ALAB Stock Shines as AI Infrastructure Ties With NVIDIA Deepen
Historically known for its Aries PCIe retimers supporting NVIDIA AI servers, Astera Labs has rapidly expanded its portfolio to now encompass full-rack solutions, including Scorpio Fabric Switches, Aries 6 Retimers and Smart Gearboxes, Taurus Ethernet modules and Leo CXL controllers designed to address both scale-up (intra-server, accelerator cluster) and scale-out (inter-server, data center-wide) connectivity challenges. The company's COSMOS software suite further enhances this hardware synergy, enabling advanced diagnostics, fleet observability and performance optimization.
Additionally, the company has expanded its strategic collaboration with NVIDIA NVDA to support the NVLink Fusion ecosystem for Blackwell-based MGX platforms and has stepped up as a promoter member and board participant in the UALink Consortium, helping to advance open, high-performance interconnect standards for accelerator-rich AI clusters.
AMD and QCOM — Two Other Prominent Players Working in This Niche
Advanced Micro Devices AMD: The company's expanding portfolio of EPYC CPUs and Instinct GPUs is aligned with the PCIe 6.0 standard, which is becoming foundational in next-generation AI infrastructure. As data center and AI rack architectures migrate toward PCIe 6.0 to meet rising bandwidth and latency demands, AMD's adoption of this standard is indirectly fueling demand for high-speed interconnect solutions like those offered by Astera Labs.
Qualcomm QCOM: Qualcomm is making a bold move into the AI data center connectivity space with its recent $2.4 billion acquisition of Alphawave, a company specializing in high-speed connectivity IP. This strategic acquisition signals Qualcomm's intention to become a more prominent player in AI infrastructure, a domain where Astera Labs is already deeply entrenched. Additionally, Qualcomm is now partnering with NVIDIA in the NVLink Fusion initiative, placing it in direct competition with companies like Astera Labs that are focused on enabling high-bandwidth, low-latency interconnects for AI racks.
ALAB's Price Performance and Valuation
Astera Labs has rallied 32.9% in the past three months compared with the industry's 15.8% growth and the sector's 12.3% rise. The S&P 500 index, meanwhile, has improved 7.9% during the said period.
Share Price Comparison: ALAB
Image Source: Zacks Investment Research
Astera Labs is presently trading at a forward 12-month price-to-sales of 19.02X, which is below its 1-year median of 19.95X. However, it remains overvalued compared to the industry.
Image Source: Zacks Investment Research
ALAB currently carries a Zacks Rank #2 (Buy).
You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
QUALCOMM Incorporated (QCOM) : Free Stock Analysis Report
Advanced Micro Devices, Inc. (AMD) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
Astera Labs, Inc. (ALAB) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
32 minutes ago
- Bloomberg
Advent Is Said to Weigh Takeover Bid for Swiss Chipmaker U-blox
Advent is working on an offer to acquire U-blox Holding AG in a deal that could value the Swiss maker of positioning chips at more than 1 billion Swiss francs ($1.2 billion), according to people familiar with the matter. An announcement could be made as soon as in the next few days, the people said, declining to be identified because the information is private. Shares of U-blox have risen about 56% this year, giving the company a market value of nearly $1.1 billion.
Yahoo
an hour ago
- Yahoo
Stock Market Today: Dow and Russell surge as Fed talk continues
Stock Market Today: Dow and Russell surge as Fed talk continues originally appeared on TheStreet. Updated 4:25 p.m. P.M. Movers: Home builders, AMD, WBD, Gildan, Bullish jump Stocks closed strongly on Wednesday as continuing talk about lower interest rates and a bullish IPO cheered investors. Home builders and home-improvement stocks were among the market leaders. The key 10-year Treasury yield moved down to 4.23% this afternoon, and rates on 30-year mortgages dropped to about 6.5%, the lowest rate since September 2024. The Dow Jones Industrial Average finished at 44,922, up 463 points, its second gain of 400 points or more in two days. It is now just 0.2% below its December record close. The Russell 2000 Index jumped 2% to 2,328. The Standard & Poor's 500 Index added 21 points to 6,467, a new closing high, and the Nasdaq Composite Index added 31 points to 21,713, also a record close. The two indexes hit new 52-week and closing highs, as did the Nasdaq-100 Index, up 10 points to 23,849.04. The trio hit new highs right after the open. The biggest tech stocks had mixed days. Microsoft () was off 1.6% to $520.58. Facebook-parent Meta Platforms () dropped 1.2% to $780.08. Apple () closed at 233.33, up 1.6%. Update: 2:39 p.m. ET P.M. Movers: Apple, WBD, Gildan, Core Scientific, Interactive Brokers We've got about an hour of trading left today. Here are five stocks making moves as we sprint into the end of the day: The consumer tech giant Apple () (+1.3%) is higher after a fresh report from Bloomberg claims that the company is plotting an "expansion into AI robots, home security and smart displays." Warner Bros. Discovery () (+8%) is leading both the S&P 500 and Nasdaq 100 today, with investors floating the entertainment giant in light of strong earnings last week, plus a strong box office showing for horror/mystery movie "Weapons." Activewear brand Gildan () (+11%) is higher after confirming that it will acquire underwear giant Hanesbrands () in a $2.2 billion deal. The deal prompted Gildan stock to decline yesterday, but it has recovered those losses today; up 