Astera Labs, Inc. designs, manufactures, and sells semiconductor-based connectivity solutions for cloud and AI infrastructure. Its Intelligent Connectivity Platform is comprised of a portfolio of data, network, and memory connectivity products, which are built on a unifying software-defined architecture that enables customers to deploy and operate high performance cloud and AI infrastructure at scale. The company was incorporated in 2017 and is based in Santa Clara, California.

Astera Labs, Inc.

Astera Labs ALAB is rapidly expanding its portfolio to address the growing demands of AI infrastructure and connectivity solutions.
The company has emerged as a key player in next-generation data center connectivity, with a full-stack portfolio spanning PCIe 6.0, Ultra Accelerator (UA) Link and CXL 3.0. An innovative portfolio supported by strong demand from hyperscalers is expected to drive top-line growth over the long term.
ALAB’s expanding portfolio has been noteworthy. ALAB recently became part of the Arm Total Design ecosystem. This allows its Intelligent Connectivity Platform to work with Arm Neoverse Compute Subsystems. It enables chiplet-based custom AI infrastructure solutions with improved PCIe, Ethernet, CXL and UALink connectivity. This leads to faster and more compatible system development.
With the AI industry projected to grow significantly, Astera Labs is well-positioned to address the $5 billion market opportunity in scale-up connectivity by 2030. Its strategic partnerships with major players like NVIDIA, AMD and Alchip Technologies, along with its focus on innovation, ensure that the company remains at the forefront of the AI infrastructure revolution.
Strong demand for Aries, Taurus and Scorpio product families is expected to drive growth in the third quarter of 2025. The company expects third-quarter 2025 revenues between $203 million and $210 million, suggesting an increase in the range of 6% to 9% sequentially.
ALAB Suffers From Stiff Competition
ALAB is facing stiff competition from other industry players, such as Broadcom AVGO and Marvell Technology MRVL, which are also making strong efforts in the AI Infrastructure market.
Broadcom’s expanding portfolio has been noteworthy. The company announced that Tomahawk 6 – Davisson (TH6-Davisson), Broadcom’s third-generation Co-Packaged Optics Ethernet switch, is now being shipped. TH6-Davisson is specifically designed for the accelerating demands of AI networking, as it delivers an unprecedented 102.4 terabits per second of optically enabled switching capacity.
Marvell Technology recently expanded its connectivity portfolio with its new active copper cable linear equalizers. These devices use Marvell’s PAM4 technology to improve signal reach and efficiency for 800G and 1.6T copper connections in next-generation AI data centers.
ALAB’s Share Price Performance, Valuation, and Estimates
ALAB shares have risen 19% year to date, underperforming the broader Zacks Computer & Technology sector’s return of 23.9%. The Zacks Internet - Software industry has increased 19.3% in the same time frame.
ALAB Stock's Performance
Image Source: Zacks Investment Research
ALAB stock is trading at a premium, with a forward 12-month Price/Sales of 27.21X compared with the Internet - Software industry’s 5.58X. ALAB has a Value Score of F.
Price/Sales (F12M)
Image Source: Zacks Investment Research
The consensus mark for 2025 earnings is pegged at $1.58 per share, which remained unchanged over the past 30 days, suggesting 88.10% year-over-year growth.
Astera Labs, Inc. Price and Consensus
Astera Lab currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

ALAB Rides on Accelerating AI Infrastructure Demand: What's Ahead?

Below is Validea's guru fundamental report for ASTERA LABS INC (ALAB). Of the 22 guru strategies we follow, ALAB rates highest using our Quantitative Momentum Investor model based on the published strategy of Wesley Gray. This momentum model looks for stocks with strong and consistent intermediate-term relative performance.
ASTERA LABS INC (ALAB) is a large-cap growth stock in the Semiconductors industry. The rating using this strategy is 77% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of ASTERA LABS INC
ALAB Guru Analysis
More Information on Wesley Gray
Wesley Gray Portfolio
About Wesley Gray: Wesley Gray is the founder of Alpha Architect and the author (along with co-author Jack Vogel) of "Quantitative Momentum A Practitioner's Guide to Building a Momentum-Based Stock Selection System". He is also the author (along with co-author Tobias Carlisle) of "Quantitative Value: A Practitioner's Guide to Automating Intelligent Investment and Eliminating Behavioral Errors". He is an industry recognized expert in the application of quantitative investing strategies. Wes is also a former Marine and has his Phd from the Univerisity of Chicago, where he studied under Nobel Prize winner Eugene Fama.
Additional Research Links
High Momentum Stocks
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

