Marvell Technology v 1. čtvrtletí zvýšil tržby o 27,6 % na 2,418 miliardy USD a tržby z datových center vzrostly na 1,833 miliardy USD. Firma zároveň zvedla výhled na 2. čtvrtletí na 2,7 miliardy USD díky silným AI zakázkám.
My brokerage app knows the Marvell ticker by heart. When a stock I have been accumulating drops 33.02% in a month and the underlying business keeps accelerating, the decision writes itself.
That is the single factor pulling me back to Marvell Technology (NASDAQ:MRVL | MRVL Price Prediction): the market handed me a discount on an AI infrastructure semiconductor pure-play whose numbers still point the right direction. Shares closed at $207.96, well below the 52-week high of $329.80. Yet year to date the stock is up 145.07%, up 185.25% over one year, and up 1,811.10% over ten. This is a violent repricing inside a long uptrend, and I am adding to my cost basis at these prices.
The Data Behind My Conviction Marvell’s most recent quarter (Q1 FY2027) posted revenue of $2.418 billion, up 27.6% year over year and ahead of consensus. Data center revenue reached $1.833 billion, 76% of the total, up 27% year over year and 11% sequentially. Free cash flow more than doubled to $483.1 million, up 126.8%, while cash on the balance sheet climbed to $3.84 billion. Full fiscal 2026 revenue landed at $8.195 billion, up 42%, and the company repurchased $2.04 billion of stock during that year.
Management is guiding Q2 FY27 revenue to $2.7 billion, roughly 35% year-over-year growth, and CEO Matt Murphy said Marvell is “significantly raising Marvell’s revenue outlook for both fiscal 2027 and fiscal 2028” on “exceptional AI-related bookings.” He expects growth to accelerate each quarter through fiscal 2027. Trailing P/E sits at 65, while forward P/E drops to 47, indicating the earnings ramp is driving valuation.
Why Marvell Stands Out Every AI investor first reaches for mega-cap chip generalists. Marvell offers a concentrated bet on AI datacenter plumbing: custom XPU and XPU-attach silicon, plus 800G and 1.6T scale-out optics, 51.2T Ethernet scale-out switches, and scale-up NPO and CPO optical solutions. At a market cap of roughly $175 billion, every incremental hyperscaler design win moves the needle in a way it cannot at a generalist ten times the size. The Celestial AI and XConn acquisitions that closed in February 2026 add photonic fabric and chiplet connectivity directly to that thesis.
The Risk I Cannot Ignore With 76% of revenue from data center and a small group of hyperscalers driving most of that, customer concentration is the real risk. If a major customer moves silicon fully in-house, this thesis takes a hit. Q1 also included a $331.8 million contingent consideration charge that pushed GAAP net income down 80.6% year over year. That is acquisition-related accounting noise rather than operating deterioration, and the raised multi-year guidance tells me the bookings pipeline is deep enough to absorb any single customer’s platform decisions.
Why the Buy Button Stays Active Analyst consensus sits at a $253.69 target with 7 strong buy, 31 buy, 5 hold, and 1 strong sell ratings behind it. Marvell is compounding revenue in the high 20s heading toward the mid 30s, generating record cash, buying back stock, and sitting inside the fastest capex cycle of my investing life. The market decided it was too expensive. I decided it was on sale, and the buy button stays lit until the story changes.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Marvell Technology didn't make the cut. Grab the names FREE today.
Marvell Technology čeká ve fiskálním roce 2027 růst tržeb o zhruba 40 % a v roce 2028 o dalších 45 % na asi 16,5 miliardy USD. Tahounem má být datacentrové podnikání a AI infrastruktura.
Key Takeaways MRVL expects revenues to grow about 40% in fiscal 2027 and 45% in fiscal 2028.MRVL expects data center revenue growth of about 50% in fiscal 2027 and roughly 55% in fiscal 2028.MRVL expects custom silicon revenues to grow over 20% in fiscal 2027 and more than double in 2028. Marvell Technology (MRVL - Free Report) has laid out an ambitious growth trajectory, with revenues expected to increase approximately 40% year over year in fiscal 2027 and another 45% in fiscal 2028 to roughly $16.5 billion. MRVL expects its data center business to remain the primary growth driver, with revenues projected to rise approximately 50% in fiscal 2027 and accelerate to about 55% growth in fiscal 2028.
