Comprehensive Stock Comparison
Compare Astera Labs, Inc. Common Stock (ALAB) vs Analog Devices, Inc. (ADI) Stock
Analyze side-by-side fundamentals, valuation, growth, and profitability to decide which stock is the better buy.
Selected Stocks
Add up to 10 tickers. Use presets or search to get started.
Quick Verdict
| Category | Winner | Why |
|---|---|---|
| Growth | ALAB | 115.1% revenue growth vs ADI's 16.9% |
| Value | ADI | Lower P/E (31.5x vs 48.2x) |
| Quality / Margins | ALAB | 25.7% net margin vs ADI's 23.0% |
| Stability / Safety | ADI | Beta 1.55 vs ALAB's 2.34 |
| Dividends | ADI | 1.1% yield; 22-year raise streak; ALAB pays no meaningful dividend |
| Momentum (1Y) | ALAB | +59.8% vs ADI's +56.4% |
| Efficiency (ROA) | ALAB | 14.3% ROA vs ADI's 5.6%, ROIC 12.5% vs 5.4% |
Who Each Stock Is For
Income & stability
Growth exposure
Long-term compounding (10Y)
Sleep-well-at-night portfolio
Defensive / Recession hedge
Business Model
What each company does and how it makes money
Astera Labs designs semiconductor connectivity solutions that enable high-performance cloud and AI infrastructure. It generates revenue primarily from selling its portfolio of data, network, and memory connectivity products — including both hardware chips and supporting software — to cloud service providers and data center operators. The company's competitive advantage lies in its software-defined architecture that allows customers to scale AI infrastructure efficiently, addressing critical bottlenecks in data movement.
Analog Devices is a semiconductor company that designs and manufactures analog, mixed-signal, and digital signal processing integrated circuits for industrial, automotive, communications, and consumer markets. It generates revenue primarily through sales of data converters (~30%), power management ICs (~25%), amplifiers (~15%), and RF/microwave components (~15%) to industrial and automotive customers. The company's moat lies in its deep expertise in high-performance analog design—a difficult-to-master discipline—and its extensive portfolio of precision components that are deeply embedded in mission-critical systems.
Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Financial Metrics Comparison
Side-by-side fundamentals across 2 stocks. BestLagging
Financial Scorecard
ADI leads in 3 of 6 categories (Valuation Metrics, Total Returns). ALAB leads in 1 (Profitability & Efficiency). 1 tied.
Financial Metrics (TTM)
ADI is the larger business by revenue, generating $11.8B annually — 13.8x ALAB's $853M. Profitability is closely matched — net margins range from 25.7% (ALAB) to 23.0% (ADI). On growth, ALAB holds the edge at +91.8% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ALABAstera Labs, Inc.… | ADIAnalog Devices, I… |
|---|---|---|
| RevenueTrailing 12 months | $853M | $11.8B |
| EBITDAEarnings before interest/tax | $180M | $5.4B |
| Net IncomeAfter-tax profit | $219M | $2.7B |
| Free Cash FlowCash after capex | $282M | $4.6B |
| Gross MarginGross profit ÷ Revenue | +75.7% | +62.8% |
| Operating MarginEBIT ÷ Revenue | +20.3% | +29.2% |
| Net MarginNet income ÷ Revenue | +25.7% | +23.0% |
| FCF MarginFCF ÷ Revenue | +33.1% | +38.8% |
| Rev. Growth (YoY)Latest quarter vs prior year | +91.8% | +30.4% |
| EPS Growth (YoY)Latest quarter vs prior year | +78.6% | +116.7% |
Valuation Metrics
At 78.0x trailing earnings, ADI trades at a 20% valuation discount to ALAB's 97.4x P/E. On an enterprise value basis, ADI's 36.5x EV/EBITDA is more attractive than ALAB's 111.3x.