ALAB Factor-Based Stock Analysis

The S&P 500 Index ($SPX) (SPY) on Monday closed up +1.07%, the Dow Jones Industrials Index ($DOWI) (DIA) closed up +1.12%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed up +1.30%. December E-mini S&P futures (ESZ25) rose +1.12%, and December E-mini Nasdaq futures (NQZ25) rose +1.32%.
Stock index futures rallied on Monday and added to last Friday’s gains, with the S&P 500 and Nasdaq 100 posting 1-week highs, and the Dow Jones Industrials posting a 1.5-week high. Market sentiment has improved as US-China trade tensions eased after President Trump on Sunday said that “I think we’re going to be fine with China.” Stocks are also seeing support from optimism that Q3 earnings results will continue to surprise to the upside. Carry-over support from rallies in European and Japanese stocks to record highs on Monday also underpinned US stocks. Additionally, lower bond yields are supportive of stocks as the 10-year T-note yield fell -3 bp on Monday to 3.98%.
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Treasury Secretary Bessent said the US and China will hold talks this week in Malaysia to prepare for President Trump’s meeting with Chinese President Xi Jinping later this month on the sidelines of the Asia-Pacific Economic Cooperation conference in South Korea.
Better-than-expected Chinese economic news is supportive of global growth prospects. China Q3 GDP rose +1.1% q/q and +4.8% y/y, stronger than expectations of +0.8% q/q and +4.7% y/y. Also, China’s Sep industrial production rose +6.5% y/y, stronger than expectations of +5.0% y/y. In addition, China’s Sep jobless rate unexpectedly fell -0.1 to 5.2%, showing a stronger labor market than expectations of no change at 5.3%.
The shutdown of the US government continues into its fourth week, weighing on market sentiment and delaying key economic reports. The government shutdown means delays in the release of government reports, including the last three weeks of weekly initial unemployment claims and the Sep payroll report. The Bureau of Labor Statistics (BLS) said the September consumer price report, which was initially scheduled to be released last Wednesday, will be released this Friday. The White House has warned that if the government shutdown lingers, it would trigger widespread dismissals of employees in government programs that don’t align with President Trump’s priorities. Bloomberg Economics estimates that 640,000 federal workers will be furloughed during the shutdown, which would expand jobless claims and push the unemployment rate up to 4.7%.
Trade tensions between the US and China, the ongoing US government shutdown, and fears about credit quality in the US have sparked a buying spree in precious metals as a haven, with gold and silver reaching fresh all-time highs last Friday.
The markets this week will focus on earnings results as the Q3 earnings season continues. Rising corporate earnings expectations are a bullish backdrop for stocks. According to Bloomberg Intelligence, 85% of the S&P 500 companies that have reported so far have beaten forecasts. Also, more than 22% of companies in the S&P 500 that have provided guidance for their Q3 earnings results are expected to beat analysts’ expectations, the highest in a year. However, Q3 profits are expected to have risen by +7.2% y/y, the smallest increase in two years. Also, Q3 sales growth is projected to slow to +5.9% y/y from 6.4% in Q2.
The markets are pricing in a 99% chance of a -25 bp rate cut at the next FOMC meeting on Oct 28-29.
Overseas stock markets are higher today. The Euro Stoxx 50 rose to a new record high and closed up +1.31%. China’s Shanghai Composite closed up +0.63%. Japan’s Nikkei Stock 225 rallied to a new record high and closed up sharply by +3.37%.
Interest Rates
December 10-year T-notes (ZNZ5) on Monday closed up +4 ticks. The 10-year T-note yield fell -2.5 bp to 3.984%. T-notes recovered from early losses and moved higher on Monday due to a slide in inflation expectations after the 10-year breakeven inflation rate fell to a 4.25-month low of 2.262%. T-notes also have support due to the ongoing US government shutdown, which could lead to additional job losses, reduced consumer spending, and a weakened US economy, potentially allowing the Fed to continue cutting interest rates.
Strength in stocks on Monday curbed safe-haven demand for government debt securities and limited gains in T-note prices. Also, the easing of US-China trade tensions has curbed safe-haven demand for government debt securities and is undercutting T-note prices after President Trump said things will be “fine” with China.