2.7% this week. Term sheet in hand, Core Scientific () (-8%) could be on its way to being acquired by hyperscaler CoreWeave () (-18.4%) in a $9 billion deal. The stock is down as a product of its to-be-acquirers' poor quarterly performance, plus the rising risk that the all-stock deal gets shot down. With stocks at record highs, you'd think that brokerages would be benefiting across the board. And you'd be right about Interactive Brokers () (-6.7%) too. Yesterday, it hit an all-time high, but it's cooling off today after announcing that it will eliminate fees on U.S. stock trading in Singapore. Still, IBKR is up 38% year-to-date; not much of a pullback in the grand scheme. Fed Talk dominates headlines We might not have economic data to discuss today, but that's not keeping the Fed out of the headlines. Today, they're talk of the town as... Treasury Secretary Scott Bessent told Bloomberg Surveillance that the Fed should cut rates by "150 basis points or more," starting with a "50-basis point rate cut in September." Trump says he will name a new Fed Chairman early, saying he's down to "three or four" candidates. Atlanta Fed President Goolsbee defended central bank independence, adding that weaker labor data could be a byproduct of slowing population growth. Chicago Fed President Bostic said that the Fed might have to "act" if inflation goes the wrong way because of tariffs. Trump's "Apprentice"-style race for Fed Chair was said, in recent days, to have as many as 11 candidates. Among them are political loyalists, business leaders, and former Fed Governors. Mid-Day Headlines: Gildan, Bullish, Ethereum We're rolling downhill to the end of the day. Here's three stories making moves on the tape at this hour: Gildan's rumored $2.2 billion takeout of undershirt and underwear giant Hanesbrand is a go, per WSJ. Crypto exchange Bullish soared in its opening trade, more than doubling to $118 before slipping back to $68 at the close, up 84%. Ethereum is within earshot of its first all-time high in four years; as of this writing, it's sitting a touch above $4,700. Russell and Dow in catchup mode If you've been watching the market recently, you have a general idea of how things go. The S&P and Nasdaq on top; the Dow and Russell, barely making it across the line. Today, things are shaping up a bit different for a change. Seems that the shoes have swapped for once. It's the Nasdaq that's down, the S&P that's little-moved to the upside, and the Russell and Dow that are rallying. The small-cap and megacap indexes, for all their differences, are up 1.36% and 0.69% as of this update. Still, there's little reason to fret if you're a large cap enthusiast. You've had your fun these last few weeks and months. Just consider the year-to-date returns from the S&P and Nasdaq: Nasdaq Composite: +12.6% S&P 500: +10% And, notice on the chart above: the S&P 500 and Nasdaq notched new intraday records to start the day. Not half bad. The Dow and Russell, on the other hand, have had their work cut out for them. Some celebration should be in order, especially for the latter, since the last two days of trading puts the index back in the green on the year. Year-to-date, they are... Dow: +5.75% Russell 2000: +3.7% So a catchup might well be in order, given optimism about rate cuts. Or, at the least, a mild rotation out of some of the more richly-valued large and megacaps might be a possibility. Bullish IPO Set to Validate Continued Crypto Demand Building on recent momentum for crypto IPOs, institutional crypto platform Bullish BLSH is set to debut today at $37/sh, seeking to raise about $1 billion at a $5 billion valuation. It's probably going to have no problem getting there if recent IPOs (especially from the crypto industry) are any indication. In fact, right now, the company is indicated to open between $85 and $88 per share, per folks on the floor. That would indicate the stock will more than double in its debut. Really, no surprise when equity markets seek the unfettered transaction revenues of the crypto elite. This week, Bitcoin and Ethereum have been within earshot of record highs at $122,000 and $4,700. So too have smaller altcoins like Ripple, Binance Coin, and others. A.M. Movers: Webtoon, H&R Block, AMD The market has been open for an hour now. It's time to check on this morning's biggest movers at the top and bottom of the market. Digital comic website Webtoon WBTN (+75%) soared after announcing a deal with Disney, which will see the company add comics from Marvel, Star Wars, and other affiliated brands. The tax prep H&R Block () (-8%) took the offseason in stride, beating on revenue, but missing on earnings. However, the real kicker was news that CEO Jeff Jones would depart the firm after nearly a decade. Two days after inking a deal to continue selling key AI chips to China, Advanced Micro Devices () (+6%) is running once again amid reports that its next-gen AI chips could be competitive with market leader Nvidia () (-1%). The semiconductor giant hit its highest point since Jul. 2024 on the news. A double-digit revenue beat and higher guidance couldn't salvage earnings from hyperscaler CoreWeave () (-14%), which dropped yesterday with a nasty surprise: a massive EPS miss. As its core business implies, the company has been spending big to capture rapidly-growing, generational spending from AI-curious giants. Grocery goliath Kroger () (-4%) is the rock at the bottom of the S&P 500 after ecommerce competitor Amazon () announced that it would expand same-day grocery delivery business. The company also said it was seeing greater popularity from Prime customers. Amazon now offers the service in over 1,000 cities; with