Astera Labs, Inc.

ALABdata completeness 88%4 fiscal years on file

Data notes: no data for concept 'totalDebt'; no data for concept 'interestExpense'

The thesis, from the filings

Astera Labs, Inc. earns about 5% on invested capital, below its ~9% cost of capital, but has diluted owners by 425% over 4 years — no moat visible in the numbers. The estimate methods put fair value between $11.06 and $11.92 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2022FY 2023FY 2024FY 2025
Revenue$79.9M1$115.8M2$396.3M2$852.5M2
Net income−$58.3M3−$26.3M4−$83.4M4$219.1M4
Operating cash flow−$35.9M5−$12.7M6$136.7M6$319.3M6
Capital expenditure$3.87M7$2.76M8$34.2M8$37.5M8
Free cash flow (derived)−$39.8M5−$15.5M6$102.4M6$281.8M6
Total debt
Cash & equivalents$76.1M9$45.1M10$79.6M11$167.6M11
Diluted shares34.2M37.1M131.3M179.6M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$75.95
your share of equity
Profit it earned you last year
$12.2
Free cash flow it threw off
$15.69
Debt you’d be carrying

10 shares is a claim on $75.95 of net worth that earned you $12.2 and generated $15.69 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
5% avg · 4y
FY22 FY23 FY24 -7%FY25 18%

It earned about 5% on invested capital against a ~9% cost of capital — below the cost of funding. The numbers show no moat.

seeing a moat in the numbers →
Management signal · capital allocation
+425% shares · 4y

Share count is up 425% over 4 years — owners have been diluted. Worth asking what they got for it.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 2 estimate methods that apply put fair value between $11.06 and $11.92 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$11.92
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth5.0%
  • fcfBase$102.4M
DCF · Growth Exit 5Y
$11.06
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth5.0%
  • fcfBase$102.4M
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
$14.44
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years5.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $11.06
The three cases
Bear0.0%$9.08
Base5.0%$11.06
Bull10.0%$13.42

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 5.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2022-12-31 · accession 0001736297-25-000003 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2023-12-31 · accession 0001736297-26-000010 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2022-12-31 · accession 0001736297-25-000003 (NetIncomeLoss)
  4. 10-K · period ending 2023-12-31 · accession 0001736297-26-000010 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001736297-25-000003 (NetCashProvidedByUsedInOperatingActivities)
  6. 10-K · period ending 2023-12-31 · accession 0001736297-26-000010 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2022-12-31 · accession 0001736297-25-000003 (PaymentsToAcquirePropertyPlantAndEquipment)
  8. 10-K · period ending 2023-12-31 · accession 0001736297-26-000010 (PaymentsToAcquirePropertyPlantAndEquipment)
  9. 10-K · period ending 2022-12-31 · accession 0001736297-26-000010 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  10. 10-K · period ending 2023-12-31 · accession 0001736297-25-000003 (CashAndCashEquivalentsAtCarryingValue)
  11. 10-K · period ending 2024-12-31 · accession 0001736297-26-000010 (CashAndCashEquivalentsAtCarryingValue)