Exceptional Results and Investor Enthusiasm Lifted Astera Labs (ALAB)

Columbia Threadneedle Investments, an investment management company, released its “Columbia Global Technology Growth Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. Markets continued their upward journey in the third quarter, driven by strong earnings growth, continued enthusiasm around artificial intelligence (AI), and easing trade tensions. The composite returned 12.06% in the quarter, compared to the S&P Global 1200 Information Technology Index’s 12.82% return.  Positive stock selection drove the relative performance of the fund in the quarter. In addition, you can check the fund’s top 5 holdings for its best picks for 2025.

In its third-quarter 2025 investor letter, Columbia Global Technology 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 -15.46%, and its shares have appreciated by 168.03% over the past 52 weeks. On October 31, 2025, Astera Labs, Inc. (NASDAQ:ALAB) stock closed at $186.68 per share, with a market capitalization of $31.03 billion.

Columbia Global Technology Growth Fund stated the following regarding Astera Labs, Inc. (NASDAQ:ALAB) in its third quarter 2025 investor letter:

“Shares of leading AI connectivity specialist Astera Labs, Inc. (NASDAQ:ALAB) more than doubled during the quarter, driven by exceptional quarterly results and growing investor enthusiasm around the company’s expanding role in next-generation AI data centers. The semiconductor company reported record revenue growth during the quarter, driven by insatiable demand for its new Scorpio line of products — which quickly became the fastest-growing product line in the company’s history, after ramping up in production. Astera Labs has positioned itself as a mission-critical enabler for hyperscalers transitioning to AI computing, and its products play a key role in overcoming significant infrastructure challenges related to connectivity bottlenecks.”

Is SEALSQ Corp (LAES) the Best Quantum Computing Stock to Invest in Now?

Astera Labs, Inc. (NASDAQ:ALAB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 56 hedge fund portfolios held Astera Labs, Inc. (NASDAQ:ALAB) at the end of the second quarter, up from 45 in the previous quarter. While we acknowledge the risk and potential of Astera Labs, Inc. (NASDAQ:ALAB) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Astera Labs, Inc. (NASDAQ:ALAB) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Astera Labs, Inc. (NASDAQ:ALAB) and shared the list of AI stocks making waves on Wall Street. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

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