Marvell Technology, Astera Labs to Benefit From Stronger Long-Term Demand Linked to Amazon-Anthropic Deal, RBC Says
Marvell Technology (MRVL) and Astera Labs (ALAB) could benefit from stronger long-term demand tied to Amazon's (AMZN) expanded deal with Anthropic, though near-term gains may be capped by tight 3-nanometer wafer supply, RBC Capital Markets said in a note Tuesday.Marvell remains well placed because it supplies Trainium chips, Ethernet switches, data processing units, and optical digital signal processors to Amazon Web Services, and demand from optical connectivity and Trainium programs is expected to support strong growth through fiscal 2028 and beyond, the investment firm said.RBC said it left its Marvell estimates unchanged for now because supply limits could hold back near-term upside, but it sees added potential from future Trainium4 demand and Marvell's expanding artificial intelligence networking products.For Astera Labs, RBC said Scorpio X switches should begin ramping in volume for Trainium3 racks in Q3, which could help lift revenue in H2 and later periods, and added that Astera also has longer-term growth room at AWS through its UALink and NVLink Fusion-related products, while wins with other large cloud customers add support to its outlook.RBC said the deal gives it more confidence in its 2027 forecasts and longer-term growth view for both companies, and it kept its outperform ratings while raising its price target on Marvell to $170 from $115 and on Astera Labs to $250 from $225.Price: $151.74, Change: $+3.90, Percent Change: +2.64%