Rather than relying on a single product cycle, Marvell Technology is participating across five AI infrastructure growth engines: scale-out optics, scale-across data center interconnect (DCI), scale-up optics, Ethernet switching and custom silicon. Scale-out optics remains a key near-term driver as expanding AI clusters increase demand for high-speed connectivity.
Marvell Technology is benefiting from strong 800G PAM4 demand, while the transition to 1.6T is ramping rapidly. Meanwhile, scale-across networks, which connect AI clusters across separate data centers, could create another major opportunity as power and space constraints limit cluster expansion at single locations. MRVL already supplies DCI solutions to all five major U.S. hyperscalers and expects the business to reach a $1 billion annualized revenue rate in fiscal 2028, roughly double fiscal 2026 levels.
Scale-up optics could become another meaningful fiscal 2028 contributor. MRVL is developing NPO and CPO solutions, while Celestial AI’s technology has already been selected by a Tier-1 hyperscaler. The company expects fiscal 2028 scale-up optics revenues to more than double its prior outlook of approximately $150 million. Ethernet switching is also scaling rapidly. MRVL expects scale-out switching revenues to exceed $600 million in fiscal 2027 and track toward a $1 billion annualized rate in fiscal 2028.
Custom silicon could provide the largest fiscal 2028 step-up. After reaching approximately $1.5 billion in revenues, the business is expected to grow more than 20% in fiscal 2027 and more than double in fiscal 2028. These businesses are not expected to peak simultaneously. With near-term momentum from optics and switching and additional contributions expected from DCI, scale-up connectivity and custom silicon, MRVL’s diversified AI infrastructure portfolio provides a credible foundation for its fiscal 2028 growth target.
How Competitors Fare Against MRVL StockMRVL faces stiff competition in the AI networking and custom silicon space from Broadcom (AVGO - Free Report) and Advanced Micro Devices (AMD - Free Report) .
Broadcom is a leader in the domain of custom silicon solutions for data centers. Broadcom’s advanced 3.5D XDSiP packaging platform is critical to ensure the performance and efficiency of custom AI XPUs.
Advanced Micro Devices is another established player in the custom silicon solutions and AI accelerator market. Advanced Micro Devices offers semi-custom SoCs and Instinct Accelerators to power data centers.
MRVL's Price Performance, Valuation and EstimatesShares of Marvell Technology have gained 186.3% year to date compared with the Zacks Electronics - Semiconductors industry’s growth of 51.1%.
MRVL YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, Marvell Technology trades at a forward price-to-sales ratio of 15.45X, lower than the industry’s average of 9.41X.
The Zacks Consensus Estimate for MRVL’s fiscal 2027 and 2028 earnings implies year-over-year growth of 41% and 44%, respectively. Estimates for fiscal 2027 and 2028 have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
Marvell Technology currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Shares of Marvell Technology (NASDAQ:MRVL | MRVL Price Prediction) are up 7% to $247 and change in midday trading Thursday, riding a broad semiconductor rebound that’s lifted the entire AI chip complex. Marvell stock came into the session bruised after a sharp multi-week pullback, setting up an oversold bounce.
The move stems from broad sector catalysts. Traders are responding to blowout preliminary Q2 results from Samsung, continued strength at SK Hynix, and Fundstrat’s Tom Lee framing the recent selloff as a buying opportunity in AI infrastructure names.
Some of Marvell’s peers are participating in the rally while others are lagging behind. Broadcom (NASDAQ:AVGO) stock is up 3%, but NVIDIA (NASDAQ:NVDA) shares are down 1% today.
A Broad Sector Rebound Powers the Move Marvell stock had faded after its June 22, 2026 S&P 500 inclusion, unwinding some of the technical buying that drove a strong run into the event. Insider selling and valuation concerns amplified the July drawdown.
The supportive fundamental backdrop hasn’t changed. Marvell has an expanded NVIDIA partnership via NVLink Fusion, a reported $2 billion strategic investment tie-up, a wave of analyst target hikes, and the recent Teralynx T100 switch launch with 102.4 Tbps of silicon aimed at AI clusters.
Marvell’s AI-Driven Growth Story Marvell’s Q1 FY2027 results reported May 27, 2026 showed revenue of $2.418 billion, up 27.6% year over year (YoY), with data center revenue of $1.833 billion (76% of total). Management guided Q2 FY2027 revenue to $2.7 billion, implying 35% YoY growth.
The company’s valuation is a pressure point, though. Marvell stock trades at a trailing P/E of 85x per Yahoo Finance, the richest of the three names. That reflects both depressed trailing earnings and a stock that has run 191% year to date (YTD).