| Metric | ALABAstera Labs, Inc.… | ADIAnalog Devices, I… |
|---|---|---|
| Market CapShares × price | $20.2B | $173.7B |
| Enterprise ValueMkt cap + debt − cash | $20.1B | $179.9B |
| Trailing P/EPrice ÷ TTM EPS | 97.40x | 78.02x |
| Forward P/EPrice ÷ next-FY EPS est. | 48.23x | 31.50x |
| PEG RatioP/E ÷ EPS growth rate | — | 11.45x |
| EV / EBITDAEnterprise value multiple | 111.28x | 36.47x |
| Price / SalesMarket cap ÷ Revenue | 23.73x | 15.76x |
| Price / BookPrice ÷ Book value/share | 15.65x | 5.23x |
| Price / FCFMarket cap ÷ FCF | 71.79x | 40.60x |
Profitability & Efficiency
ALAB delivers a 16.1% return on equity — every $100 of shareholder capital generates $16 in annual profit, vs $8 for ADI. On the Piotroski fundamental quality scale (0–9), ADI scores 8/9 vs ALAB's 5/9, reflecting strong financial health.
| Metric | ALABAstera Labs, Inc.… | ADIAnalog Devices, I… |
|---|---|---|
| ROE (TTM)Return on equity | +16.1% | +8.0% |
| ROA (TTM)Return on assets | +14.3% | +5.6% |
| ROICReturn on invested capital | +12.5% | +5.4% |
| ROCEReturn on capital employed | +14.7% | +6.5% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 8 |
| Debt / EquityFinancial leverage | — | 0.26x |
| Net DebtTotal debt minus cash | -$168M | $6.2B |
| Cash & Equiv.Liquid assets | $168M | $2.5B |
| Total DebtShort + long-term debt | $0 | $8.7B |
| Interest CoverageEBIT ÷ Interest expense | — | 10.80x |
Total Returns (with DRIP)
A $10,000 investment in ADI five years ago would be worth $23,455 today (with dividends reinvested), compared to $19,157 for ALAB. Over the past 12 months, ALAB leads with a +59.8% total return vs ADI's +56.4%. The 3-year compound annual growth rate (CAGR) favors ADI at 25.9% vs ALAB's 24.2% — a key indicator of consistent wealth creation.
| Metric | ALABAstera Labs, Inc.… | ADIAnalog Devices, I… |
|---|---|---|
| YTD ReturnYear-to-date | -33.8% | +30.0% |
| 1-Year ReturnPast 12 months | +59.8% | +56.4% |
| 3-Year ReturnCumulative with dividends | +91.6% | +99.5% |
| 5-Year ReturnCumulative with dividends | +91.6% | +134.6% |
| 10-Year ReturnCumulative with dividends | +91.6% | +621.4% |
| CAGR (3Y)Annualised 3-year return | +24.2% | +25.9% |
Risk & Volatility
ADI is the less volatile stock with a 1.55 beta — it tends to amplify market swings less than ALAB's 2.34 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. ADI currently trades 98.0% from its 52-week high vs ALAB's 45.2% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ALABAstera Labs, Inc.… | ADIAnalog Devices, I… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 2.34x | 1.55x |
| 52-Week HighHighest price in past year | $262.90 | $363.20 |
| 52-Week LowLowest price in past year | $47.13 | $158.65 |
| % of 52W HighCurrent price vs 52-week peak | +45.2% | +98.0% |
| RSI (14)Momentum oscillator 0–100 | 38.2 | 71.0 |
| Avg Volume (50D)Average daily shares traded | 4.4M | 3.1M |
Analyst Outlook
Wall Street rates ALAB as "Buy" and ADI as "Buy". Consensus price targets imply 70.1% upside for ALAB (target: $202) vs 5.2% for ADI (target: $374). ADI is the only dividend payer here at 1.09% yield — a key consideration for income-focused portfolios.
| Metric | ALABAstera Labs, Inc.… | ADIAnalog Devices, I… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $202.14 | $374.42 |
| # AnalystsCovering analysts | 15 | 54 |
| Dividend YieldAnnual dividend ÷ price | — | +1.1% |
| Dividend StreakConsecutive years of raises | — | 22 |
| Dividend / ShareAnnual DPS | — | $3.87 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +1.2% |
Historical Charts
Charts are rendered on first load. Hover for details.
Chart 1Total Return — 5 Years (Rebased to 100)
| Stock | Mar 24 | Feb 26 | Change |
|---|---|---|---|
| Astera Labs, Inc. C… (ALAB) | 100 | 245.75 | +145.8% |
| Analog Devices, Inc. (ADI) | 100 | 161.15 | +61.2% |
Analog Devices, Inc. (ADI) returned +135% over 5 years vs Astera Labs, Inc. C… (ALAB)'s +92%. A $10,000 investment in ADI 5 years ago would be worth $23,455 today (including dividends reinvested).