European government bond yields moved lower on Monday. The 10-year German bund yield fell -0.3 bp to 2.577%. The 10-year UK gilt yield fell -2.6 bp to 4.505%.
German Sep PPI fell -0.1% m/m and -1.7% y/y, weaker than expectations of +0.1% m/m and -1.5% y/y.
Late last Friday, S&P Global Ratings lowered France's sovereign debt credit rating to A+ from AA-, citing the country's budget uncertainty as "elevated" despite the submission of a 2025 draft budget.
Swaps are discounting a 2% chance for a -25 bp rate cut by the ECB at its next policy meeting on October 30.
US Stock Movers
Most Magnificent Seven technology stocks rallied on Monday and provided support to the overall market. Apple (AAPL) closed up more than +3% and Meta Platforms (META) closed up more than +2%. Also, Alphabet (GOOGL), Amazon.com (AMZN), and Tesla (TSLA) closed up more than +1%. In addition, Microsoft (MSFT) closed up +0.63%.
Chipmakers and AI infrastructure stocks moved higher on Monday to support gains in the broader market. Super Micro Computer (SMCI) closed up more than +5%, and ON Semiconductor (ON) and KLA Corp (KLAC) closed up more than +4%. Also, Advanced Micro Devices (AMD), ARM Holdings Plc (ARM), and Microchip Technology (MCHP) closed up more than +3%. In addition, NXP Semiconductors NV (NXPI), Micron Technology (MU), Lam Research (LRCX), GlobalFoundries (GFS), and Intel (INTC) closed up more than +2%.
Cryptocurrency-exposed stocks moved higher on Monday after the price of Bitcoin rose more than +3% following last Friday’s fall to a 3.75-month low. As a result, Coinbase Global (COIN), Galaxy Digital (GLXY), MARA Holdings (MARA), Riot Platforms (RIOT), and Strategy (MSTR) are up more than +2%.
Celcuity Inc. (CELC) closed up more than +35% after reporting “statistically significant” improvement in a trial of its gedatolisib drug in combination with palbociclib and fulvestrant in the treatment of breast cancer patients.
Cleveland-Cliffs (CLF) closed up more than +21% after reporting a Q3 adjusted loss per share of -45 cents, a smaller loss than the consensus of -47 cents. Also, the company said it had entered into an agreement with a “major global steel producer.”
Sable Offshore Corp. (SOC) closed up more than +6% after US Secretary of Energy Wright supported the company’s effort to restart one of its California oil projects that is awaiting state approval.
Cooper Cos. (COO) closed up more than +4% after the Wall Street Journal reported that Jana Partners has built a stake in the company and plans to push for strategic alternatives.
nCino (NCNO) closed up more than +4% after Raymond James upgraded the stock to strong buy from outperform with a price target of $36.
Lululemon Athletica (LULU) closed up more than +2% after BNP Paribas Exane upgraded the stock to neutral from underperform.
Hologic (HOLX) closed up more than +2% on news that Blackstone and TPG Inc. are in advanced negotiations to acquire the company.
AppLovin (APP) closed down more than -5% to lead losers in the S&P 500 and Nasdaq 100 after the New York Times reported that several state regulators have reached out to short sellers in a possible preliminary probe of the company.
Progressive Corp (PGR) closed down more than -2% after Morgan Stanley downgraded the stock to underweight from equal weight with a price target of $214.
Marvell Technology (MRVL) closed down more than -2% after Barclays downgraded the stock to equal weight from overweight.
Astera Labs (ALAB) closed down more than -2% after Barclays downgraded the stock to equal weight from overweight.
Lumentum Holdings (LITE) closed down more than -2% after Barclays downgraded the stock to equal weight from overweight.
Earnings Reports(10/21/2025)
3M Co (MMM), Agree Realty Corp (ADC), Capital One Financial Corp (COF), Chubb Ltd (CB), Coca-Cola Co/The (KO), Danaher Corp (DHR), East West Bancorp Inc (EWBC), Elevance Health Inc (ELV), EQT Corp (EQT), Equifax Inc (EFX), General Electric Co (GE), General Motors Co (GM), Genuine Parts Co (GPC), Halliburton Co (HAL), Intuitive Surgical Inc (ISRG), Lockheed Martin Corp (LMT), Manhattan Associates Inc (MANH), Matador Resources Co (MTDR), Mattel Inc (MAT), Nasdaq Inc (NDAQ), Netflix Inc (NFLX), Northrop Grumman Corp (NOC), Omnicom Group Inc (OMC), PACCAR Inc (PCAR), Pegasystems Inc (PEGA), Pentair PLC (PNR), Philip Morris International Inc (PM), PulteGroup Inc (PHM), Quest Diagnostics Inc (DGX), RTX Corp (RTX), Texas Instruments Inc (TXN), Valmont Industries Inc (VMI), Weatherford International PLC (WFRD), Western Alliance Bancorp (WAL).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Stocks Rally on Easing Trade Tensions and Solid Q3 Earnings

