15 Stocks That Took a Nosedive in January

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

30-day Decline as of February 3, 2025: 34.6%

Astera Labs, Inc. (NASDAQ:ALAB) is a purpose-built connectivity lab for AI and cloud infrastructure. The company designs, manufactures, and sells semiconductor-based connectivity solutions for cloud and AI.

Based in California, the company saw a 34.6% decline in the past 30 days, going from $140.93 on January 3, to $92.11 on February 3. ALAB also saw a steep decline between January 24 and January 27, declining to $83.16 from $115.55.

Astera Labs, Inc. (NASDAQ:ALAB) saw a steep decline in its share price after the launch of OpenAI’s rival, DeepSeek, made an entry into the market. The Chinese AI startup shook the market, raising concerns over companies in the US pouring billions into AI.

However, at the same time, despite the decline, some analysts maintain a bullish outlook on the stock. For example, on January 28, analyst firm Northland, upgraded its rating on Astera Labs, Inc. (NASDAQ:ALAB) from market perform to outperform, with a price target of $120. The analyst firm emphasized that despite concerns about heavy spending in AI, BigTech is unlikely to cut costs, creating a solid opportunity for companies like ALAB.