Astera Labs Valuation

Is ALAB undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ALAB when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ALAB ($89.3) is trading below our estimate of fair value ($92.81)

Significantly Below Fair Value: ALAB is trading below fair value, but not by a significant amount.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for ALAB?

Other financial metrics that can be useful for relative valuation.

ALAB key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue44.2x
Enterprise Value/EBITDA-129.3x
PEG Ration/a

Price to Sales Ratio vs Peers

How does ALAB's PS Ratio compare to its peers?

The above table shows the PS ratio for ALAB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average6.1x
SWKS Skyworks Solutions
3x2.0%US$13.9b
FSLR First Solar
5.1x18.1%US$19.5b
GFS GlobalFoundries
3.5x9.1%US$23.3b
MTSI MACOM Technology Solutions Holdings
12.7x14.4%US$9.5b
ALAB Astera Labs
46.3x32.5%US$14.4b

Price-To-Sales vs Peers: ALAB is expensive based on its Price-To-Sales Ratio (46.3x) compared to the peer average (6.1x).


Price to Earnings Ratio vs Industry

How does ALAB's PE Ratio compare vs other companies in the US Semiconductor Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a27.6%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a27.6%
n/an/an/a
No more companies

Price-To-Sales vs Industry: ALAB is expensive based on its Price-To-Sales Ratio (46.3x) compared to the US Semiconductor industry average (3.9x).


Price to Sales Ratio vs Fair Ratio

What is ALAB's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ALAB PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio46.3x
Fair PS Ratio22.7x

Price-To-Sales vs Fair Ratio: ALAB is expensive based on its Price-To-Sales Ratio (46.3x) compared to the estimated Fair Price-To-Sales Ratio (22.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ALAB forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$89.30
US$99.25
+11.1%
8.5%US$110.00US$80.00n/a12
Nov ’25US$72.65
US$72.17
-0.7%
14.2%US$85.00US$47.00n/a12
Oct ’25US$50.68
US$67.67
+33.5%
15.9%US$85.00US$47.00n/a12
Sep ’25US$43.06
US$67.67
+57.1%
15.9%US$85.00US$47.00n/a12
Aug ’25US$40.45
US$87.73
+116.9%
5.1%US$98.00US$85.00n/a11
Jul ’25US$57.54
US$87.73
+52.5%
5.1%US$98.00US$85.00n/a11
Jun ’25US$64.54
US$87.73
+35.9%
5.1%US$98.00US$85.00n/a11
May ’25US$74.83
US$86.09
+15.0%
5.7%US$100.00US$81.00n/a11

Analyst Forecast: Target price is less than 20% higher than the current share price.


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