Astera Labs' rapid Quant rating improvement and strong earnings support my reiterated Strong Buy rating with a $140 target in 12-24 months. Astera and Credo, while competitors, are both key enablers in a massive semiconductor market with differentiated, high-growth product portfolios. Astera's focus on internal AI server connectivity and Credo's external data center solutions highlight their unique, complementary roles in the industry.
Does Astera Labs, Inc. (ALAB) have what it takes to be a top stock pick for momentum investors? Let's find out.
Astera Labs, Inc. (ALAB) shares have started gaining and might continue moving higher in the near term, as indicated by solid earnings estimate revisions.
Astera Labs, Inc. (NASDAQ:ALAB ) Q1 2025 Results Conference Call May 6, 2025 4:30 PM ET Company Participants Leslie Green - IR Jitendra Mohan - CEO and Co-Founder Sanjay Gajendra - President, COO and Co-Founder Mike Tate - CFO Conference Call Participants Harlan Sur - JPMorgan Blayne Curtis - Jefferies Ross Seymore - Deutsche Bank Thomas O'Malley - Barclays Joe Moore - Morgan Stanley Tore Svanberg - Stifel Quinn Bolton - Needham & Company Srini Pajjuri - Raymond James Suji Desilva - ROTH Capital Partners Operator Good afternoon. My name is Amy, and I will be your conference operator today.
Astera Labs, Inc. (ALAB) came out with quarterly earnings of $0.33 per share, beating the Zacks Consensus Estimate of $0.28 per share. This compares to earnings of $0.10 per share a year ago.
I rate Astera Labs a Strong Buy with a 12-24 month price target of $140 due to strong secular growth in AI/data center connectivity. Astera's unique semiconductor portfolio, first-mover advantage, and integration with COSMOS offer a competitive edge and premium pricing in AI server topologies. Key customers include Nvidia, AMD, Meta, Amazon AWS, Google, and Microsoft, with significant contributions expected from all product families in 2025.
Astera Labs' first-quarter 2025 results are expected to reflect strong demand for AI-enabled servers and data center infrastructure amid stiff competition.
Astera Labs, Inc. (ALAB) closed the most recent trading day at $65.31, moving -0.52% from the previous trading session.
Astera Labs and Marvell Technology develop high-speed connectivity solutions for AI and data center infrastructure. Let's see which stock is poised to dominate.
Astera Labs is well-positioned for 2025 with revenue contributions from all four product lines, driven by strong demand from hyperscalers and AI infrastructure needs. Significant investments in R&D and headcount in 2024 set the stage for robust growth, making the current stock correction a compelling entry point. Key business drivers include internally developed platforms, ramp-up of AI racks with third-party GPUs, and compute applications for data centers.
Astera Labs' lower-than-expected gross margin can be attributed to a shift in product mix toward hardware-based solutions, which impacted investors' sentiment.
Bill Baruch, Founder & President Blue Line Capital, joins CNBC's “Halftime Report” to detail his plethora of sales today.