The early material was rock and guitar-oriented of Super-Electric, Jason Ankeny wrote in AllMusic that 'Droning guitars, skeletal rhythms, and pop hooks-not vintage synths and pointillist melodies-were their calling cards .' Under the independent label Too Pure, the group's first full-length album, Peng! was released in May 1992. Stereolab released the EP, Super-Electric in September 1991, and a single, titled Stunning Debut Album, followed in November 1991 (which was neither debut nor album). In a 1996 interview in The Wire, Gane calls the 'do-it-yourself' aesthetic behind Duophonic 'empowering', and said that by releasing one's own music 'you learn it creates more music, more ideas'. Super 45 's band-designed album art and packaging was the first of many customised and limited-edition Duophonic records. The 10 inch vinyl EP Super 45, released in May 1991, was the first release for both Stereolab and the label, and was sold through mail order and through the Rough Trade Shop in London. Gane said that their 'original plan' was to distribute multiple 7 and 10-inch records '–to just do one a month and keep doing them in small editions'. Gane and Sadier, along with future band manager Martin Pike, set up a record label called Duophonic Super 45s which, along with later offshoot Duophonic Ultra High Frequency Disks, would become commonly known as 'Duophonic'. Stereolab's name was taken from a division of Vanguard Records demonstrating hi-fi effects. In 1990, after three albums, McCarthy broke up and Gane immediately formed Stereolab with Sadier (who had also contributed vocals to McCarthy's final album), ex- Chills bassist Martin Kean and Gina Morris on backing vocals. The musically-inclined Sadier was disillusioned with the rock scene in France and soon moved to London to be with Gane and pursue her career. Gane met Lætitia Sadier, born in France, at a 1988 McCarthy concert in Paris and the two quickly fell in love. In 1985, Tim Gane formed McCarthy, a band from Essex, England, known for their left-wing politics.

It was taken from the 1970 comic strip 'Der Tödliche Finger' by Anton Holtz Portmann. The band's 'Cliff' logo appeared in early releases. After a ten-year hiatus, the band reunited for live performances in 2019.

The band were released from their recording contract with Elektra Records due to poor record sales, and their self-owned label Duophonic signed a distribution deal with Too Pure and later Warp Records. Throughout their career, Stereolab has had moderate commercial success. The High Llamas' leader Sean O'Hagan (guitar and keyboards) was a member from 1993 to 1994 and continued appearing on later records for occasional guest appearances. Other longtime members included 1992 addition Mary Hansen (backing vocals, keyboards and guitar), who died in 2002, and 1993 addition Andy Ramsay (drums). The two were romantically involved for fourteen years and are the group's only consistent members. Stereolab were formed by Gane (guitar and keyboards) and Sadier (vocals, keyboards and guitar) after the break-up of McCarthy. They are regarded among the most innovative and influential groups of the 1990s.

The band also draw from funk, jazz and Brazilian music, and were one of the first artists to be dubbed ' post-rock'. On stage, they play in a more feedback-driven and guitar-oriented style. Their lyrics have political and philosophical themes influenced by the Surrealist and Situationist movements.

Led by the songwriting team of Tim Gane and Lætitia Sadier, the group's music combines influences from krautrock, lounge and 1960s pop music, often incorporating a repetitive motorik beat with heavy use of vintage electronic keyboards and female vocals sung in English and French. Stereolab are an Anglo- French avant-pop band formed in London in 1990.

High fidelity soundtrack stereolab band