Was Jim Cramer Right About These 9 Stocks?

3. Astera Labs, Inc. (NASDAQ:ALAB)

Number of Hedge Fund Holders: 45

Back then, a viewer asked about Astera Labs, Inc. (NASDAQ:ALAB), which had recently IPO’d and was gaining attention at the time. Cramer liked the business fundamentals but warned that recent IPOs were still caught in speculative hype. He responded with:

“I like Astera Labs. It’s a little high… a lot of the newer companies that have come public are still involved in a halo. This one started to go down today… Let’s let it come in. There’s a little too much halo to the new IPOs… they are all trading at very high levels right now.”

Cramer was wrong to warn against the IPO-hype as the stock climbed an additional 55.56% since then.

Astera Labs, Inc. (NASDAQ:ALAB) is a semiconductor connectivity company that designs purpose-built chips and system-level solutions to accelerate data transfer between CPUs, GPUs, memory, and AI infrastructure components in data centers and cloud environments.

Astera had a bad start to the year. When asked about it on May 14, Cramer gave a mixed outlook saying it’s a good place to buy but not the best value out there:

“Okay, Astera Labs is a company that is incredibly well run, that has tremendous growth, but like many other companies, that stock has come down in value. I actually think it’s a good place to buy, given the fact that so many of these other stocks actually even have higher price-to-earnings multiples.”