Astera Labs (NASDAQ:ALAB) Trading Down 1.8% – Time to Sell?

Shares of Astera Labs, Inc. (NASDAQ:ALAB) fell 1.8% on Friday . The company traded as low as $329.61 and last traded at $343.05. 5,959,902 shares traded hands during trading, an increase of 7% from the average session volume of 5,547,847 shares. The stock had previously closed at $349.17.

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on ALAB. Barclays lifted their price objective on shares of Astera Labs from $165.00 to $200.00 and gave the company an “equal weight” rating in a research note on Thursday, May 7th. Loop Capital began coverage on shares of Astera Labs in a research note on Thursday, March 5th. They set a “buy” rating and a $250.00 price objective on the stock. JPMorgan Chase & Co. lifted their price objective on shares of Astera Labs from $205.00 to $280.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. Morgan Stanley lifted their price objective on shares of Astera Labs from $210.00 to $240.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. Finally, Evercore reiterated an “outperform” rating and set a $297.00 price objective on shares of Astera Labs in a research note on Tuesday, May 19th. Twelve equities research analysts have rated the stock with a Buy rating and eleven have issued a Hold rating to the stock. According to MarketBeat, Astera Labs presently has a consensus rating of “Moderate Buy” and a consensus price target of $233.75.

Astera Labs Price Performance

The stock has a market capitalization of $58.80 billion, a price-to-earnings ratio of 231.79, a PEG ratio of 4.54 and a beta of 3.35. The firm’s fifty day moving average is $190.82 and its 200-day moving average is $165.12.

Astera Labs (NASDAQ:ALAB) last posted its quarterly earnings results 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. The firm had revenue of $308.36 million for the quarter, compared to analysts’ expectations of $292.19 million. Astera Labs had a net margin of 26.72% and a return on equity of 18.49%. The firm’s quarterly revenue was up 93.5% on a year-over-year basis. During the same period in the prior year, the company posted $0.33 earnings per share. Astera Labs has set its Q2 2026 guidance at 0.680-0.700 EPS. On average, sell-side analysts expect that Astera Labs, Inc. will post 1.84 EPS for the current year.

Insider Activity at Astera Labs

In related news, General Counsel Philip Mazzara sold 796 shares of the company’s stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $291.03, for a total value of $231,659.88. Following the sale, the general counsel directly owned 103,343 shares of the company’s stock, valued at $30,075,913.29. This represents a 0.76% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Jitendra Mohan sold 28,737 shares of the company’s stock in a transaction on Tuesday, May 19th. The shares were sold at an average price of $249.62, for a total transaction of $7,173,329.94. Following the completion of the sale, the chief executive officer directly owned 3,789,232 shares in the company, valued at $945,868,091.84. This represents a 0.75% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 2,316,257 shares of company stock valued at $474,860,636 over the last ninety days. Corporate insiders own 12.50% of the company’s stock.

Institutional Trading of Astera Labs

Several institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. raised its holdings in Astera Labs by 0.6% in the fourth quarter. Vanguard Group Inc. now owns 13,827,506 shares of the company’s stock valued at $2,300,344,000 after acquiring an additional 84,365 shares in the last quarter. Atreides Management LP increased its stake in Astera Labs by 108.9% during the first quarter. Atreides Management LP now owns 3,365,787 shares of the company’s stock valued at $368,890,000 after purchasing an additional 1,754,593 shares during the last quarter. State Street Corp increased its stake in Astera Labs by 32.5% during the fourth quarter. State Street Corp now owns 3,099,809 shares of the company’s stock valued at $515,684,000 after purchasing an additional 760,358 shares during the last quarter. Geode Capital Management LLC increased its stake in Astera Labs by 4.5% during the fourth quarter. Geode Capital Management LLC now owns 2,429,078 shares of the company’s stock valued at $403,598,000 after purchasing an additional 104,935 shares during the last quarter. Finally, Fred Alger Management LLC increased its stake in Astera Labs by 25.5% during the fourth quarter. Fred Alger Management LLC now owns 1,934,688 shares of the company’s stock valued at $321,855,000 after purchasing an additional 393,250 shares during the last quarter. 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.