Astera Labs: Leveraging PCIe Switch Leadership and AI Infrastructure Tailwinds to Drive Upside to 2028

Citi analyst Papa Talla Sylla maintained a Buy rating on Astera Labs, Inc. today and set a price target of $200.00.

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Papa Talla Sylla has given his Buy rating due to a combination of factors tied to Astera Labs’ strong positioning in AI infrastructure and its robust product roadmap. He highlights that the pivot toward the PCIe switch business, particularly the Scorpio family, should significantly expand earnings power by 2028, with co-packaged optics acting as a complementary technology rather than displacing Astera’s core scale-up switch opportunity.

Sylla also points to meaningful upside versus consensus estimates as he raises revenue and EPS forecasts on the back of higher expected Scorpio sales, healthy gross margins, and expanding AI deployments at hyperscale customers. While acknowledging rising competition from players like Marvell and custom solutions, he argues Astera’s PCIe technology lead, software ecosystem, and established installed base provide durable advantages, supporting an attractive risk‑reward profile and justifying the Buy rating and $200 target price.

Talla Sylla covers the Technology sector, focusing on stocks such as Lumentum Holdings, Coherent Corp, and Astera Labs, Inc.. According to TipRanks, Talla Sylla has an average return of 172.0% and a 100.00% success rate on recommended stocks.

In another report released yesterday, TipRanks – Anthropic also reiterated a Buy rating on the stock with a $121.00 price target.