Astera Labs, Inc. (ALAB)

Business overview

Astera Labs exhibits high underlying operational profitability, highlighted by a 75.7% gross margin and a 20.3% operating margin. Its strong free cash flow margin of 33.1% demonstrates an ability to convert revenue efficiently into cash. These factors contribute to a Financial Quality pillar score of 62 out of 100.

Financial health

The company maintains a Balance Sheet score of 60 out of 100, supported by its robust 33.1% FCF margin which provides internal funding capability. However, specific liquidity ratios and total debt figures are unavailable in the provided dataset. This lack of complete balance sheet breakdown adds financial structure uncertainty.

Gross Margin

75.7%

Operating Margin

20.3%

Current Ratio

10.2x

Debt / Equity

Data unavailable

Free Cash Flow (TTM)

$0.3B

Interest Coverage

Data unavailable

Valuation

Valuation metrics reflect a substantial growth premium, driving a low Valuation pillar score of 28 out of 100. The stock trades at a price-to-earnings ratio of 92.3, a price-to-sales ratio of 27.13, and offers a low FCF yield of 1%. Furthermore, EV to EBITDA data is unavailable for comparison.

P/E (TTM)

92.3x

Forward P/E

Data unavailable

Price / Sales

27.1x

EV / EBITDA

Data unavailable

FCF Yield

1.0%

Key risks

• Elevated valuation multiples including a 92.3 P/E ratio and 27.13 P/S ratio.
• Short-term technical weakness with price trading 13.1% below the 50-day moving average.
• Low free cash flow yield of 1% offers limited valuation safety.