Astera Labs stock falls 4.84 percent after Zacks downgrade

Published on 10/07/2026 at 17:13 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Zacks Research moved Astera Labs stock from Strong Buy to Hold on October 7, 2026. Q2 revenue reached USD 392.4 million, up 104 percent year over year.

Astera Labs, US04626A1034, Illustration mit AI erstellt.

Astera Labs stock (ISIN US04626A1034) was trading at USD 370.92 on Nasdaq on October 7, 2026, at 11:12 a.m. ET, down 4.84 percent from USD 389.80. MarketBeat reported on October 7, 2026 that Zacks Research had cut its rating from Strong Buy to Hold.

Zacks shifts the rating

The downgrade adds a valuation counterpoint after Astera Labs shares had climbed to USD 389.80 in the prior session. The current quote is 25.74 percent below the 52-week high of USD 499.48 and 279.09 percent above the 52-week low of USD 97.89.

The broader analyst picture remains more constructive than the single downgrade. MarketBeat listed a Moderate Buy consensus from 21 analysts, comprising 12 Buy ratings and nine Hold ratings, with an average target of USD 348.33. That target is 6.09 percent below the October 7 price.

Q2 growth sets a high bar

Yahoo Finance reported from Astera Labs' Q2 2026 earnings call that revenue reached USD 392.4 million, up 27 percent sequentially and 104 percent year over year. Non-GAAP gross margin was 73.7 percent, while non-GAAP diluted EPS was USD 0.80.

Management guided Q3 2026 revenue to USD 540 million to USD 560 million, a midpoint of USD 550 million and 40 percent sequential growth from Q2. The company also expects Scorpio to become its largest product family in Q3 as the Scorpio X-Series moves into volume production.

Two dates frame the next test

Astera Labs is scheduled to release its Q3 2026 results after the market close on November 3, 2026, followed by a conference call at 4:30 p.m. ET, according to GlobeNewswire on October 6, 2026. The company is also listed for the OCP Global Summit from October 12, 2026, according to Astera Labs.

Stock stays below yearly high

At 11:12 a.m. ET on October 7, 2026, Astera Labs stock was trading at USD 370.92 on Nasdaq, with a market capitalization of USD 63.6 billion. The next share-price test is whether the Q3 ramp can support the USD 540 million to USD 560 million revenue outlook.