CEO Matt Murphy told investors that the company sees “exceptional AI-related bookings” and significantly raised its FY2027 and FY2028 outlook. That growth is real, but the average analyst target price of $252.26 sits near MRVL stock’s current quote, which suggests that the implied upside is limited.
Broadcom Trades at a Growth-Justified Premium Broadcom stock trades at a trailing P/E ratio of 66x, above the sector average but below that of Marvell. AVGO stock is up 15% YTD, well behind Marvell’s move but still ahead of the market.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Broadcom’s Q2 FY2026 results, reported June 3, 2026, showed revenue of $22.19 billion, up 47.9% YoY, with AI semiconductor revenue of $10.8 billion, up 143% YoY. The company’s Q3 FY2026 guidance calls for AI semiconductor revenue of $16 billion, over 200% YoY growth. That scale gives Broadcom’s premium some cover.
NVIDIA Screens as the Cheapest of the Trio NVIDIA stock trades at a trailing P/E of 31x with a forward P/E of 22x. NVDA stock is up 8% YTD, lagging both peers despite $81.62 billion in Q1 FY2027 revenue (up 85.2% YoY) and Q2 guidance of $91 billion. On growth-adjusted multiples, NVIDIA stock screens as the most reasonably valued of the three AI chip leaders.
The apparent contradiction is that NVIDIA stock carries the largest market cap at $4.77 trillion but also the lowest multiple. Evidently, the earnings scale has finally caught up to the share price.
SOXX Confirms the Sector Move The iShares Semiconductor ETF (NASDAQ:SOXX) is up 5% today, confirming a sector-wide rally rather than a single-name story. The ETF holds Marvell, Broadcom, and NVIDIA and carries a 0.34% expense ratio.
The concentration risk is worth noting with the SOXX ETF. The fund’s top holdings dominate the returns, so this ETF behaves as an amplified play on the same AI-infrastructure trade lifting its largest components today.
What to Watch Now Investors can watch for whether Marvell stock holds today’s 7% gain into the close, given the stock’s beta of 2.2 and recent volatility. A close at session highs would suggest that the oversold bounce has legs.
Discipline is crucial here, and investors should consider keeping their position sizes modest in high-beta AI names. Marvell’s next fundamental catalyst is the company’s Q2 FY2027 earnings, which will test whether the AI-infrastructure thesis can grow into the multiple.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Marvell hlásí silné zakázky v oblasti AI a výrazně zvyšuje výhled tržeb pro fiskální roky 2027 i 2028. Tržby za 1. čtvrtletí fiskálního roku 2027 stouply na 2,418 miliardy USD, meziročně o 27,6 %.
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.
Marvell Technology (NASDAQ:MRVL | MRVL Price Prediction) looks compelling because the market is only now pricing in a durable second act in custom AI silicon. The stock has nearly tripled year to date, but the fundamental picture keeps outrunning the multiple.
Marvell designs the analog, mixed-signal, and photonic infrastructure that hyperscalers use to move data around AI clusters. Data center is now 76% of revenue, up from a business that was a grab bag of storage, networking, and automotive parts. The automotive Ethernet unit sold to Infineon for $2.5 billion has been recycled into optical interconnect (Celestial AI) and chiplet packaging (XConn). The playbook mirrors Broadcom (NASDAQ:AVGO). Sell the picks and shovels, and let NVIDIA (NASDAQ:NVDA) fight the merchant GPU war.
The custom silicon flywheel The bull case rests on the XPU pipeline. Management flagged over 50 new custom AI design opportunities across more than 10 customers, and Reuters reported Marvell expects custom chip revenue to top $10 billion by fiscal 2029. Broadcom’s custom accelerator business is the comp, trading at a $1.71 trillion market cap. Marvell sits at roughly $214.58 billion. If Marvell captures even a slice of that ASIC pie, the runway is long.
Q1 FY2027 revenue hit $2.418 billion, up 27.6% year-over-year, with data center up 11% sequentially. Free cash flow more than doubled to $483.1 million. CEO Matt Murphy told investors “We are seeing exceptional AI-related bookings, and as a result, we are significantly raising Marvell’s revenue outlook for both fiscal 2027 and fiscal 2028.” Guidance calls for 35% YoY growth next quarter.