Chart 2Revenue Growth — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Astera Labs, Inc. C… (ALAB) | $80M | $853M | +967.4% |
| Analog Devices, Inc. (ADI) | $3.4B | $11.0B | +222.1% |
Analog Devices, Inc.'s revenue grew from $3.4B (2016) to $11.0B (2025) — a 13.9% CAGR.
Chart 3Net Margin Trend — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Astera Labs, Inc. C… (ALAB) | -73.0% | 25.7% | +135.2% |
| Analog Devices, Inc. (ADI) | 25.2% | 20.6% | -18.3% |
Analog Devices, Inc.'s net margin went from 25% (2016) to 21% (2025).
Chart 4P/E Ratio History — 9 Years
| Stock | 2017 | 2025 | Change |
|---|---|---|---|
| Analog Devices, Inc. (ADI) | 38.9 | 59.5 | +53.0% |
Analog Devices, Inc. has traded in a 22x–65x P/E range over 9 years; current trailing P/E is ~78x.
Chart 5EPS Growth — 10 Years
| Stock | 2016 | 2025 | Change |
|---|---|---|---|
| Astera Labs, Inc. C… (ALAB) | -0.45 | 1.22 | +371.1% |
| Analog Devices, Inc. (ADI) | 2.76 | 4.56 | +65.2% |
Analog Devices, Inc.'s EPS grew from $2.76 (2016) to $4.56 (2025) — a 6% CAGR.
Chart 6Free Cash Flow — 5 Years
Astera Labs, Inc. Common Stock generated $282M FCF in 2025 (+808% vs 2022). Analog Devices, Inc. generated $4B FCF in 2025 (+79% vs 2021).
ALAB vs ADI: Frequently Asked Questions
9 questions · data-driven answers · updated daily
01Is ALAB or ADI a better buy right now?
Analog Devices, Inc. (ADI) offers the better valuation at 78.0x trailing P/E (31.5x forward), making it the more compelling value choice. Analysts rate Astera Labs, Inc. Common Stock (ALAB) a "Buy" — based on 15 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — ALAB or ADI?
On trailing P/E, Analog Devices, Inc. (ADI) is the cheapest at 78.0x versus Astera Labs, Inc. Common Stock at 97.4x. On forward P/E, Analog Devices, Inc. is actually cheaper at 31.5x.
03Which is the better long-term investment — ALAB or ADI?
Over the past 5 years, Analog Devices, Inc. (ADI) delivered a total return of +134.6%, compared to +91.6% for Astera Labs, Inc. Common Stock (ALAB). A $10,000 investment in ADI five years ago would be worth approximately $23K today (assuming dividends reinvested). Over 10 years, the gap is even starker: ADI returned +621.4% versus ALAB's +91.6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — ALAB or ADI?
By beta (market sensitivity over 5 years), Analog Devices, Inc. (ADI) is the lower-risk stock at 1.55β versus Astera Labs, Inc. Common Stock's 2.34β — meaning ALAB is approximately 51% more volatile than ADI relative to the S&P 500.
05Which has better profit margins — ALAB or ADI?
Astera Labs, Inc. Common Stock (ALAB) is the more profitable company, earning 25.7% net margin versus 20.6% for Analog Devices, Inc. — meaning it keeps 25.7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ADI leads at 26.6% versus 20.3% for ALAB. At the gross margin level — before operating expenses — ALAB leads at 75.7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Is ALAB or ADI more undervalued right now?
On forward earnings alone, Analog Devices, Inc. (ADI) trades at 31.5x forward P/E versus 48.2x for Astera Labs, Inc. Common Stock — 16.7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ALAB: 70.1% to $202.14.
07Which pays a better dividend — ALAB or ADI?
In this comparison, ADI (1.1% yield) pays a dividend. ALAB does not pay a meaningful dividend and should not be held primarily for income.
08Is ALAB or ADI better for a retirement portfolio?
For long-horizon retirement investors, Analog Devices, Inc. (ADI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (1.1% yield, +621.4% 10Y return). Astera Labs, Inc. Common Stock (ALAB) carries a higher beta of 2.34 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (ADI: +621.4%, ALAB: +91.6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
09What are the main differences between ALAB and ADI?
Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both. ADI pays a dividend while ALAB does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that beat both.