The S&P 500 Index ($SPX) (SPY) today is up +1.01%, the Dow Jones Industrials Index ($DOWI) (DIA) is up +0.86%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +1.29%. December E-mini S&P futures (ESZ25) are up +1.01%, and December E-mini Nasdaq futures (NQZ25) are up +1.31%.
Stock index futures are climbing today and adding to last Friday’s gains, with the S&P 500 and Nasdaq 100 posting 1-week highs. Market sentiment has improved as US-China trade tensions eased after President Trump on Sunday said that “I think we’re going to be fine with China.” Stocks are also seeing support from optimism that Q3 earnings results will continue to surprise to the upside.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Treasury Secretary Bessent said the US and China will hold talks this week in Malaysia to prepare for President Trump’s meeting with Chinese President Xi Jinping later this month on the sidelines of the Asia-Pacific Economic Cooperation conference in South Korea.
Better-than-expected Chinese economic news is supportive of global growth prospects. China Q3 GDP rose +1.1% q/q and +4.8% y/y, stronger than expectations of +0.8% q/q and +4.7% y/y. Also, China’s Sep industrial production rose +6.5% y/y, stronger than expectations of +5.0% y/y. In addition, the China’s Sep jobless rate unexpectedly fell -0.1 to 5.2%, showing a stronger labor market than expectations of no change at 5.3%.
The shutdown of the US government continues into its fourth week, weighing on market sentiment and delaying key economic reports. The government shutdown means delays in the release of government reports, including the last three weeks of weekly initial unemployment claims and the Sep payroll report. The Bureau of Labor Statistics (BLS) said the September consumer price report, which was originally scheduled to be released last Wednesday, will be released this Friday. The White House has warned that if the government shutdown lingers, it would trigger widespread dismissals of employees in government programs that don’t align with President Trump’s priorities. Bloomberg Economics estimates that 640,000 federal workers will be furloughed during the shutdown, which would expand jobless claims and push the unemployment rate up to 4.7%.
Trade tensions between the US and China, the ongoing US government shutdown, and fears about credit quality in the US have sparked a buying spree in precious metals as a haven, with gold and silver reaching fresh all-time highs last Friday.
The markets this week will focus on earnings results as the Q3 earnings season continues. Rising corporate earnings expectations are a bullish backdrop for stocks. According to Bloomberg Intelligence, 85% of the S&P 500 companies that have reported so far have beaten forecasts. Also, more than 22% of companies in the S&P 500 that have provided guidance for their Q3 earnings results are expected to beat analysts’ expectations, the highest in a year. However, Q3 profits are expected to have risen by +7.2% y/y, the smallest increase in two years. Also, Q3 sales growth is projected to slow to +5.9% y/y from 6.4% in Q2.
The markets are pricing in a 99% chance of a -25 bp rate cut at the next FOMC meeting on Oct 28-29.
Overseas stock markets are higher today. The Euro Stoxx 50 rose to a 2-week high and is up +0.96%. China’s Shanghai Composite closed up +0.63%. Japan’s Nikkei Stock 225 rallied to a new record high and closed up sharply by +3.37%.
Interest Rates
December 10-year T-notes (ZNZ5) today are up +2 ticks. The 10-year T-note yield is down -1.0 bp to 3.999%. T-notes recovered from early losses and turned higher today due to a slide in inflation expectations after the 10-year breakeven inflation rate fell to a 4.25-month low of 2.266%. T-notes also have support due to the ongoing US government shutdown, which could lead to additional job losses, reduced consumer spending, and a weakened US economy, potentially allowing the Fed to continue cutting interest rates.
Strength in stocks today has curbed safe-haven demand for government debt securities and is limiting gains in T-note prices. Also, the easing of US-China trade tensions has curbed safe-haven demand for government debt securities and is undercutting T-note prices after President Trump said things will be “fine” with China.
