Astera Labs (NASDAQ:ALAB) Price Target Cut to $250.00 by Analysts at Citigroup

Astera Labs (NASDAQ:ALAB) had its price objective reduced by Citigroup from $275.00 to $250.00 in a research note issued to investors on Wednesday,Benzinga reports. They currently have a buy rating on the stock.

Several other equities analysts also recently commented on ALAB. Morgan Stanley reiterated an “overweight” rating and issued a $210.00 price objective on shares of Astera Labs in a report on Wednesday, December 3rd. Jefferies Financial Group restated a “buy” rating on shares of Astera Labs in a report on Wednesday, December 3rd. Needham & Company LLC increased their target price on Astera Labs from $205.00 to $220.00 and gave the stock a “buy” rating in a research note on Wednesday, November 5th. Weiss Ratings restated a “hold (c-)” rating on shares of Astera Labs in a research note on Wednesday, January 21st. Finally, Wall Street Zen cut Astera Labs from a “buy” rating to a “hold” rating in a research report on Tuesday, November 11th. Fourteen research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, Astera Labs currently has a consensus rating of “Moderate Buy” and an average price target of $192.89.

Astera Labs Trading Down 5.2%

Shares of Astera Labs stock traded down $7.50 on Wednesday, reaching $136.21. 3,381,610 shares of the company were exchanged, compared to its average volume of 5,478,907. Astera Labs has a one year low of $47.13 and a one year high of $262.90. The company has a 50-day moving average of $165.25 and a 200 day moving average of $174.42. The company has a market capitalization of $23.01 billion, a price-to-earnings ratio of 113.14, a PEG ratio of 2.49 and a beta of 1.50.

Astera Labs (NASDAQ:ALAB) last announced its quarterly earnings data on Tuesday, February 10th. The company reported $0.58 EPS for the quarter, beating analysts’ consensus estimates of $0.51 by $0.07. Astera Labs had a net margin of 25.70% and a return on equity of 16.87%. The company had revenue of $270.58 million during the quarter, compared to the consensus estimate of $249.46 million. During the same quarter last year, the firm posted $0.37 EPS. The company’s quarterly revenue was up 91.8% on a year-over-year basis. Astera Labs has set its Q1 2026 guidance at 0.530-0.540 EPS. Analysts predict that Astera Labs will post 0.34 earnings per share for the current year.

Insiders Place Their Bets

In related news, General Counsel Philip Mazzara sold 4,620 shares of the company’s stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $144.69, for a total transaction of $668,467.80. Following the completion of the sale, the general counsel owned 147,040 shares of the company’s stock, valued at $21,275,217.60. This represents a 3.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, COO Sanjay Gajendra sold 90,459 shares of the company’s stock in a transaction that occurred on Monday, November 17th. The stock was sold at an average price of $144.69, for a total transaction of $13,088,512.71. Following 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 trade represents a 5.35% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 576,936 shares of company stock valued at $87,409,540 over the last 90 days. 12.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of ALAB. Vanguard Group Inc. boosted its stake in shares of Astera Labs by 29.6% in the 2nd quarter. Vanguard Group Inc. now owns 12,049,223 shares of the company’s stock valued at $1,089,491,000 after purchasing an additional 2,751,747 shares in the last quarter. Amundi lifted its stake in Astera Labs by 1,298.6% in the 3rd quarter. Amundi now owns 1,421,263 shares of the company’s stock valued at $278,283,000 after purchasing an additional 1,319,643 shares during the last quarter. Rafferty Asset Management LLC acquired a new stake in Astera Labs in the third quarter valued at approximately $209,599,000. BNP Paribas Financial Markets boosted its position in Astera Labs by 577.3% in the third quarter. BNP Paribas Financial Markets now owns 1,127,340 shares of the company’s stock valued at $220,733,000 after buying an additional 960,899 shares in the last quarter. Finally, 1832 Asset Management L.P. grew its stake in shares of Astera Labs by 151.4% during the second quarter. 1832 Asset Management L.P. now owns 1,543,500 shares of the company’s stock worth $139,563,000 after buying an additional 929,600 shares during the last quarter. Institutional investors own 60.47% of the company’s stock.

Astera Labs News Roundup

Here are the key news stories impacting Astera Labs this week:

• Positive Sentiment: Q4 results beat consensus: revenue $270.6M (+92% YoY) and EPS $0.58, with record full‑year revenue and healthy margins — management provided Q1 revenue guidance above street estimates and higher EPS guidance. Astera Labs Reports Fourth Quarter and Full Year 2025 Financial Results
• Positive Sentiment: Analysts highlight AI-infrastructure exposure (NVIDIA, AMD, hyperscalers) as multi-year upside for 2026 — JPMorgan reiterates the thematic opportunity tied to large AI buildouts. Astera Labs Tied To Nvidia, AMD, Amazon, Google AI Buildout, Analyst Sees 2026 Upside
• Positive Sentiment: Citi kept a Buy rating while trimming its price target (from $275 to $250), signaling continued analyst conviction despite valuation concerns. Analyst Note / Benzinga
• Neutral Sentiment: Management said Scorpio X-series ramps are real but meaningful volume is weighted to the second half of 2026 and into 2027 — upside exists but timing is back‑loaded. Astera’s Pause Before The Second Surge
• Neutral Sentiment: Q1 guidance implies 6–10% sequential revenue growth but gross margin could step down ~1–2 points as opex rises for scale — healthy growth but higher near‑term investment. Astera Labs: Investors Are Booking Profits After Q4 Earnings
• Negative Sentiment: Shares plunged in extended trading after the print as some investors parsed earnings for missed expectations, prompting profit‑taking on a richly valued stock; multiple outlets noted a sharp selloff despite the beat. Here’s why Astera Labs stock price crashed despite strong earnings report
• Negative Sentiment: Investor concerns over a large Amazon-related deal (reported ~$6.5B) raised concentration and contract-risk questions — some view the deal as a double‑edged sword that heightened scrutiny. Why Amazon’s $6.5 billion chip deal with Astera Labs is a ‘double-edged sword’
• Negative Sentiment: The company announced a CFO transition (new CFO appointed), which, together with mixed analyst takes, added to near‑term uncertainty and helped drive the selloff. Astera Labs falls as Q1 guidance dampens strong Q4 results

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.