We recently released a list Jim Cramer Radar 8 Sharp. In this article, we will explore Astera Labs, Inc. (NASDAQ:ALAB) Positions of other stocks recently discussed with Jim Cramer.
In Wednesday's episode of "Crazy Money", Jim Cramer reviewed the latest developments that affected the drug distribution company and shed light on why he was cautious about the group. He noted that stocks of major drug distributors have retreated from their historical heights.
“For the most part, this is because some type of regulatory crackdown forces them to go bankrupt, or at least reduce their profitability a lot.”
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Cramer last week mentioned the president's executive order to lower drug prices, which triggered a sell-off in the entire drug distribution sector. He explained that the order effectively requires pharmaceutical companies to provide U.S. government drug prices that match the lowest interest rates charged by other advanced economies. Cramer said the market’s fear is simple: If drugmakers are forced to lower prices for their government customers, drug distributors can see their profit margins shrink.
"The most important thing is: I don't want to stick my neck out for an industry regardless of how drug distributors perform, and both Democrats and Republicans seem to hate the industry right now. That seems to be the only thing they agree with, right, isn't it? There are so many potential winners in this market, and I say, why take the risk?"
In this article, we compiled a list of 8 stocks discussed by Jim Cramer in "Crazy Money" aired on May 14. We list these stocks in the order mentioned by Cramer. As of the fourth quarter of 2024, we also provided hedge fund sentiment for each stock, taken from Insider Monkey’s database of over 1,000 hedge funds.
Why are we interested in stocks that hedge funds to accumulate? The reason is simple: Our research shows that we can beat the market by mimicking the top stocks of the best hedge funds. Our strategy for quarterly newsletters selects 14 small and large stocks every quarter, returning 373.4% since May 2014, beating its benchmark by 218 percentage points (See more details here).
A team of semiconductor engineers is working hard to develop advanced chip products in modern labs.
Number of hedge fund holders: 51
A caller asked Cramer about Astera Labs, Inc. (NASDAQ: ALAB)'s opinion, he commented:
"Well, Astera Labs is a well-run company with a huge growth, but like many other companies, the value of this stock has also decreased. I actually think it's a good place to buy because so many other stocks actually even have a higher P/E multiple."
Astera Labs (NASDAQ:ALAB) develops and sells semiconductor-based connectivity solutions for cloud and AI systems, including hardware products and software that support system management, resource optimization and high-speed data transmission. Artisan Partners pointed out about Astera Labs, Inc in its fourth quarter 2024 investor letter. (NASDAQ: ALAB) the following content:
“Our fourth-ranked fourth-time contributors include Astera Labs, Inc. (NASDAQ:ALAB), Veracyte and Vita Coco. Astera Labs is an applicability provider for connectivity chips designed to address data centers’ data, network and memory bandwidth bottlenecks. In data centers increasingly in the 30,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,0 Astera’s products use ~50% utilities only with architecture limitations, playing a crucial role in improving efficiency, as the computing architecture becomes more heterogeneous in graphics processing units, central processing units and custom accelerators, Astera’s solutions can be well ranged within the core range of the near-term, giving it a strong range. After a strong rally, we prune our position based on valuation.”
Overall, Alab Ranked eighth On the list of stocks recently discussed by Jim Cramer. Although we acknowledge Alab’s potential as an investment, our belief is that AI stocks have greater hope and offer higher returns in a shorter time frame. AI stocks have risen since the beginning of 2025, while popular AI stocks have lost about 25%. If you are looking for AI stocks that are more promising than ALAB but have less than 5 times its earnings, check out our report Cheapest AI stocks.
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Disclosure: None. This article was originally published in Inside monkey.