The bear case Custom silicon revenue is lumpy and concentrated among a handful of hyperscalers. Any one can vertically integrate or dual-source to Broadcom on the next node. Marvell’s CEO acknowledged customers “may be pursuing multiple paths” on XPU supply. GAAP net income collapsed 80.4% year-over-year last quarter on a $331.8 million contingent consideration charge, and stock-based comp climbed to $207.6 million. Insiders have logged 129 recent transactions, net selling.
Trailing P/E is 86x, forward P/E is 67x. Broadcom, growing faster on the bottom line, trades at a forward P/E of 20x. Any hiccup in the lead 3nm XPU program, expected to enter production in calendar 2026, triggers a violent rerating.
The wait-and-see case The wait-and-see stance has merit. The story is right, but MRVL is already up 251% over the past year and has pulled back 13% in the last month. Waiting for Q2 FY27 against the $2.70 billion revenue and $0.93 EPS guide is reasonable. If the custom XPU ramp confirms, patience costs upside. If it slips, patience saves you 30%.
The same investor newsletter that told subscribers to buy Amazon in 2002, Netflix in 2004, and Nvidia in 2005 still publishes two new stock picks every month. Over 23 years, Motley Fool's Stock Advisor has more than quadrupled the S&P 500. New members get this month's picks, the Top 10 Rankings, and a 30-day money-back guarantee. Click here to unlock their next top stocks while new members are still being accepted.
The numbers MRVL trades at $251 against a consensus analyst target of $249.33, implying the stock has slightly overshot Wall Street’s average view. The rating breakdown, 7 Strong Buy, 31 Buy, 5 Hold, 0 Sell, 1 Strong Sell, shows sentiment has already turned. Year to date the stock is up 188.99% against an S&P 500 posting a small single-digit gain, one of the widest spreads in the semiconductor group.
Why Marvell looks compelling at $256 At $251, Marvell looks compelling. The path to appreciation runs through the 3nm XPU ramp with the lead US hyperscaler and the second announced XPU program that Murphy said is already engaged on the follow-on generation architecture. Add the NVIDIA NVLink Fusion partnership and the Celestial AI photonics stack, and Marvell monetizes every layer of the AI rack except the GPU itself.
The risk-reward is asymmetric even at this valuation. If custom chip revenue reaches the $10 billion by fiscal 2029 target, today’s forward multiple compresses fast even without further expansion. A hyperscaler defecting to Broadcom is real, but it would take multiple quarters to show up in bookings, and management says the customer set is widening beyond the top four.
What invalidates the thesis? A cut to FY28 outlook, a lost socket, or gross margin stepping down as low-margin custom volume scales faster than higher-margin optical business. Watch Q2 FY27 gross margin against the 58.25% to 59.25% guide. If it holds and revenue clears $2.7 billion, this stock has room to Broadcom’s neighborhood.
Marvell has stopped being the smaller cousin and started running the custom silicon playbook that turned Broadcom into a trillion-dollar company.
If You'd Bought Amazon When the Motley Fool Said To…In September 2002, Stock Advisor told subscribers to buy Amazon. In December 2004, Netflix. In April 2005, Nvidia. The newsletter still publishes two new stock picks every month — and over 23 years, has more than quadrupled the S&P 500. Here's how to get this month's picks:
- Join Stock Advisor for one year, with a 30-day money-back guarantee
- Get this month's two new picks — plus the Top 10 Rankings and the full historical pick list
- Read the analysis, decide for yourself, and trade through your own brokerage
Five years from now, you'll probably wish you'd bought this month's picks. Don't miss them.
Marvell Technology vzrostla za tři měsíce o 129 % poté, co Jensen Huang řekl, že by mohla být další společností s valuací 1 bilion USD. Firma těží z poptávky po AI infrastruktuře, ale po růstu je drahá.
Marvell Technology (MRVL 9.84%) stock has witnessed a phenomenal surge lately, rising an incredible 129% over the past three months, as investors have taken cognizance of the company's growing prominence in the artificial intelligence (AI) infrastructure space.
Marvell stock got a big boost recently after Nvidia CEO Jensen Huang remarked that the chip designer could be the next one to join the trillion-dollar market cap club. Investors, however, may be wondering if it is a good idea to buy this semiconductor stock following its parabolic jump.
Let's take a closer look at Marvell's business and see if it can indeed live up to Huang's prophecy and become a multibagger in the future.
Image source: The Motley Fool.
Marvell Technology is capitalizing on two sizzling growth opportunities in AI infrastructure Marvell designs custom chips, known as application-specific integrated circuits (ASICs), to perform specific tasks. These custom chips have witnessed a phenomenal surge in demand due to their deployment in AI data centers. Goldman Sachs estimates that custom ASIC shipments could equal sales of graphics processing units (GPUs) by next year.
