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Astera Labs
$48.3B
Market Cap
128.2
P/E
1.80
PEG
154.6%
ROCE
18.8%
ROE
0.02
D/E
20.3%
OPM
-46.8%
% from 52W High
89
α RS
🔍 ALAB is showing a high-conviction setup because it matches 15 of 39 tracked screener presets, Sector RRG has Technology in the Leading quadrant with the trail still rolling over, and RS Rating is 89. Net: Broad signal stack, not a recommendation. ? Conviction RRG RS Rating
Sources
Conviction 15/39 · Technology in Leading quadrant · RS Rating 89
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About

Astera Labs, Inc. designs, manufactures, and sells semiconductor-based connectivity solutions for cloud and AI infrastructure in Taiwan and the United States. It offers an intelligent connectivity platform, comprised of semiconductor-based, high-speed, mixed-signal connectivity products that integrate a matrix of microcontrollers and sensors, and COSMOS. The company provides COSMOS software suite, a connectivity system management and optimization software that enables management and optimization of resources for large fleets at cloud-scale via link, fleet, and RAS management capabilities. In addition, it offers PCIe/CXL smart DSP retimers and cable modules; ethernet smart cable modules for cloud and AI infrastructure; CXL memory connectivity controllers; and smart fabric switches. The company serves hyperscalers and system original equipment manufacturers. Astera Labs, Inc. was incorporated in 2017 and is based in San Jose, California.

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⭐ Superinvestors Holding ALAB
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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 129.4K $14.2M 0.02% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$392.4M
+104% YoY
Non-GAAP Operating Income
$153.5M
Not disclosed YoY
Non-GAAP Operating Margin
39.1%
+290 bps QoQ
Non-GAAP Net Income
$145.8M
+>30% QoQ (EPS basis)
What Went Right
  • Record Q2 revenue of $392.4M, up 104% YoY and 27% QoQ.
  • PCIe 6.0 products exceeded 50% of total revenue, up from roughly 33% in Q1.
  • Scorpio X-Series entered volume production and Scorpio is set to become the largest product line in Q3, a quarter ahead of plan.
What to Watch
  • Q3 non-GAAP gross margin guided down to ~72% from 73.7%, reflecting product mix shifts.
  • Initial Scorpio X volume ramp is concentrated with one lead hyperscaler; additional customer production ramps extend into 2027.
  • China remains a single-digit percentage of revenue as the rest of world grows faster, limiting near-term geographic diversification.
Management Guidance
  • Q3 revenue expected in the range of $540M-$560M, ~40% sequential growth at the midpoint.
  • Q3 non-GAAP gross margin of ~72%, operating expenses of $156M-$160M, operating margin of ~43%, tax rate of ~12%, and diluted EPS of $1.16-$1.21.
  • Scorpio expected to become the company's largest product line by revenue in Q3.
Investor Lens
The thesis is stronger after this call: Q2 revenue grew 104% YoY and Q3 guidance implies a 40% sequential step-up, anchored by Scorpio X reaching volume production a quarter early. Management sees PCIe 6.0 now >50% of revenue and expansion into UALink, optics, and custom silicon extending content per XPU beyond $1,000. Gross margin will step down to ~72% in Q3, but operating margin is guided to ~43%, showing leverage. The main execution focus is broadening Scorpio X beyond the lead hyperscaler while converting CXL, Aries, and Taurus design wins into 2027 revenue.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Q2 record: revenue up 104% to $392.4M, Scorpio X ramp ahead of plan.
Revenue
Q2 revenue was $392.4M, up 27% sequentially and 104% YoY, with broad-based strength across AI fabrics, Aries signal conditioning, and Taurus. PCIe 6.0 products accounted for more than 50% of revenue in Q2, up from roughly one-third in Q1. Growth was led by Scorpio X production ramp, record Aries revenue, and early 800G Taurus shipments.
Profitability
Non-GAAP net income was $145.8M and non-GAAP diluted EPS was $0.80, up more than 30% QoQ. GAAP net income was $153.1M and GAAP diluted EPS was $0.83. GAAP operating income was $89.2M.
Margins
Non-GAAP gross margin was 73.7%, above guidance of 73%. Operating margin expanded 290 bps QoQ to 39.1%, driven by revenue leverage. For Q3, non-GAAP gross margin is guided to ~72% while operating margin is expected to rise to ~43%.
Balance Sheet
Cash, cash equivalents, and marketable securities totaled $1.25B at quarter-end, up $68.5M from Q1. Management cited $87.7M of cash generation in the quarter.
Key Risks
Management flagged product mix and switching use cases as causes of a wider gross margin range, with Q3 GM guided down to ~72%. Q&A highlighted China remaining a single-digit percentage of revenue as the rest of world grows faster. Initial Scorpio X high-volume ramp is concentrated with the lead hyperscaler, though additional customer shipments are planned by year-end.
Outlook
Q3 revenue is expected between $540M and $560M, ~40% sequential growth at the midpoint. Non-GAAP operating margin is guided to ~43%, with EPS of $1.16-$1.21.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-04
Record Q2 revenue grew 104% year-over-year, driven by strong AI fabric and signal conditioning demand. Scorpio X-Series entered volume production and is set to become the largest product line in Q3, with continued expansion into optical and custom solutions supporting robust growth.
Q1 2026 Q1 2026 2026-05-05
Q1 2026 revenue surged 93% year-over-year to $308.4M, driven by strong AI infrastructure demand and rapid ramp of Scorpio X-Series switches. Outlook remains robust, with Q2 revenue expected to rise 15%-18% sequentially and continued investment in R&D and optical solutions.
Q4 2025 Q4 2025 2026-02-10
Q4 2025 revenue surged 92% YoY to $270.6M, with broad-based growth across product lines and strong AI/cloud demand. FY25 revenue rose 115%, and Q1 2026 guidance projects continued growth. Strategic partnerships, new design wins, and expanded R&D investments position the company for long-term market leadership.
Q3 2025 Q3 2025 2025-11-04
Q3 revenue surged 104% year-over-year to $230.6M, with record 41.7% non-GAAP operating margin and broad product growth. Q4 revenue is guided up 6%-10%, and the Xscape Photonics acquisition positions the company for future optical scale-up opportunities.
Q2 2025 Q2 2025 2025-08-05
Q2 revenue surged 150% year-over-year to $191.9M, with strong growth in Scorpio, Aries, and Taurus product lines. Guidance for Q3 projects further revenue and EPS growth, driven by continued AI infrastructure demand and new product ramps.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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