Astera Labs (NASDAQ:ALAB) Trading Down 3.9% - Should You Sell?

Astera Labs, Inc. (NASDAQ:ALAB - Get Free Report) traded down 3.9% during mid-day trading on Thursday . The stock traded as low as $123.60 and last traded at $126.60. 1,817,632 shares were traded during trading, a decline of 41% from the average session volume of 3,066,135 shares. The stock had previously closed at $131.77.

Analysts Set New Price Targets

A number of research analysts have commented on ALAB shares. Northland Capmk downgraded Astera Labs from a "strong-buy" rating to a "hold" rating in a report on Thursday, January 2nd. Barclays raised their target price on shares of Astera Labs from $70.00 to $87.00 and gave the stock an "overweight" rating in a report on Tuesday, November 5th. Stifel Nicolaus upped their target price on Astera Labs from $100.00 to $150.00 and gave the company a "buy" rating in a report on Monday, January 6th. Roth Mkm upped their price objective on Astera Labs from $80.00 to $105.00 and gave the stock a "buy" rating in a research note on Tuesday, November 5th. Finally, Citigroup initiated coverage on Astera Labs in a research note on Monday, November 18th. They issued a "buy" rating and a $120.00 target price on the stock. Two investment analysts have rated the stock with a hold rating and eleven have given a buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $105.75.

Astera Labs Stock Performance

The business's 50 day simple moving average is $117.53 and its 200 day simple moving average is $75.25.

Astera Labs (NASDAQ:ALAB - Get Free Report) last announced its earnings results on Monday, November 4th. The company reported $0.23 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.17 by $0.06. The company had revenue of $113.10 million for the quarter, compared to the consensus estimate of $97.50 million. Astera Labs had a negative net margin of 30.69% and a negative return on equity of 15.57%. Astera Labs's revenue for the quarter was up 47.1% on a year-over-year basis. As a group, equities research analysts predict that Astera Labs, Inc. will post -0.45 EPS for the current fiscal year.

Insider Buying and Selling at Astera Labs

In other news, CEO Jitendra Mohan sold 171,064 shares of the firm's stock in a transaction dated Thursday, November 21st. The stock was sold at an average price of $103.53, for a total transaction of $17,710,255.92. Following the completion of the sale, the chief executive officer now directly owns 628,895 shares of the company's stock, valued at $65,109,499.35. This trade represents a 21.38 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Sanjay Gajendra sold 740,000 shares of Astera Labs stock in a transaction dated Thursday, November 7th. The shares were sold at an average price of $96.59, for a total value of $71,476,600.00. Following the sale, the insider now owns 775,000 shares of the company's stock, valued at approximately $74,857,250. This represents a 48.84 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 1,690,452 shares of company stock worth $167,581,256.

Institutional Trading of Astera Labs

Institutional investors have recently added to or reduced their stakes in the business. Tidal Investments LLC increased its stake in shares of Astera Labs by 81.8% during the 3rd quarter. Tidal Investments LLC now owns 45,298 shares of the company's stock worth $2,373,000 after purchasing an additional 20,388 shares during the last quarter. Point72 Asia Singapore Pte. Ltd. bought a new position in shares of Astera Labs in the third quarter valued at approximately $530,000. Avior Wealth Management LLC bought a new position in Astera Labs in the 3rd quarter worth $361,000. Maverick Capital Ltd. lifted its position in Astera Labs by 16.0% during the 3rd quarter. Maverick Capital Ltd. now owns 1,156,230 shares of the company's stock worth $60,575,000 after acquiring an additional 159,480 shares during the last quarter. Finally, State Street Corp boosted its holdings in Astera Labs by 173.1% during the third quarter. State Street Corp now owns 698,467 shares of the company's stock valued at $36,593,000 after acquiring an additional 442,698 shares during the period. 60.47% of the stock is currently owned by institutional investors and hedge funds.

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.

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