Better-Than-Expected Results and Increased Guidance Lifted Astera Labs (ALAB) in Q3

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The letter highlighted the market outlook and top-performing and underperforming stocks. Equity markets continued their upward rally in the third quarter, with the S&P 500 Index up 8.12%. A confluence of improved economic conditions, strong corporate earnings, and anticipation of monetary easing drove the strong performance of the market in the quarter. The Class A shares of the fund outperformed the Russell Midcap Growth Index in the quarter. In addition, please check the fund’s top five holdings to know its best picks in 2025.In its third-quarter 2025 investor letter, Alger Mid Cap Growth Fund highlighted stocks such as Astera Labs, Inc. (NASDAQ:ALAB). Astera Labs, Inc. (NASDAQ:ALAB) engages in the manufacturing of semiconductor-based connectivity solutions for cloud and AI infrastructure. The one-month return of Astera Labs, Inc. (NASDAQ:ALAB) was -3.52%, and its shares have appreciated by 78.31% over the past 52 weeks. On November 12, 2025, Astera Labs, Inc. (NASDAQ:ALAB) stock closed at $157.79 per share, with a market capitalization of $26.651 billion.Alger Mid Cap Growth Fund stated the following regarding Astera Labs, Inc. (NASDAQ:ALAB) in its third quarter 2025 investor letter:"Astera Labs, Inc. (NASDAQ:ALAB) designs semiconductor solutions that help large scale computing systems—such as those used in cloud services and artificial intelligence—move data quickly and efficiently. Its products reduce “bottlenecks,” which occur when data flow slows down inside servers or between chips, limiting overall Constellation Software Inc., Verisk Analytics, Inc., and Axon Enterprise Inc were among the top detractors from performance. performance. The company’s Intelligent Connectivity Platform combines specialized hardware with its COSMOS software to create flexible, cost-effective solutions for customers. These technologies are critical for connecting servers, GPUs, and AI accelerators. We believe Astera is well positioned in fast-growing markets like AI and cloud computing, supported by strong partnerships with leading technology providers. Shares contributed positively during the quarter after the company reported better-than-expected fiscal second-quarter results and raised next quarter revenue guidance. Management highlighted steady progress in expanding its networking business, which enables the rapid movement of large volumes of data—a critical requirement for AI computing. Near-term growth is being driven by the company’s P-series switches, hardware devices that direct data traffic within high-speed networks. Management expressed confidence that the upcoming X-series switches, designed for even faster and more efficient data handling, may become a major revenue contributor starting in 2026."Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,734.11 -3.38 (-0.05%)Dow 3047,147.48 -309.74 (-0.65%)Nasdaq22,900.59 +30.23 (+0.13%)Russell 20002,388.23 +5.24 (+0.22%)VIX19.83 -0.17 (-0.85%)Gold4,081.50 -113.00 (-2.69%)PortfolioSign in to access your portfolioSign inTop gainersCDTX Cidara Therapeutics, Inc. 217.71 +111.72 (+105.41%)SRRK Scholar Rock Holding Corporation 37.41 +7.34 (+24.41%)AVDL Avadel Pharmaceuticals plc 23.56 +4.32 (+22.45%)LGN Legence Corp. 40.27 +6.95 (+20.86%)CSIQ Canadian Solar Inc. 33.58 +4.96 (+17.33%)Top losersDGNX Diginex Limited 10.53 -2.97 (-22.00%)STUB StubHub Holdings, Inc. 14.87 -3.95 (-20.99%)HTFL Heartflow, Inc. 27.98 -2.96 (-9.57%)EOSE Eos Energy Enterprises, Inc. 13.80 -1.40 (-9.24%)CLSK CleanSpark, Inc. 10.96 -1.02 (-8.51%)Most activeONDS Ondas Holdings Inc. 7.18 +0.62 (+9.45%)OPEN Opendoor Technologies Inc. 8.12 -0.44 (-5.14%)NVDA NVIDIA Corporation 190.17 +3.31 (+1.77%)TSLA Tesla, Inc. 404.35 +2.36 (+0.59%)PFE Pfizer Inc. 25.06 -0.73 (-2.83%)Earnings eventsMy earnings eventsEarnings eventsTrending tickersBTC-USD Bitcoin USD 94,978.23 -3,786.89 (-3.83%)BABA Alibaba Group Holding Limited 153.80 -6.04 (-3.78%)CDTX Cidara Therapeutics, Inc. 217.71 +111.72 (+105.41%)ETH-USD Ethereum USD 3,165.46 -14.34 (-0.45%)NFLX Netflix, Inc. 1,112.17 -42.06 (-3.64%)Top economic events