Astera Labs Inc. reported strong second-quarter 2025 earnings, with revenue reaching $191.9 million, marking a 150% increase year-over-year and a 20% rise sequentially. The company posted GAAP diluted earnings per share of $0.29 and non-GAAP diluted earnings per share of $0.44. Its GAAP gross margin stood at 75.8%, with GAAP operating income at $39.8 million. Net income for the quarter was $51.2 million. Astera Labs provided guidance for third-quarter 2025 revenue to be at least $203 million, representing a 79.5% year-over-year increase. Following the earnings release, Astera Labs' stock surged over 20% in pre-market trading. Several financial institutions revised their price targets upward, including Barclays, which raised its target to $155 from $75, and Susquehanna, which increased its target to $125 from $80. Institutional investors also increased their share ownership in the company during the quarter.