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ASTERA LABS INC (ALAB) Stock Fundamental Analysis

NASDAQ:ALAB - US04626A1034 - Common Stock

189.15 USD
+9.95 (+5.55%)
Last: 8/28/2025, 8:00:00 PM
190.5 USD
+1.35 (+0.71%)
Pre-Market: 8/29/2025, 9:14:20 AM
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to ALAB. ALAB was compared to 110 industry peers in the Semiconductors & Semiconductor Equipment industry. While ALAB has a great health rating, there are worries on its profitability. While showing a medium growth rate, ALAB is valued expensive at the moment.


Dividend Valuation Growth Profitability Health

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3

1. Profitability

1.1 Basic Checks

In the past year ALAB was profitable.
ALAB had a positive operating cash flow in the past year.
ALAB Yearly Net Income VS EBIT VS OCF VS FCFALAB Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2022 2023 2024 0 50M -50M 100M -100M

1.2 Ratios

ALAB has a better Return On Assets (7.88%) than 79.09% of its industry peers.
Looking at the Return On Equity, with a value of 8.82%, ALAB is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 2.87%, ALAB is in line with its industry, outperforming 53.64% of the companies in the same industry.
Industry RankSector Rank
ROA 7.88%
ROE 8.82%
ROIC 2.87%
ROA(3y)-16.28%
ROA(5y)N/A
ROE(3y)-19.89%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ALAB Yearly ROA, ROE, ROICALAB Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2022 2023 2024 -10 -20 -30

1.3 Margins

ALAB has a Profit Margin of 16.54%. This is in the better half of the industry: ALAB outperforms 75.45% of its industry peers.
ALAB has a Operating Margin of 6.99%. This is comparable to the rest of the industry: ALAB outperforms 58.18% of its industry peers.
ALAB has a better Gross Margin (75.52%) than 95.45% of its industry peers.
Industry RankSector Rank
OM 6.99%
PM (TTM) 16.54%
GM 75.52%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
ALAB Yearly Profit, Operating, Gross MarginsALAB Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2022 2023 2024 0 50 -50

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8

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ALAB is destroying value.
Compared to 1 year ago, ALAB has more shares outstanding
There is no outstanding debt for ALAB. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
ALAB Yearly Shares OutstandingALAB Yearly Shares OutstandingYearly Shares Outstanding 2022 2023 2024 50M 100M 150M
ALAB Yearly Total Debt VS Total AssetsALAB Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

An Altman-Z score of 140.49 indicates that ALAB is not in any danger for bankruptcy at the moment.
ALAB's Altman-Z score of 140.49 is amongst the best of the industry. ALAB outperforms 100.00% of its industry peers.
There is no outstanding debt for ALAB. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 140.49
ROIC/WACC0.25
WACC11.69%
ALAB Yearly LT Debt VS Equity VS FCFALAB Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2022 2023 2024 0 200M 400M 600M 800M

2.3 Liquidity

ALAB has a Current Ratio of 11.10. This indicates that ALAB is financially healthy and has no problem in meeting its short term obligations.
ALAB's Current ratio of 11.10 is amongst the best of the industry. ALAB outperforms 96.36% of its industry peers.
ALAB has a Quick Ratio of 10.55. This indicates that ALAB is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 10.55, ALAB belongs to the top of the industry, outperforming 97.27% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 11.1
Quick Ratio 10.55
ALAB Yearly Current Assets VS Current LiabilitesALAB Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2022 2023 2024 200M 400M 600M 800M 1B

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4

3. Growth

3.1 Past

The earnings per share for ALAB have decreased strongly by -269.05% in the last year.
Looking at the last year, ALAB shows a very strong growth in Revenue. The Revenue has grown by 242.24%.
EPS 1Y (TTM)-269.05%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%238.46%
Revenue 1Y (TTM)242.24%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%149.74%

3.2 Future

The Earnings Per Share is expected to grow by 42.27% on average over the next years. This is a very strong growth
Based on estimates for the next years, ALAB will show a very strong growth in Revenue. The Revenue will grow by 52.49% on average per year.
EPS Next Y61.68%
EPS Next 2Y42.6%
EPS Next 3Y42.27%
EPS Next 5YN/A
Revenue Next Year103.46%
Revenue Next 2Y62.94%
Revenue Next 3Y52.49%
Revenue Next 5YN/A

3.3 Evolution

ALAB Yearly Revenue VS EstimatesALAB Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2022 2023 2024 2025 2026 2027 200M 400M 600M 800M 1B
ALAB Yearly EPS VS EstimatesALAB Yearly EPS VS EstimatesYearly EPS VS Estimates 2024 2025 2026 2027 0.5 1 1.5 2 2.5

