Toward the stars: Astera Labs (ALAB) stock opened at $52.56 – up $16.56 for a 46 percent gain from its $36.00 IPO price – on NASDAQ at 12:39 p.m. EDT today – Wednesday, March 20, 2024 – and didn’t look back. Volume on Astera Labs’ opening trade was about 2.64 million shares, NASDAQ records show.
Astera’s stock shot higher to $59.84 – up $23.84 from its $36.00 IPO price for a gain of about 66.2 percent – at around 1:23 p.m. EDT on volume of about 10.12 million shares.
The strong NASDAQ debut of Astera Labs (ALAB), the AI-driven semiconductor services company, confirmed the Street’s perception of the IPO on Astera’s path to going public.
“It’s hot. Get what you can,” a veteran IPO trader said earlier this week.
Astera priced its IPO on Tuesday night, March 19, 2024, at $36.00 – $2.00 above its recently increased price range – on 19.8 million shares – the recently increased number of shares in the prospectus – to raise $712.8 million. At pricing, Astera Labs had a market cap of $5.45 billion.
Morgan Stanley, J.P. Morgan, Barclays, Deutsche Bank Securities, Evercore ISI and Jefferies were the joint book-runners.
The pricing reflected the heat surrounding this IPO.
Astera Labs increased its IPO’s size early Monday, March 18, 2024, to 19.8 million shares – up from 17.8 million shares originally – and moved the price range up to $32.00 to $34.00 – up from $27.00 to $30.00 initially – to raise $653.4 million.
Collaborations with NVIDIA, Intel and others – plus strong revenue growth – gave Astera Labs a strong story to tell prospective IPO investors. The company, founded in 2017 in Santa Clara, California, is not yet profitable. For the year ended Dec. 31, 2023, Astera Labs reported a net loss of $26.3 million on revenue of $115.8 million.
(For more information about this company, please check the IPO Calendar and the individual IPO Profile found on our website: IPOScoop.com )
Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.
To see what time the NASDAQ IPOs are expected to trade, please log in to: NASDAQTrader.com then scroll down to IPO Message.
Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions.
Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums) is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions of anyone associated with IPOScoop.com. The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.
in the proposed offering terms and the shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.