over 2,300 physical locations (incl. Amazon Fresh, Go, and Whole Foods) helping make last-mile grocery tenable. Cava Caves After Earnings Cava Group () (-16.5%) is this morning's worst performer, collapsing after a large decline in same-store sales, plus a disappointing forward forecast. The company's latest report follows similarly-situated results from competitors Chipotle () and Sweetgreen () . You can see the candle from the earnings drop yesterday, plus a modest recovery today. However, it still has a wayys to go to claw out of this mess. The current decline puts Cava down 39% year-to-date. How did Cava get here? To read more, Earnings Today: Tencent, Cisco, Prudential There are 168 earnings reports on deck for today, per data from TipRanks. Here's a shortlist of the top ten reports anticipated today: At least 54 are 'for sure' for this morning. Atop the list are European ADRs like EON SE () and Vestas Wind Systems AS () . Not far behind, food distribution company Performance Food Group () , crypto asset manager Galaxy Digital GLXY, and Chili's parent Brinker International () are suiting up for their time in the spotlight. After yesterday's inflation report, are no major economic data drops expected today. However, Chicago Fed President Austan Goolsbee and Atlanta Fed President Raphael Bostic are expected to speak at 1:00 p.m. ET and 1:30 p.m. ET respectively. Stock Market Today: Dow and Russell surge as Fed talk continues first appeared on TheStreet on Aug 13, 2025 This story was originally reported by TheStreet on Aug 13, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Fast Company
an hour ago
- Fast Company
Hailey Bieber's Rhode skincare brand to launch in Sephora in September
A month after its $1 billion acquisition by E.l.f. Beauty, Hailey Bieber's skincare brand Rhode is heading to Sephora. Beginning September 4, the 3-year-old brand will be carried by all of the retailer's freestanding stores in the U.S. and Canada as well as on its website. Rhode's first permanent entry into brick-and-mortar comes on the heels of its explosive growth. The company doubled its consumer base over the past year, driving a total of $212 million in net sales in the 12 months that ended March 31. Rhode has had particular success on TikTok Shop, where it's sold more than 112,000 units of its hero products, including pocket blushes, lip tints, and a curated edit of skincare items designed to achieve what Bieber frequently describes as a 'glazed donut' look (moisturized and ultra-glossy). Sales were helped, in part, by Bieber's social presence. She has 55 million Instagram followers and more than 16 million followers on TikTok. Ingredients for success Though some newer celebrity brands have struggled in recent years, Rhode CEO Nick Vlahos credits his company's success to its responsible approach to launching new products, growing sustainably and maintaining good margins before expanding. Rhode regularly sells out of limited-drop products, and presold its lip glosses to Bieber's Instagram followers before they even launched. Vlahos, who joined Rhode in February after leading the Honest Company, said that entering brick-and-mortar retail was always part of the plan, especially as Rhode eyes international expansion. The brand will enter Sephora UK later in the fall, and E.l.f's international presence could help with further expansion and distribution globally. Vlahos also highlights how Sephora's digital prowess can help a digitally native brand like Rhode better market to customers in different areas. 'Sephora really has the ability from a targeting perspective to better geotarget within their respective marketplace,' he says. Priya Venkatesh, Sephora's global chief merchandiser, says Rhode's ingredient-focused approach to marketing could appeal to consumers who are looking to get into skincare but feel daunted by so many options. 'Rhode is a great invitation into beauty for anyone who's not feeling comfortable with the current complexity or who finds the category a bit intimidating,' she says. Venkatesh notes that Sephora saw 2 million unique searches for Rhode on its own site before the partnership was announced. As a result, the company decided to launch Rhode in all freestanding stores immediately, rather than doing a slow rollout. Sephora Shelf Life Key to the partnership is translating Rhode's minimalist aesthetic into physical stores. Rhode established its visual identity through striking and surprising ad campaigns that have gone viral on social media—from getting singer Tate McRae to model alongside life-size peptide-infused lip pencils to having Babygirl actor Harris Dickinson promote the brand's new face mist. This past year, these viral campaigns led to a 367% rise in earned media. Last year, Rhode brought its visual identity into pop-ups in Los Angeles, New York, Toronto, and London. Fans of the brand lined up for hours to purchase products and re-create viral 'strawberry girl' or 'latte' makeup looks popularized by Bieber. Roughly a thousand customers lined up for the brand's New York pop-up, and some queued for more than seven hours in the London rain for that event. The pop-ups included design elements from the brand's packaging, like rounded corners, monochrome colors, and stark lighting. In a move from Glossier's Sephora playbook, Rhode designed custom shelving and displays—similar to the ones from its pop-ups—that will help the brand stand out in store. 'Customers can expect glossy grey buildouts with sleek, soft edges and mirror moments for content. It's what our community knows and expects from Rhode, now brought to life in a retail environment,' Bieber said in an emailed statement.