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2

4. Valuation

4.1 Price/Earnings Ratio

ALAB is valuated quite expensively with a Price/Earnings ratio of 138.07.
Compared to the rest of the industry, the Price/Earnings ratio of ALAB is on the same level as its industry peers.
When comparing the Price/Earnings ratio of ALAB to the average of the S&P500 Index (27.17), we can say ALAB is valued expensively.
ALAB is valuated quite expensively with a Price/Forward Earnings ratio of 93.02.
Based on the Price/Forward Earnings ratio, ALAB is valued a bit more expensive than the industry average as 62.73% of the companies are valued more cheaply.
ALAB's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.78.
Industry RankSector Rank
PE 138.07
Fwd PE 93.02
ALAB Price Earnings VS Forward Price EarningsALAB Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80 100

4.2 Price Multiples

ALAB's Enterprise Value to EBITDA ratio is in line with the industry average.
ALAB's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 149.45
EV/EBITDA 631.82
ALAB Per share dataALAB EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as ALAB's earnings are expected to grow with 42.27% in the coming years.
PEG (NY)2.24
PEG (5Y)N/A
EPS Next 2Y42.6%
EPS Next 3Y42.27%

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0

5. Dividend

5.1 Amount

ALAB does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

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ASTERA LABS INC

NASDAQ:ALAB (8/28/2025, 8:00:00 PM)

Premarket: 190.5 +1.35 (+0.71%)

189.15

+9.95 (+5.55%)

Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)08-05 2025-08-05/amc
Earnings (Next)11-03 2025-11-03
Inst Owners74.17%
Inst Owner Change3.53%
Ins Owners13.37%
Ins Owner Change-2.82%
Market Cap31.44B
Analysts82.73
Price Target167.54 (-11.42%)
Short Float %6.51%
Short Ratio1.66
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.57%
Min EPS beat(2)13.95%
Max EPS beat(2)33.19%
EPS beat(4)4
Avg EPS beat(4)29.89%
Min EPS beat(4)13.95%
Max EPS beat(4)40.06%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)5.57%
Min Revenue beat(2)2.08%
Max Revenue beat(2)9.05%
Revenue beat(4)4
Avg Revenue beat(4)8.25%
Min Revenue beat(4)2.08%
Max Revenue beat(4)13.78%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)62.99%
PT rev (3m)49.38%
EPS NQ rev (1m)15.73%
EPS NQ rev (3m)20.15%
EPS NY rev (1m)17.47%
EPS NY rev (3m)18.22%
Revenue NQ rev (1m)14.28%
Revenue NQ rev (3m)19.89%
Revenue NY rev (1m)10.31%
Revenue NY rev (3m)10.92%
Valuation
Industry RankSector Rank
PE 138.07
Fwd PE 93.02
P/S 51.92
P/FCF 149.45
P/OCF 126.23
P/B 27.68
P/tB 27.68
EV/EBITDA 631.82
EPS(TTM)1.37
EY0.72%
EPS(NY)2.03
Fwd EY1.08%
FCF(TTM)1.27
FCFY0.67%
OCF(TTM)1.5
OCFY0.79%
SpS3.64
BVpS6.83
TBVpS6.83
PEG (NY)2.24
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA 7.88%
ROE 8.82%
ROCE 3.63%
ROIC 2.87%
ROICexc 33.44%
ROICexgc 33.44%
OM 6.99%
PM (TTM) 16.54%
GM 75.52%
FCFM 34.74%
ROA(3y)-16.28%
ROA(5y)N/A
ROE(3y)-19.89%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.48
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 891.87%
Cap/Sales 6.39%
Interest Coverage 250
Cash Conversion 533.97%
Profit Quality 210.04%
Current Ratio 11.1
Quick Ratio 10.55
Altman-Z 140.49
F-Score7
WACC11.69%
ROIC/WACC0.25
Cap/Depr(3y)573.57%
Cap/Depr(5y)N/A
Cap/Sales(3y)5.29%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-269.05%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%238.46%
EPS Next Y61.68%
EPS Next 2Y42.6%
EPS Next 3Y42.27%
EPS Next 5YN/A
Revenue 1Y (TTM)242.24%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%149.74%
Revenue Next Year103.46%
Revenue Next 2Y62.94%
Revenue Next 3Y52.49%
Revenue Next 5YN/A
EBIT growth 1Y-293.48%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year145.65%
EBIT Next 3Y70.92%
EBIT Next 5YN/A
FCF growth 1Y761.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y1174.83%
OCF growth 3YN/A
OCF growth 5YN/A