Citigroup Issues Pessimistic Forecast for Astera Labs (NASDAQ:ALAB) Stock Price

Astera Labs (NASDAQ:ALAB) had its target price lowered by investment analysts at Citigroup from $275.00 to $250.00 in a report issued on Wednesday,Benzinga reports. The firm presently has a “buy” rating on the stock. Citigroup’s price target points to a potential upside of 97.50% from the stock’s previous close.

Several other brokerages have also issued reports on ALAB. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Astera Labs in a research note on Wednesday, January 21st. Wall Street Zen lowered Astera Labs from a “buy” rating to a “hold” rating in a research report on Tuesday, November 11th. Northland Securities lifted their price objective on shares of Astera Labs from $175.00 to $195.00 and gave the company an “outperform” rating in a report on Tuesday, December 9th. BNP Paribas Exane began coverage on Astera Labs in a research report on Thursday, November 20th. They issued an “outperform” rating on the stock. Finally, Jefferies Financial Group reissued a “buy” rating on shares of Astera Labs in a research report on Wednesday, December 3rd. Fourteen investment analysts have rated the stock with a Buy rating and seven have issued a Hold 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 $192.89.

Astera Labs Stock Down 11.9%

NASDAQ:ALAB opened at $126.58 on Wednesday. The firm has a 50-day moving average price of $164.73 and a 200 day moving average price of $174.08. The firm has a market capitalization of $21.38 billion, a PE ratio of 103.75, a price-to-earnings-growth ratio of 1.96 and a beta of 1.50. Astera Labs has a 12-month low of $47.13 and a 12-month high of $262.90.

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

Insider Activity at Astera Labs

In related news, CFO Michael Truett Tate sold 11,430 shares of the firm’s stock in a transaction that occurred on Monday, November 17th. The shares were sold at an average price of $144.69, for a total value of $1,653,806.70. Following the completion of the transaction, the chief financial officer owned 192,297 shares in the company, valued at $27,823,452.93. This trade represents a 5.61% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Jitendra Mohan sold 90,459 shares of the stock in a transaction dated Monday, November 17th. The shares were sold at an average price of $144.69, for a total value of $13,088,512.71. Following the completion of the sale, the chief executive officer directly owned 2,080,418 shares of the company’s stock, valued at approximately $301,015,680.42. The trade was a 4.17% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 576,936 shares of company stock worth $87,409,540 in the last ninety days. Insiders own 12.50% of the company’s stock.

Institutional Investors Weigh In On Astera Labs

A number of institutional investors and hedge funds have recently made changes to their positions in ALAB. Assetmark Inc. lifted its stake in shares of Astera Labs by 374.1% during the 3rd quarter. Assetmark Inc. now owns 128 shares of the company’s stock valued at $25,000 after buying an additional 101 shares in the last quarter. Hilltop National Bank boosted its position in shares of Astera Labs by 100.0% during the fourth quarter. Hilltop National Bank now owns 200 shares of the company’s stock valued at $33,000 after purchasing an additional 100 shares in the last quarter. Aventura Private Wealth LLC purchased a new stake in Astera Labs in the fourth quarter worth about $33,000. National Bank of Canada FI increased its holdings in Astera Labs by 159.0% in the 3rd quarter. National Bank of Canada FI now owns 202 shares of the company’s stock worth $39,000 after buying an additional 124 shares in the last quarter. Finally, Wexford Capital LP purchased a new stake in Astera Labs during the third quarter valued at $39,000. Institutional investors and hedge funds own 60.47% of the company’s stock.

More Astera Labs News

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

• Positive Sentiment: Q4 beat on revenue and EPS with strong growth and margins — the company reported $270.6M revenue, 75.7% gross margin and an EPS beat, and management issued solid Q1 guidance that underscores hyperscaler demand. ALAB Q4 Earnings Beat (Zacks)
• Positive Sentiment: Wall‑street analysts still see upside tied to large AI infrastructure customers (NVIDIA, AMD, Amazon, Google) and JPMorgan highlighted Astera as a beneficiary of AI buildout. That underpins medium‑term demand expectations. JPMorgan Upside Note (Benzinga)
• Neutral Sentiment: Analysts/transcripts available — full earnings call transcript and Seeking Alpha pieces provide granular color on product ramps (Scorpio X) and margin trajectory; read if you need detail on guidance cadence into H2/2027. Earnings Analysis & Transcript (Seeking Alpha)
• Neutral Sentiment: Reported short‑interest entries appear to be data anomalies (values show 0 and NaN); no actionable evidence of a meaningful short squeeze or buildup from the published figures. Earnings Call Transcript (MSN)
• Negative Sentiment: Investors are booking profits after a massive run-up; several outlets flagged profit‑taking and a “rich” valuation as reasons for the selloff despite the beat. Profit‑Taking After Earnings (Seeking Alpha)
• Negative Sentiment: Concerns about concentration and deal terms: coverage highlighted Amazon’s reported $6.5B engagement as a “double‑edged sword” (big revenue opportunity but customer concentration/contract risk), which weighed on sentiment. Amazon Deal Concerns (MarketWatch)
• Negative Sentiment: CFO change and other corporate developments introduced near‑term uncertainty; several writeups linked management changes to the intra‑day weakness as investors reassessed execution risk. Slide After Earnings, CFO Change (Benzinga)

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.