Today's Change
(
-9.84
%) $
-26.76
Current Price
$
245.29
That's not surprising, as custom ASICs are ideal for running AI inference workloads since they are designed to perform specific tasks. As a result, these chips are not as complex as general-purpose computing chips like GPUs, and they can perform the specific task they are designed for more efficiently.
Hyperscalers and AI companies have been ramping up the deployment of custom ASICs. Marvell noted in May that its custom chip revenue could more than double in the next fiscal year, driven by both new and existing customers. For comparison, the company anticipates its custom ASIC revenue will increase by just 20% in the current fiscal year.
Importantly, this isn't the only AI infrastructure opportunity powering Marvell's growth. The company also sells optical networking products, the demand for which is substantially outpacing supply. Optical networking is emerging as a key bottleneck in AI data centers, as it helps transport large data sets quickly across AI data centers and chip clusters, so that accelerators such as GPUs and ASICs don't sit idle.
In fact, Goldman Sachs is expecting a whopping 9x increase in sales of optical networking components in just two years. That's the reason why Marvell's data center interconnect and switching business is growing rapidly. The company expects a 70% increase in its interconnect business this year, while the switching business is anticipated to generate $1 billion in revenue in fiscal 2028, up from $600 million this year.
These healthy growth rates explain why analysts have been raising their earnings expectations from Marvell.
Data by YCharts
The company's earnings are projected to increase by 43% in the current fiscal year, and the chart above clearly suggests it is on track to sustain strong growth over the next couple of years. What's worth noting is that Marvell sees its data center total addressable market (TAM) reaching $94 billion in 2028, driven by growing demand for custom chips, switching, and interconnect solutions.
The company believes it can capture 20% of this market in 2028, translating into almost $19 billion in data center revenue. That will be more than 3x Marvell's fiscal 2026 data center revenue of $6.1 billion. However, Marvell may be underestimating its potential opportunity. Goldman Sachs notes that the optical networking market could reach a whopping $154 billion due to AI.
Market research provider Oplexa Insights estimates that the custom AI market could generate a massive $600 billion in revenue in 2033. As a result, Marvell could sustain its outstanding growth rates for a long time to come, powered by the huge investments in AI data centers.
The stock has become expensive following its parabolic jump Marvell trades at a significant premium right now. It has a trailing earnings multiple of 94. The forward earnings multiple of 67, though lower, is still on the expensive side. Meanwhile, its price-to-sales ratio of 27 isn't cheap either.
However, Nvidia CEO Jensen Huang's prediction suggests the stock could jump almost 5x from current levels, given its $215 billion market cap as of this writing. To achieve that, Marvell will have to keep growing at a tremendous pace over the coming years. The good news is that the company seems capable of doing so, given the huge addressable opportunity it is sitting on.
Also, the market share gains Marvell is projecting from its expanding clientele could eventually justify its valuation and allow it to soar higher. That's why growth-oriented investors with a strong risk appetite can consider buying this AI stock following its recent surge. In contrast, those seeking a cheaper custom AI chip and networking play can consider this name to capitalize on this fast-growing AI infrastructure niche.
Marvell čeká v fiskálním roce 2027 růst tržeb z interconnectu o více než 70 % a tržeb datových center zhruba o 50 %. Hrubá marže ale dál klesá kvůli přesunu k levnějším AI produktům.
Key Takeaways Marvell expects interconnect revenues to grow more than 70% year over year in fiscal 2027.Optics growth is supported by TIAs, drivers, DCI modules and scale-up products ramping through fiscal 2028.Data center revenues are expected to grow about 50% in fiscal 2027 despite ongoing gross-margin pressure. Marvell Technology (MRVL - Free Report) has been an important benefactor of AI infrastructure capex buildout. Marvell Technology has been transforming itself into a key contributor to the connectivity hardware solutions for AI infrastructure and data centers. Marvell Technology now expects its interconnect business to grow more than 70% year over year in fiscal 2027, supported by scale-out PAM ramp-ups and scale-up and scale-across networking products.
Within optics, the company expects TIAs and drivers to exceed a $1 billion annualized run rate in the next few quarters and sees a path to about $1 billion annualized DCI module revenues during fiscal 2028. The company also expects scale-up optics to ramp up in fiscal 2028, reflecting broader adoption across engagements.
