Overview

* Astera Labs ( ALAB ) fiscal Q2 revenue grows 150% QoQ, beating analyst expectations, per LSEG data

* Adjusted EPS for fiscal Q2 beats consensus

* Co ramps PCIe 6 portfolio production, wins new Scorpio Fabric Switch designs

Outlook

* Astera Labs ( ALAB ) sees Q3 revenue between $203 mln and $210 mln

* Company expects Q3 GAAP gross margin of approximately 75%

* Astera Labs ( ALAB ) projects Q3 GAAP EPS of $0.23 to $0.24

* Company anticipates Q3 non-GAAP EPS of $0.38 to $0.39

Result Drivers

* PCIE 6 RAMP-UP - Co ramped PCIe 6 product portfolio into volume production for customized rack-scale AI systems, driving revenue growth

* SCORPIO SWITCH WINS - Multiple new design wins for Scorpio Fabric Switches contributed to revenue increase

* STRONG DEMAND - Strong demand for signal conditioning portfolio driven by PCIe scale-up and Ethernet scale-out applications

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $191.90 $172.50

Revenue mln mln (14

Analysts

)

Q2 Beat $0.44 $0.32

Adjusted (15

EPS Analysts

)

Q2 Beat $78 mln $57.80

Adjusted mln (13

Net Analysts

Income )

Q2 Net $51.20

Income mln

Q2 Gross 75.8%

Margin

Q2 Beat $75.20 $54.10

Adjusted mln mln (14

Operatin Analysts

g Income )

Q2 76.0%

Adjusted

Gross

Margin

Q2 $39.80

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the semiconductors peer group is "buy"

* Wall Street's median 12-month price target for Astera Labs Inc ( ALAB ) is $107.93, about 27.8% below its August 4 closing price of $137.93

* The stock recently traded at 88 times the next 12-month earnings vs. a P/E of 47 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)