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Astera Labs, Inc.
$60.9B
Market Cap
136.4
P/E
1.80
PEG
132.2%
ROCE
18.8%
ROE
D/E
20.3%
OPM
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Ratio Health
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Shareholding
About

Astera Labs, Inc. designs, manufactures, and sells semiconductor-based connectivity solutions for cloud and AI infrastructure in Taiwan and the United States.

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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? Q1 2026
Revenue
$308.4M
+93% YoY
Operating Income (Non-GAAP)
$111.7M
+51% YoY (calculated from implied prior year non-GAAP op income of ~$74M based on 36.2% margin on $204M revenue)
Operating Margin (Non-GAAP)
36.2%
+5.4pp YoY (implied from prior year 30.8% margin on $204M revenue with ~$63M op income)
Net Income (Non-GAAP)
$110.1M
+107% YoY (calculated from prior year $53.2M)
What Went Right
  • Revenue of $308.4M exceeded outlook, up 93% YoY and 14% QoQ.
  • PCIe Gen 6 revenue (Aries + Scorpio) exceeded one-third of total revenue, demonstrating strong adoption.
  • Scorpio X-Series 320-lane AI fabric switch began shipping initial volumes, with production ramp expected in H2 2026.
  • Diversification across standard, custom, and optical solutions with multiple new design wins including KV cache offload.
What to Watch
  • Q2 non-GAAP gross margin guidance of ~73% includes 200bps non-cash impact from a warrant agreement with a customer.
  • Operating expenses continue to rise ($123.9M in Q1, guided to $128M–$131M in Q2) due to R&D investments and acquisitions.
  • Supply chain challenges persist but are being managed through diversified backend supply chain.
Management Guidance
  • Q2 2026 revenue guidance: $355M to $365M (15%-18% sequential growth).
  • Q2 non-GAAP gross margin: approximately 73%.
  • Q2 non-GAAP operating expenses: $128M to $131M.
  • Q2 non-GAAP diluted EPS: $0.68 to $0.70.
Investor Lens
The thesis is stronger after this call. Astera Labs is successfully transitioning from a PCIe retimer supplier to an AI fabric platform provider, with Scorpio switches becoming the largest product line by year-end. Content per accelerator is now above $1,000, and the expansion into custom solutions (NVLink Fusion, KV cache) and optical interconnects (NPO, CPO) opens additional multi-billion dollar markets. The strong Q2 guidance and robust demand backdrop suggest the company can sustain above-market growth.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record quarter with 93% YoY revenue growth; PCIe 6 and Scorpio lead.
Revenue
Revenue was $308.4M in Q1 2026, up 14% sequentially and 93% year-over-year. Growth was broad-based across signal conditioning and fabric switch portfolios, with PCIe Gen 6 revenue (both Aries and Scorpio) accounting for more than one-third of total revenue.
Profitability
Non-GAAP net income was $110.1M, or $0.61 per diluted share, up from $0.35 in Q1 2025 (implied ~$53.2M net income). GAAP net income was $80.3M.
Margins
Non-GAAP gross margin was 76.4%, up 70bps sequentially due to lower hardware mix in signal conditioning. Non-GAAP operating margin was 36.2%. Guidance for Q2 non-GAAP gross margin is approximately 73%, including a 200bps non-cash warrant impact.
Balance Sheet
Cash, cash equivalents, and marketable securities totaled $1.18 billion at quarter-end, flat versus Q4 as operating cash flow of $74.6M was offset by cash paid for acquisitions.
Key Risks
Management flagged supply chain pockets of challenge but said diversified backend supply provides confidence. Also noted the non-cash warrant impact on Q2 gross margin. Analysts asked about optical transition timing and Scorpio ramp milestones; management emphasized execution dependency.
Outlook
For Q2 2026, Astera Labs expects revenue between $355M and $365M, non-GAAP gross margin of ~73%, and non-GAAP EPS of $0.68–$0.70. Scorpio is expected to become the largest product line by year-end, with X-Series revenue exceeding P-Series.
Generated by AI · Q1 2026 results · Not investment advice
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📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

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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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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Conflict of Interest Disclosure:
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Information Sources:
The analysis is based on publicly available information including SEC filings (10-K, 10-Q), annual reports, management commentary, and publicly available financial data. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

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