The company has also launched the Golden Cable initiative to accelerate and expand the Active Electrical Cable (AEC) ecosystem for faster deployment of AI infrastructure by cloud and hyperscaler customers. However, Marvell Technology’s move toward lower-margin custom silicon and other AI infrastructure products is resulting in a gradual decline in the gross margin.
In the first quarter of fiscal 2027, non-GAAP gross margin declined to 58.9% from 59.8% a year ago and 59% in the previous quarter. Despite the gross-margin pressure, Marvell Technology continues to generate substantial operating leverage. Non-GAAP operating margin expanded to 35% in the first quarter from 34.2% a year earlier. This indicates that rapid revenue growth is allowing operating expenses to grow more slowly than revenues.
The near-term gross-margin outlook remains stable rather than expansionary. For the second quarter of fiscal 2027, MRVL expects a non-GAAP gross margin of 58.25-59.25%. To conclude, gross-margin expansion is not the main earnings driver for Marvell Technology right now. MRVL is prioritizing rapid growth across custom silicon, optical interconnects and switching, with data center revenues expected to grow around 50% in fiscal 2027.
How Competitors Fare Against MRVL StockMRVL faces stiff competition in the AI networking and custom silicon space from Broadcom (AVGO - Free Report) and Advanced Micro Devices (AMD - Free Report) .
Broadcom is a leader in the domain of custom silicon solutions for data centers. Broadcom’s advanced 3.5D XDSiP packaging platform is critical to ensure the performance and efficiency of custom AI XPUs.
Advanced Micro Devices is another established player in the custom silicon solutions and AI accelerator market. Advanced Micro Devices offers semi-custom SoCs and Instinct Accelerators to power data centers.
MRVL's Price Performance, Valuation and EstimatesShares of Marvell Technology have gained 188.7% year to date compared with the Zacks Electronics - Semiconductors industry’s growth of 51.2%.
MRVL YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, Marvell Technology trades at a forward price-to-sales ratio of 15.89X, lower than the industry’s average of 9.50X.
The Zacks Consensus Estimate for MRVL’s fiscal 2027 and 2028 earnings implies year-over-year growth of 32.3% and 36.8%, respectively. Estimates for fiscal 2027 and 2028 have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
Marvell Technology currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Broadcom vykázal tržby za 2. čtvrtletí fiskálního roku 2026 ve výši 22,187 miliardy USD a tržby z AI polovodičů 10,80 miliardy USD, meziročně o 143 % více. Firma zároveň očekává AI tržby 16,0 miliardy USD v příštím čtvrtletí.
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.
Broadcom (NASDAQ:AVGO | AVGO Price Prediction) and Marvell Technology (NASDAQ:MRVL) both posted earnings centered on custom AI silicon. Broadcom reported Q2 FY2026 revenue of $22.187 billion, up 47.9% year over year, on June 3, 2026. Marvell followed with $2.418 billion in Q1 FY2027 revenue on May 27, 2026. Same theme, vastly different scale.
Custom Accelerators Explode at Broadcom. Optics Carry Marvell. Broadcom’s AI semiconductor revenue reached $10.80 billion, up 143% year over year, powered by custom AI accelerators and Ethernet AI switches for hyperscalers. CEO Hock Tan called Q3 a step change, guiding AI semi revenue to $16.0 billion, over 200% year over year. Few chipmakers can credibly deliver that forecast.
Marvell’s story is narrower but solid. Its Data Center segment hit $1.833 billion, up 27% year over year and 11% sequentially, representing 76% of total revenue. CEO Matt Murphy pointed to “exceptional AI-related bookings” across 800G and 1.6T optics, 51.2T Ethernet switches, and custom XPU designs. Real demand, yet a fraction of Broadcom’s velocity.
Business Driver Broadcom Marvell Quarterly AI revenue $10.80B $1.83B data center Growth engine Custom ASICs, VMware Optics, custom XPU Next-quarter guide ~$29.4B, +84% YoY $2.70B, +35% YoY Ironclad Hyperscaler Grip vs. Acquisition-Fueled Catch Up Broadcom holds roughly 70% share of the custom AI ASIC market and runs multi-billion-dollar hyperscaler programs with adjusted EBITDA margins near 68%. Its free cash flow of $10.262 billion in a single quarter matches roughly what Marvell generates annually.
Marvell is buying its way into the interconnect fight, closing Celestial AI on February 2, 2026 and XConn Technologies on February 10, 2026, then raising $2 billion in Series A Convertible Preferred Stock on March 31, 2026. Bold, but capital-intensive.
SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could receive up to $1,000 in complimentary stock for Active Invest accounts. See for yourself by clicking here now.
Valuation sharpens the contrast. AVGO trades at a forward P/E of 32. MRVL sits at a forward P/E of 66 after a 250.96% year-to-date rally. That is steep for a smaller player.
The Q3 Earnings Report Will Settle the Argument Watch whether Broadcom lands the $16.0 billion AI quarter it promised, validating the hyperscaler pipeline through 2027. For Marvell, the tell is whether 1.6T optics and custom XPU ramps translate booked demand into gross margin expansion alongside top-line growth.
What the Fundamentals Suggest On the numbers, Broadcom trades at roughly half the earnings multiple while delivering nine times the revenue, deeper hyperscaler entrenchment, and a software leg via VMware that Marvell lacks. That combination gives AVGO’s risk-reward profile a more grounded fundamental base. Marvell’s setup appears geared toward growth-oriented positioning with concentration risk and a rich multiple, with upside tied to how quickly acquired optics scale. If AI capex tightens even modestly, the premium priced-in at MRVL is harder to defend on the fundamentals than Broadcom’s diversified $29.4 billion revenue base. On the metrics available, Broadcom screens as the more diversified infrastructure compounder.
Want Up To $1,000? SoFi Is Giving New Active Invest Users Free StockLooking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open an account, fund it with $50 or more, and you could receive up to $1,000 in complimentary stock for Active Invest accounts.
From $0 commission trading to fractional shares and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.
Marvell za měsíc vzrostl o 45 % po rekordních tržbách za 1. čtvrtletí fiskálního roku 2027 ve výši 2,42 miliardy USD a silném růstu poptávky po AI. Firma zároveň zvýšila výhled tržeb na 2. čtvrtletí na 2,7 miliardy USD.
Marvell Technology (NASDAQ:MRVL | MRVL Price Prediction) stock is extending one of the year’s most explosive runs. Shares are up 7% to $296.25 in midday trading on Tuesday, building on a parabolic rally that has investors openly debating whether to trim or stay long.
Marvell stock is up 45% over the past month, a figure that includes today’s continued gain. Zoom out and the move sits inside a 52-week range of $61.32 to $329.88.
That kind of vertical move forces investors to consider whether it’s time to sell MRVL stock for a profit. The AI infrastructure story is real, but so is the valuation now attached to it.
What’s Fueling the Rally The catalysts are stacking up. Marvell posted record Q1 FY2027 revenue of $2.42 billion, up 28% year over year, with the Data Center segment contributing $1.83 billion, or 76% of revenue. Marvell’s management guided Q2 FY2027 revenue to $2.7 billion at the midpoint, implying 35% year-over-year growth.
CEO Matt Murphy stated, “We are seeing exceptional AI-related bookings, and as a result, we are significantly raising Marvell’s revenue outlook for both fiscal 2027 and fiscal 2028.” MRVL stock sentiment also got a boost from NVIDIA (NASDAQ:NVDA) CEO Jensen Huang calling Marvell “the next trillion-dollar company” and from the stock’s S&P 500 inclusion on June 22, 2026.
The Bull Case Wall Street still leans positive on Marvell. The current analyst breakdown is 8 strong buy, 31 buy, 5 hold, and no sell ratings, a notably constructive setup for a stock that has already tripled. Custom silicon, ASICs and XPUs for AI, plus data-center networking and optical interconnects keep Marvell positioned at the center of the AI buildout.
Marvell’s Q1 also produced record operating cash flow of $638.8 million, up 92% year over year, and free cash flow of $483.1 million. Moreover, the company repurchased $200 million of stock in the quarter, underscoring the management’s confidence in MRVL stock’s trajectory.
The Bear Case The valuation, however, is now extreme. Marvell stock carries a trailing P/E ratio of 102x, inflated in part because trailing earnings have declined year over year. After a parabolic run, that multiple leaves little margin for error.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Marvell Technology didn't make the cut. Grab the names FREE today.
Marvell stock has also overshot the Street’s average price target. The consensus price target sits at $244.70, below the current $297.40 share price. With a beta around 2.3, MRVL stock can swing hard in either direction if AI sentiment cools.
There’s a notable sentiment indicator, as well. A widely upvoted Reddit post asking “I bought MRVL at $82 off hiring data. It’s $325 now and I can’t decide whether to sell.” captures the exact tension this rally has produced.
