Astera Labs, Inc. (ALAB) Jumped By A Whopping 288% After Cramer Said It Seemed "Too Expensive"

We recently published Jim Cramer’s 20 Bold AI Predictions – See How They Played Out! Astera Labs, Inc. (NASDAQ:ALAB) is one of the stocks Jim Cramer recently discussed.

Astera Labs, Inc. (NASDAQ:ALAB) is a computer hardware company that sells products used in AI servers. Since Cramer’s comments, the shares have gained a whopping 288%. During this time period, Astera Labs, Inc. (NASDAQ:ALAB) has seen some turbulence. For instance, its shares fell by 28% during January’s DeepSeek selloff, which saw investors dump AI stocks on the back of worries about lower infrastructure spending. However, in November 2024, Astera Labs, Inc. (NASDAQ:ALAB)’s shares had jumped by a whopping 37% after the firm’s third quarter earnings. In August 2025, the shares jumped by another 29% as Astera Labs, Inc. (NASDAQ:ALAB)’s Q2 earnings impressed investors. As for Cramer, here’s what he had said about the firm in August 2024:

“The ninth-largest deal of the year is Astera Labs, which makes connectivity solutions for AI and cloud infrastructure—nice buzzwords there, but it sounds enticing. I didn’t like that it spiked 72% right out the gate—I told you so a few days later—just seemed way too expensive.”

While we acknowledge the potential of ALAB as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.