10 Best NASDAQ Growth Stocks to Buy for the Next 10 Years

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

Potential Upside: 36.91%

Number of Hedge Fund Holders: 57

Investors are liking the progress on Astera Labs, Inc.’s (NASDAQ:ALAB) product roadmap. ALAB announced significant updates to its Scorpio X-Series line on January 23. The development highlights the company’s continued focus on addressing the evolving needs of the growing AI infrastructure market and hyperscale data centers.

The updated ScorpioX-Series, developed in collaboration with hyperscalers, will feature increased radix support, allowing the systems to accommodate a broader range of cluster sizes. This flexibility enables hyperscalers to optimize infrastructure and workloads for their specific needs, rather than relying on one-size-fits-all solutions. Additionally, the series will include protocols tailored to individual hyperscale platforms. These protocols are designed to remove integration barriers and facilitate smooth deployment.

Moreover, Astera Labs, Inc. (NASDAQ:ALAB) is also introducing other advanced capabilities, including in-network computing, hypercast technology, and optical connectivity. In-network computing enhances performance as it allows data-intensive tasks to move directly from GPUs to the fabric switch. These advancements are aimed at providing hyperscalers with the flexibility required for complex AI workloads and enabling multi-rack deployments.

Chief Business Officer at Astera Labs, Thad Omura, commented:

As hyperscalers scale to larger cluster sizes and deploy more complex AI workloads, they need flexible connectivity portfolios that can address varied architectural approaches—not one-size-fits-all solutions. The market opportunity is substantially larger than we initially anticipated, encompassing multiple device configurations, connectivity modalities, and protocol requirements. We’re accelerating our development efforts across the Scorpio X-Series to serve this expanded opportunity and deliver the purpose-built solutions the market demands.

Astera Labs, Inc. (NASDAQ:ALAB) is a manufacturer, designer, and seller of semiconductor-based connectivity solutions for cloud and AI infrastructure. The company provides an intelligent connectivity platform, the COSMOS software suite, PCIe/CXL smart DSP retimers & cable modules, CXL memory connectivity controllers, and smart fabric switches.