trade represents a 7.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 1,497,338 shares of company stock valued at $236,827,957. Insiders own 12.50% of the company’s stock.

Hedge Funds Weigh In On Astera Labs

A number of hedge funds have recently modified their holdings of the stock. Assetmark Inc. lifted its stake in Astera Labs by 374.1% in the third quarter. Assetmark Inc. now owns 128 shares of the company’s stock valued at $25,000 after acquiring an additional 101 shares during the last quarter. Reflection Asset Management bought a new position in Astera Labs during the fourth quarter valued at about $25,000. Smartleaf Asset Management LLC raised its holdings in Astera Labs by 422.2% during the fourth quarter. Smartleaf Asset Management LLC now owns 188 shares of the company’s stock valued at $32,000 after buying an additional 152 shares in the last quarter. Hilltop National Bank raised its holdings in Astera Labs by 100.0% during the fourth quarter. Hilltop National Bank now owns 200 shares of the company’s stock valued at $33,000 after buying an additional 100 shares in the last quarter. Finally, Aventura Private Wealth LLC bought a new position in Astera Labs during the fourth quarter valued at about $33,000. 60.47% of the stock is owned by institutional investors and hedge funds.

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.