Morgan Stanley Forecasts Strong Price Appreciation for Astera Labs (NASDAQ:ALAB) Stock

Astera Labs (NASDAQ:ALAB) had its price objective raised by equities research analysts at Morgan Stanley from $99.00 to $125.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Morgan Stanley’s price target points to a potential downside of 8.58% from the stock’s previous close.

ALAB has been the topic of a number of other research reports. Susquehanna began coverage on Astera Labs in a research note on Friday, May 16th. They issued a “neutral” rating and a $80.00 target price on the stock. Roth Capital set a $100.00 price target on Astera Labs and gave the stock a “buy” rating in a report on Wednesday, May 7th. Jefferies Financial Group boosted their price objective on Astera Labs from $95.00 to $130.00 and gave the stock a “buy” rating in a research report on Tuesday, July 22nd. Needham & Company LLC reduced their price objective on Astera Labs from $140.00 to $100.00 and set a “buy” rating for the company in a research note on Wednesday, May 7th. Finally, Barclays lifted their target price on Astera Labs from $70.00 to $75.00 and gave the stock an “overweight” rating in a research note on Wednesday, May 7th. Four research analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $104.40.

Astera Labs Trading Up 6.1%

Shares of NASDAQ:ALAB opened at $136.73 on Wednesday. The stock has a market cap of $22.55 billion, a PE ratio of 621.53, a price-to-earnings-growth ratio of 6.05 and a beta of 1.18. The stock’s fifty day simple moving average is $98.76 and its two-hundred day simple moving average is $86.34. Astera Labs has a 1-year low of $36.22 and a 1-year high of $147.39.

Astera Labs (NASDAQ:ALAB) last released its quarterly earnings results on Tuesday, May 6th. The company reported $0.33 earnings per share for the quarter, beating analysts’ consensus estimates of $0.28 by $0.05. Astera Labs had a net margin of 8.44% and a return on equity of 2.57%. The company had revenue of $159.44 million for the quarter, compared to analyst estimates of $151.55 million. During the same period last year, the firm earned $0.10 earnings per share. The firm’s revenue was up 144.1% on a year-over-year basis. On average, sell-side analysts forecast that Astera Labs will post 0.34 earnings per share for the current fiscal year.

Insider Transactions at Astera Labs

In other news, COO Sanjay Gajendra sold 165,000 shares of the business’s stock in a transaction that occurred on Wednesday, July 9th. The shares were sold at an average price of $98.61, for a total value of $16,270,650.00. Following the sale, the chief operating officer owned 695,000 shares of the company’s stock, valued at $68,533,950. The trade was a 19.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Manuel Alba sold 13,259 shares of the company’s stock in a transaction that occurred on Monday, July 21st. The shares were sold at an average price of $111.00, for a total transaction of $1,471,749.00. Following the sale, the director owned 1,874,498 shares in the company, valued at $208,069,278. The trade was a 0.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 2,181,759 shares of company stock valued at $200,883,431.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. State of New Jersey Common Pension Fund D bought a new position in shares of Astera Labs in the second quarter worth $3,925,000. Sumitomo Mitsui Trust Group Inc. lifted its holdings in Astera Labs by 21.6% during the 2nd quarter. Sumitomo Mitsui Trust Group Inc. now owns 14,781 shares of the company’s stock worth $1,336,000 after purchasing an additional 2,624 shares in the last quarter. Strategic Blueprint LLC boosted its stake in Astera Labs by 68.9% in the 2nd quarter. Strategic Blueprint LLC now owns 7,308 shares of the company’s stock worth $661,000 after purchasing an additional 2,981 shares during the period. Ethic Inc. grew its holdings in Astera Labs by 234.0% during the 2nd quarter. Ethic Inc. now owns 15,811 shares of the company’s stock valued at $1,439,000 after buying an additional 11,077 shares in the last quarter. Finally, Cookson Peirce & Co. Inc. bought a new stake in shares of Astera Labs during the second quarter valued at about $1,270,000. 60.47% of the stock is currently owned by hedge funds and other institutional investors.

Astera Labs Company Profile

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.