European government bond yields are mixed today. The 10-year German bund yield is up +0.7 bp to 2.588%. The 10-year UK gilt yield is down -1.5 bp to 4.516%.
German Sep PPI fell -0.1% m/m and -1.7% y/y, weaker than expectations of +0.1% m/m and -1.5% y/y.
Late last Friday, S&P Global Ratings lowered France's sovereign debt credit rating to A+ from AA-, citing the country's budget uncertainty as "elevated" despite the submission of a 2025 draft budget.
Swaps are discounting a 2% chance for a -25 bp rate cut by the ECB at its next policy meeting on October 30.
US Stock Movers
The Magnificent Seven technology stocks are moving higher today to lend support to the overall market. Apple (AAPL) is up more than +3% and Meta Platforms (META) is up more than +1%. Also, Alphabet (GOOGL), Amazon.com (AMZN), and Tesla (TSLA) up more than +1%. In addition, Microsoft (MSFT) is up +0.84% and Nvidia (NVDA) is up +0.40%.
Chipmakers and AI infrastructure stocks are moving higher today to support gains in the broader market. ON Semiconductor (ON) is up more than +7% to lead gainers in the Nasdaq 100 and Super Micro Computer (SMCI) is up more than +6%. Also, KLA Corp (KLAC) is up more than +4%, and Micron Technology (MU), Lam Research (LRCX), Microchip Technology (MCHP), and ARM Holdings Plc (ARM) are up more than +3%. In addition, GlobalFoundries (GFS), NXP Semiconductors NV (NXPI), Applied Materials (AMAT), and Intel (INTC) are up more than +2%.
Cryptocurrency-exposed stocks are climbing today with the price of Bitcoin up more than +3% following last Friday’s fall to a 3.75-month low. As a result, Coinbase Global (COIN), Galaxy Digital (GLXY), MARA Holdings (MARA), Riot Platforms (RIOT), and Strategy (MSTR) are up more than +3%.
Celcuity Inc. (CELC) is up more than +45% after reporting “statistically significant” improvement in a trial of its gedatolisib drug in combination with palbociclib and fulvestrant in treatment of breast cancer patients.
Cleveland-Cliffs (CLF) is up more than +22% after reporting a Q3 adjusted loss per share of -45 cents, a smaller loss than the consensus of -47 cents. Also, the company said it had entered into an agreement with a “major global steel producer.”
Sable Offshore Corp. (SOC) is up more than +6% after US Secretary of Energy Wright supported the company’s effort to restart one of its California oil projects that is awaiting state approval.
Lululemon Athletica (LULU) is up more than +4% after BNP Paribas Exane upgraded the stock to neutral from underperform.
Cooper Cos. (COO) is up more than +4% after the Wall Street Journal reported that Jana Partners has built as take in the company and plans to push for strategic alternatives.
nCino (NCNO) is up more than +4% after Raymond James upgraded the stock to strong buy from outperform with a price target of $36.
Hologic (HOLX) is up more than +2% on news that Blackstone and TPG Inc are in advanced negotiations to acquire the company.
AppLovin (APP) is down more than -3% to lead losers in the S&P 500 and Nasdaq 100 after the New York Times reported that several state regulators have reached out to short sellers in a possible preliminary probe of the company.
Progressive Corp (PGR) is down more than -2% after Morgan Stanley downgraded the stock to underweight from equal weight with a price target of $214.
Marvell Technology (MRVL) is down more than -2% after Barclays downgraded the stock to equal weight form overweight.
Rivian Automotive (RIVN) is down more than -1% after Mizuho Securities downgraded the stock to underperform from neutral with a price target of $10.
Astera Labs (ALAB) is down more than -1% after Barclays downgraded the stock to equal weight from overweight.
Earnings Reports(10/20/2025)
AGNC Investment Corp (AGNC), BOK Financial Corp (BOKF), Cleveland-Cliffs Inc (CLF), Crown Holdings Inc (CCK), RLI Corp (RLI), Steel Dynamics Inc (STLD), Summit Therapeutics Inc (SMMT), W R Berkley Corp (WRB), Wintrust Financial Corp (WTFC), Zions Bancorp NA (ZION).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Stocks Supported by Trade Hopes and Earnings Optimism

