Astera Labs vs. Intel: What Do Revenue Trends for These Artificial Intelligence Companies Tell Investors?
Key Points
Astera Labs currently shows more consistent upward revenue momentum than Intel.
Astera Labs delivered consecutive quarter-over-quarter revenue increases, while Intel saw its revenue fluctuate within a relatively flat range.
Investors should watch whether the stark contrast in revenue trajectory between the two companies persists in upcoming quarters.
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Astera Labs: Steady Upward Revenue Trend
Astera Labs (NASDAQ:ALAB) primarily generates revenue by developing and marketing connectivity products for cloud computing infrastructure.
It recently expanded its operations in Taiwan, and for the quarter ended March 31, 2026, it generated 26% net income margin.
Intel: Managing Fluctuating Revenue
Intel (NASDAQ:INTC) earns its revenue by designing and manufacturing computing processors, graphics units, and semiconductor components.
While implementing a workforce reduction impacting manufacturing roles in July, it reported 39% gross margin for the quarter ended March 28, 2026.
Why Revenue Matters for Retail Investors
Revenue shows investors the total amount of money a business brings in from its core operations before any expenses are deducted. Tracking this figure helps investors understand the total scale and top-line growth trajectory of a business.
Quarterly Revenue for Astera Labs and Intel
| Quarter (Period End) | Astera Labs Revenue | Intel Revenue |
|---|---|---|
| Q2 2024 | $76.8 million (period ended June 2024) | $12.8 billion (period ended June 2024) |
| Q3 2024 | $113.1 million (period ended Sept. 2024) | $13.3 billion (period ended Sept. 2024) |
| Q4 2024 | $141.1 million (period ended Dec. 2024) | $14.3 billion (period ended Dec. 2024) |
| Q1 2025 | $159.4 million (period ended March 2025) | $12.7 billion (period ended March 2025) |
| Q2 2025 | $191.9 million (period ended June 2025) | $12.9 billion (period ended June 2025) |
| Q3 2025 | $230.6 million (period ended Sept. 2025) | $13.7 billion (period ended Sept. 2025) |
| Q4 2025 | $270.6 million (period ended Dec. 2025) | $13.7 billion (period ended Dec. 2025) |
| Q1 2026 | $308.4 million (period ended March 2026) | $13.6 billion (period ended March 2026) |
Data source: Company filings. Data as of July 17, 2026.
Foolish Take
While Intel’s revenue towers over Astera Labs, the trend for the latter shows accelerating quarter-over-quarter sales growth, an impressive feat. Meanwhile, Intel has struggled to achieve year-over-year increases.
This disparity demonstrates the strong demand Astera Labs is seeing for its connectivity solutions, which deliver superior data transfer speeds for artificial intelligence systems. As the AI industry continues to expand over the coming years, Astera Labs’ rising revenue trend should continue. In fact, the company expects its second-quarter sales to again come in higher than the previous quarter, forecasting a range between $355 million to $365 million.
Intel is undergoing a transition period under new CEO Lip-Bu Tan, who took over the top spot in 2025 after the company suffered a series of struggles under previous leadership. The veteran semiconductor giant was at risk of missing out on the AI market until Tan made changes that appear to be putting Intel back on track.
This is demonstrated by the 7% year-over-year increase in revenue for its fiscal first quarter ended March 28. For fiscal Q2, Intel forecasted revenue between $13.8 billion and $14.8 billion, which not only represents a year-over-year jump but also quarterly sequential growth. At last, the company may be headed towards a consistent sales upswing thanks to AI.
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Robert Izquierdo has positions in Astera Labs and Intel. The Motley Fool has positions in and recommends Intel. The Motley Fool recommends Astera Labs. The Motley Fool has a disclosure policy.
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