The S&P 500 Index ($SPX) (SPY) today is up +0.71%, the Dow Jones Industrials Index ($DOWI) (DIA) is up +0.51%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +0.89%. December E-mini S&P futures (ESZ25) are up +0.75%, and December E-mini Nasdaq futures (NQZ25) are up +0.91%.
Stock index futures are climbing today and adding to last Friday’s gains, with the Nasdaq 100 posting a 1-week high. Market sentiment improved after as US-China trade tensions eased after President Trump on Sunday said that “I think we’re going to be fine with China.” Stocks are also seeing support from optimism that Q3 earnings results will continue to surprise to the upside.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Treasury Secretary Bessent said the US and China will hold talks this week in Malaysia to prepare for President Trump’s meeting with Chinese President Xi Jinping later this month on the sidelines of the Asia-Pacific Economic Cooperation conference in South Korea.
Better-than-expected Chinese economic news is supportive of global growth prospects. China Q3 GDP rose +1.1% q/q and +4.8% y/y, stronger than expectations of +0.8% q/q and +4.7% y/y. Also, China’s Sep industrial production rose +6.5% y/y, stronger than expectations of +5.0% y/y. In addition, the China’s Sep jobless rate unexpectedly fell -0.1 to 5.2%, showing a stronger labor market than expectations of no change at 5.3%.
The shutdown of the US government continues into its fourth week, weighing on market sentiment and delaying key economic reports. The government shutdown means delays in the release of government reports, including the last three weeks of weekly initial unemployment claims and the Sep payroll report. The Bureau of Labor Statistics (BLS) said the September consumer price report, which was originally scheduled to be released last Wednesday, will be released this Friday. The White House has warned that if the government shutdown lingers, it would trigger widespread dismissals of employees in government programs that don’t align with President Trump’s priorities. Bloomberg Economics estimates that 640,000 federal workers will be furloughed during the shutdown, which would expand jobless claims and push the unemployment rate up to 4.7%.
Trade tensions between the US and China, the ongoing US government shutdown, and fears about credit quality in the US have sparked a buying spree in precious metals as a haven, with gold and silver reaching fresh all-time highs last Friday.
The markets this week will focus on earnings results as the Q3 earnings season continues. Rising corporate earnings expectations are a bullish backdrop for stocks. According to Bloomberg Intelligence, 85% of the S&P 500 companies that have reported so far have beaten forecasts. Also, more than 22% of companies in the S&P 500 that have provided guidance for their Q3 earnings results are expected to beat analysts’ expectations, the highest in a year. However, Q3 profits are expected to have risen by +7.2% y/y, the smallest increase in two years. Also, Q3 sales growth is projected to slow to +5.9% y/y from 6.4% in Q2.
The markets are pricing in a 99% chance of a -25 bp rate cut at the next FOMC meeting on Oct 28-29.
Overseas stock markets are higher today. The Euro Stoxx 50 rose to a 2-week high and is up +0.96%. China’s Shanghai Composite closed up +0.63%. Japan’s Nikkei Stock 225 rallied to a new record high and closed up sharply by +3.37%.
Interest Rates
December 10-year T-notes (ZNZ5) today are up +3 ticks. The 10-year T-note yield is down -1.7 bp to 3.992%. T-notes recovered from early losses and turned higher today due to a slide in inflation expectations after the 10-year breakeven inflation rate fell to a 4.25-month low of 2.267%. T-notes also have support due to the ongoing US government shutdown, which could lead to additional job losses, reduced consumer spending, and a weakened US economy, potentially allowing the Fed to continue cutting interest rates.
Strength in stocks today has curbed safe-haven demand for government debt securities and is limiting gains in T-note prices. Also, the easing of US-China trade tensions has curbed safe-haven demand for government debt securities and is undercutting T-note prices after President Trump said things will be “fine” with China.
European government bond yields are mixed today. The 10-year German bund yield is up +0.1 bp to 2.581%. The 10-year UK gilt yield is down -2.1 bp to 4.509%.
German Sep PPI fell -0.1% m/m and -1.7% y/y, weaker than expectations of +0.1% m/m and -1.5% y/y.
Late last Friday, S&P Global Ratings lowered France's sovereign debt credit rating to A+ from AA-, citing the country's budget uncertainty as "elevated" despite the submission of a 2025 draft budget.
Swaps are discounting a 2% chance for a -25 bp rate cut by the ECB at its next policy meeting on October 30.
US Stock Movers
Most of the Magnificent Seven technology stocks are moving higher today to lend support to the overall market. Apple (AAPL) is up more than +2%, and Tesla (TSLA), Alphabet (GOOGL), and Meta Platforms (META) are up more than +1%. Also, Amazon.com (AMZN) is up +0.74% and Microsoft (MSFT) is up +0.33%.
Chipmakers and AI infrastructure stocks are moving higher today to support gains in the broader market. Super Micro Computer (SMCI) is up more than +7% to lead gainers in the S&P 500, and ON Semiconductor (ON) is up more than +4% to lead gainers in the Nasdaq 100. Also, Micron Technology (MU), Lam Research (LRCX), and KLA Corp (KLAC) are up more than +3%. In addition, Intel (INTC), Microchip Technology (MCHP), and ARM Holdings Plc (ARM) are up more than -2%.
Cryptocurrency-exposed stocks are climbing today with the price of Bitcoin up more than +3% following last Friday’s fall to a 3.75-month low. As a result, Coinbase Global (COIN), Galaxy Digital (GLXY), MARA Holdings (MARA), Riot Platforms (RIOT), and Strategy (MSTR) are up more than +3%.
Celcuity Inc. (CELC) is up more than +51% after reporting “statistically significant” improvement in a trial of its gedatolisib drug in combination with palbociclib and fulvestrant in treatment of breast cancer patients.
Sable Offshore Corp. (SOC) is up more than +6% after US Secretary of Energy Wright supported the company’s effort to restart one of its California oil projects that is awaiting state approval.
Cleveland-Cliffs (CLF) is up more than +15% after reporting a Q3 adjusted loss per share of -45 cents, a smaller loss than the consensus of -47 cents.
Lululemon Athletica (LULU) is up more than +4% after BNP Paribas Exane upgraded the stock to neutral from underperform.
Cooper Cos. (COO) is up more than +4% after the Wall Street Journal reported that Jana Partners has built as take in the company and plans to push for strategic alternatives.
nCino (NCNO) is up more than +4% after Raymond James upgraded the stock to strong buy from outperform with a price target of $36.
Hologic (HOLX) is up more than +2% on news that Blackstone and TPG Inc are in advanced negotiations to acquire the company.
Rivian Automotive (RIVN) is down more than -2% after Mizuho Securities downgraded the stock to underperform from neutral with a price target of $10.
Skyworks Solutions (SWKS) is down more than -1% after Mizuho Securities downgraded the stock to underperform from neutral with a price target of $60.
Progressive Corp (PGR) is down more than -1% after Morgan Stanley downgraded the stock to underweight from equal weight with a price target of $214.
Astera Labs (ALAB) is down nearly -1% after Barclays downgraded the stock to equal weight from overweight.
Earnings Reports(10/20/2025)
AGNC Investment Corp (AGNC), BOK Financial Corp (BOKF), Cleveland-Cliffs Inc (CLF), Crown Holdings Inc (CCK), RLI Corp (RLI), Steel Dynamics Inc (STLD), Summit Therapeutics Inc (SMMT), W R Berkley Corp (WRB), Wintrust Financial Corp (WTFC), Zions Bancorp NA (ZION).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Stocks Rise as US-China Trade Tensions Ease

In today's video, I discuss recent updates impacting Advanced Micro Devices (NASDAQ: AMD), Nvidia (NASDAQ: NVDA), and other AI stocks. To learn more, check out the short video, consider subscribing, and click the special offer link below.
*Stock prices used were the after-market prices of October 14, 2025. The video was published on October 14, 2025.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

What AMD, Oracle, Nvidia, and Intel Shareholders Should Know About the Recent Flood of AI Updates

Amphenol APH is riding on strong growth in the Communications Solutions segment, which generates more than half of the company's revenues. In the second quarter of 2025, Amphenol reported segment sales of $2.91 billion, up 101.4% year over year and 78% organically.
The Communications Solutions segment offers a broad range of connector and interconnect systems, including high speed, radio frequency, power, fiber optic and other products, coaxial and high-speed cable, as well as antennas. A key driver behind the segment’s strong growth has been the surging demand for advanced interconnect solutions that support cloud data centers, next-generation 5G networks, and rapidly expanding AI infrastructure.
The segment serves automotive, broadband communications, commercial aerospace and defense, IT Datacom, industrial, mobile devices and mobile networks markets. A strong portfolio, along with a plethora of acquisitions — CIT, Lutze, CommScope’s (COMM) Andrew business, LifeSync, Narda-MITEQ, XMA and Q Microwave — is expected to drive segment revenues.
In early August, Amphenol announced a definitive agreement to acquire CommScope’s Connectivity and Cable Solutions (“CCS”) business for $10.5 billion in cash. The deal expands Amphenol’s interconnect product capabilities in the fast-growing IT datacom market. The CCS acquisition will diversify Amphenol’s broad portfolio of fiber optic and other interconnect product solutions in the communications networks and industrial markets.
How Rivals Stack Up Against APH in the Communications Race
Amphenol is facing stiff competition from the likes of TE Connectivity TEL and Astera Labs ALAB.
TE Connectivity is expected to benefit from strong demand for its solutions in the AI domain as well as energy applications. The company is benefiting from strength in Asia in the Transportation segment, driven by increased data connectivity trends and the ongoing growth of electrified powertrains. TEL expects fourth-quarter fiscal 2025 sales to increase 6% organically on a year-over-year basis to $4.55 billion. TE Connectivity is expected to benefit from strong demand for its solutions in AI domain as well as energy applications.
Astera Labs is rapidly expanding its portfolio to address the growing demands of AI infrastructure and connectivity solutions. It benefits from strong demand for its PCIe solutions, which is noteworthy. Expanding portfolio has been remarkable.
In 2025, Astera Labs announced that its PCIe 6 connectivity portfolio is ramping up production to fast-track the deployment of modern AI platforms at scale. The offerings include new Aries 6 PCIe Smart Gearbox, Scorpio P-Series Smart Fabric Switches, Aries 6 PCIe/CXL Smart DSP Retimers, Aries 6 PCIe/CXL Smart Cable Modules (Aries 6 SCMs) and PCIe 6 over Optics Technology.
APH’s Share Price Performance, Valuation & Estimates
Amphenol’s shares have appreciated 80.8% year to date, outperforming the broader Zacks Computer & Technology sector’s 23% growth.
APH’s YTD Price Performance
Image Source: Zacks Investment Research
Amphenol shares are trading at a premium, as suggested by a Value Score of D. In terms of the forward 12-month price-to-earnings (P/E), APH is trading at 37.86X, higher than the sector’s 29.25X.
APH’s Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Amphenol’s 2025 earnings is pegged at $3.03 per share, which has remained unchanged over the past 30 days. The figure indicates a 60.3% increase year over year.
Amphenol Corporation Price and Consensus
APH’s currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

APH's Communications Segment Rides on Strong Portfolio: What's Ahead?

Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in Astera Labs Inc (Symbol: ALAB), where a total volume of 56,749 contracts has been traded thus far today, a contract volume which is representative of approximately 5.7 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 82.8% of ALAB's average daily trading volume over the past month, of 6.9 million shares. Especially high volume was seen for the $160 strike put option expiring October 17, 2025, with 1,638 contracts trading so far today, representing approximately 163,800 underlying shares of ALAB. Below is a chart showing ALAB's trailing twelve month trading history, with the $160 strike highlighted in orange:
First Solar Inc (Symbol: FSLR) options are showing a volume of 17,762 contracts thus far today. That number of contracts represents approximately 1.8 million underlying shares, working out to a sizeable 80.1% of FSLR's average daily trading volume over the past month, of 2.2 million shares. Especially high volume was seen for the $380 strike call option expiring January 15, 2027, with 3,400 contracts trading so far today, representing approximately 340,000 underlying shares of FSLR. Below is a chart showing FSLR's trailing twelve month trading history, with the $380 strike highlighted in orange:
And Root Inc (Symbol: ROOT) saw options trading volume of 3,976 contracts, representing approximately 397,600 underlying shares or approximately 77.6% of ROOT's average daily trading volume over the past month, of 512,445 shares. Particularly high volume was seen for the $80 strike call option expiring October 17, 2025, with 781 contracts trading so far today, representing approximately 78,100 underlying shares of ROOT. Below is a chart showing ROOT's trailing twelve month trading history, with the $80 strike highlighted in orange:
For the various different available expirations for ALAB options, FSLR options, or ROOT options, visit StockOptionsChannel.com.
Also see:
Top Ten Hedge Funds Holding QMMY
CBNK Videos
Top Ten Hedge Funds Holding RCGE
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Noteworthy Tuesday Option Activity: ALAB, FSLR, ROOT

In trading on Tuesday, the Uranium ETF is outperforming other ETFs, up about 2.3% on the day. Components of that ETF showing particular strength include shares of Laramide Resources, up about 12.5% and shares of Denison Mines, up about 8.9% on the day.
And underperforming other ETFs today is the ProShares About the Fund ETF, down about 5.4% in Tuesday afternoon trading. Among components of that ETF with the weakest showing on Tuesday were shares of Astera Labs, lower by about 14.9%, and shares of Intel, lower by about 5.7% on the day.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Tuesday's ETF Movers: URA, USD

Credo Technology Group Holding Ltd CRDO has been one of the top gainers in the semiconductor space. The stock has surged 289.3% in the past six months, outperforming the Electronic-Semiconductors and the broader Computer and Technology sector’s growth of 77.6% and 47.2%, respectively.
Image Source: Zacks Investment Research
The gains are also higher than some of its competitors, including Broadcom AVGO, Marvell Technology MRVL and Astera Labs ALAB. AVGO and MRVL have gained 100.6% and 75% respectively, over the same time frame, while ALAB has skyrocketed 272.7%. ALAB develops advanced interconnect products such as PCIe, CXL and Ethernet semiconductor-based connectivity solutions, which are widely used by hyperscalers and the data center ecosystem.
The rally has been fueled by the company’s strong financial performance amid accelerating demand for AI-driven networking and connectivity solutions.
Investors now have a crucial question: Will this momentum continue, or is it wise to lock in profits after the steep run-up?
Let’s dive into the drivers behind CRDO’s surge and assess whether it still presents a buying opportunity.
CRDO’s Multiple Tailwinds Offer Runway for Growth
CRDO’s latest quarterly results underscore accelerating business momentum as hyperscalers and data center operators aggressively invest in AI infrastructure. Credo’s revenues surged 31% sequentially and a staggering 273.6% year over year to $223.1 million and exceeded management’s revenue guidance of $185 million and $195 million. Non-GAAP gross margin expanded 470 basis points to 67.6% while non-GAAP operating income was $96.2 million compared with $2.2 million reported in the prior year period.
The primary driver behind CRDO’s business momentum is its extensive footprint in the Active Electrical Cables (AECs) space. In the last reported quarter, the AEC product line increased by healthy double digits sequentially. The demand for AECs is increasing as these offer up to 1,000 times more reliability with 50% lower power consumption than optical solutions, added CRDO. The extensive elimination of link fabs or intermittent losses of connection results in increased cluster reliability while lowering power consumption. Management highlighted that one customer is enabling an entire scale-out network to be built with AECs up to seven meters long amid quadrupling of GPU density.
Image Source: Zacks Investment Research
The adoption from intra-rack to rack-to-rack deployments is expected to boost further revenues from this product line. Moreover, the system-level approach provides it with a strong competitive moat. It owns the entire stack of SerDes IP, Retimer ICs, system-level design, qualification and production. This integrated approach allows faster innovation cycles and strong cost efficiency.
Strength in the optical business is another key catalyst. It is investing heavily in both copper and optical solutions to diversify its market position. Its optical DSP segment maintained strong momentum, positioning the company to achieve a doubling of optical revenues again in the current fiscal year. Last month, the company introduced its Bluebird DSP, a high-performance, low-power solution for 1.6Tbps optical transceivers that delivers 224Gbps per lane PAM4 data transmission. Bluebird enables transceivers to operate under 20 watts, making them ideal for dense AI and hyperscale data centers.
Supplementing these two businesses is Credo’s PCIe and Ethernet retimer business. CRDO added that recently launched PCIe retimer solutions were gaining “significant traction” and expects PCIe design wins in 2025 with production revenue in 2026. The PCIe-based solutions for AI scale-up networks expand CRDO’s addressable market. It aims to capture the opportunity presented by the industry’s shift to 200-gig per lane scale-up solutions.
Credo’s recent quarterly performance has validated its positioning as one of the most critical enablers of hyperscaler AI infrastructure buildouts. In the fiscal first quarter, three hyperscalers each contributed over 10% of revenues, and there was a material revenue contribution from a fourth hyperscaler. It expects revenues from the additional hyperscaler to increase throughout fiscal 2026.
Management expects these three to four hyperscalers to surpass 10% of revenues in the upcoming quarters and fiscal year. Two additional hyperscalers are also expected to commence ramping in fiscal 2026. Customer diversification reduces concentration risk.
Focus on Inorganic Expansion Strategy
Recently, Credo acquired Hyperlume, Inc., a privately held developer of miniature light-emitting diode (microLED) technology-based optical interconnects for chip-to-chip communication. With this buyout, CRDO expects to boost its next-generation connectivity solutions as AI, cloud and hyperscale data centers place unprecedented demands on data infrastructure deployments.
Acquisitions like this are valuable for companies as they accelerate access to the latest technologies. These types of buyouts provide valuable tools, technologies and market access that accelerate and amplify organic growth. With Hyperlume, CRDO now has access to this innovative optical technology, which broadens the portfolio, positioning it to serve customers seeking to expand AI networks cost-effectively to handle escalating workloads from large datasets and parallel processing.
Given the strong tailwinds, analysts have significantly revised their earnings estimates for the current year.
Image Source: Zacks Investment Research
Nonetheless, increasing market competition from Broadcom and Marvell Technology and macroeconomic uncertainties and tariff troubles may impact CRDO’s growth trajectory.
Lofty Valuation: A Concern?
In terms of the forward 12-month Price/Sales ratio, CRDO is trading at 23.7, higher than the Electronic-Semiconductors sector’s multiple of 9.3. Though the valuation may seem lofty, CRDO’s hypergrowth trajectory, high margin expectations and competitive edge in the AEC space justify the premium.
Image Source: Zacks Investment Research
For fiscal 2026, the company anticipates mid-single-digit sequential revenue growth, resulting in roughly 120% year-over-year growth. Non-GAAP net margin is projected to be around 40% both in the upcoming quarters and for fiscal 2026.
Bottom Line: CRDO is a Buy
Credo’s fundamentals remain strong, supported by surging AEC demand, rapid hyperscaler adoption, and expanding optical and PCIe product lines. The Hyperlume acquisition further strengthens its technology stack, thereby giving it a competitive edge.
Given its increasing footprint in next-gen data interconnects’ space and explosive growth trajectory, CRDO remains a compelling investment opportunity.
CRDO flaunts a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Astera Labs, Inc.

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