The ETF Alternative Investors who want Marvell exposure without single-stock risk can access it through diversified semiconductor funds. The VanEck Semiconductor ETF (NASDAQ:SMH) and the iShares Semiconductor ETF (NASDAQ:SOXX) each hold Marvell among a basket of chip names.
That said, semiconductor ETFs and their underlying chip stocks remain volatile and concentrated in a cyclical sector. Diversification softens single-name risk, but these funds can still swing sharply with the AI trade.
What to Watch So, is it time to take profits? The answer is that it depends on the position size, the cost basis, and the holder’s risk tolerance. Marvell’s growth story and the still-bullish analyst skew support the bulls, while the 102x trailing multiple, the consensus target sitting below the current price, and the high-beta profile are legitimate reasons some holders may trim.
Traders can watch for whether MRVL stock holds the recent breakout or pulls back toward the 50-day moving average at $213. The next major catalyst is the Q2 FY2027 earnings report, with the fiscal quarter ending August 1, 2026. Investors should consider keeping their position sizes modest given the volatility this name has shown.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Marvell Technology didn't make the cut. Grab the names FREE today.
UBS zvýšila cílovou cenu Marvell na 340 USD z 230 USD díky rostoucí poptávce po CXL v datových centrech pro umělou inteligenci. Banka čeká, že tržby z CXL dosáhnou v roce 2027 asi 1 miliardy USD.
Marvell Technology could have more room to run after its sharp rally this year.
UBS became the latest brokerage to turn more bullish on the semiconductor company as artificial intelligence infrastructure spending accelerates demand for next-generation connectivity products.
The brokerage raised its price target on Marvell to $340 from $230, implying roughly 27.5% upside from Friday's closing price.
UBS also lifted its target on Astera Labs to $400 from $205 while maintaining a Neutral rating, saying both companies stand to benefit from the rapid adoption of Compute Express Link (CXL), a technology increasingly viewed as essential for AI data centers.
Marvell's MRVL share price was trading lower by about 1% on Monday though.
UBS said CXL, a cache-coherent, low-latency, high-bandwidth interconnect built on PCIe, is becoming a critical technology as AI workloads require memory systems with significantly higher capacity and faster data movement.
"CXL is becoming a critical enabling technology. We believe MRVL has the leading market share in CXL products to date, but we do see ALAB becoming a larger player," analyst Timothy Arcuri wrote in a note to clients on Monday.
The brokerage expects demand for CXL products to rise sharply as data centers evolve beyond conventional server architectures toward rack-wide and multi-rack memory fabrics connecting CPUs and XPUs.
UBS estimates the addressable market for CXL-related ASIC attachment products could grow to between $7 billion and $10 billion by 2030.
While Marvell currently leads the market, UBS expects competition to increase over time, with Astera Labs and Broadcom emerging as more significant players as adoption expands.
Reflecting stronger demand expectations, UBS increased its revenue forecasts for Marvell over the next two years.
The brokerage expects CXL-related revenue to reach about $1 billion in 2027, driven primarily by XPU connectivity inside AI server racks, supported by growing demand for agentic AI running on CPUs.
It also projects Marvell's CXL revenue will climb to roughly $2 billion in 2028.
Overall, UBS raised its 2027 revenue estimate to $16.8 billion from $16.5 billion and increased its 2028 forecast to $23.9 billion from $21.9 billion.
The brokerage also lifted earnings-per-share estimates to $6.23 for 2027 and $9.62 for 2028, compared with previous forecasts of $6.09 and $8.60.
Marvell, which now commands a market capitalization of roughly $233 billion, has posted revenue growth of 34% over the past 12 months and its shares have surged about 190% in 2026, significantly outperforming the broader S&P 500.
Marvell has long been viewed as a beneficiary of the AI boom because of its custom application-specific integrated circuits (ASICs) designed for hyperscale cloud providers.
However, analysts increasingly believe the company's networking business could prove even more valuable over the longer term.
Earlier this month, analysts led by John Vinh raised Marvell's price target by 48% to $385 from $260 while reiterating an Overweight rating. The stock climbed 14% after that report.
Following an investor meeting with Marvell, KeyBanc said it had become increasingly optimistic about the company's optical networking business, arguing that it could offer a more durable growth opportunity than custom AI chips.
The firm noted that increasingly powerful AI data centers require optical transceivers to move massive volumes of information by converting electrical signals into light.
Marvell supplies the digital signal processors used inside those transceivers.
"Networking represents the most significant and durable growth opportunity," Vinh wrote, estimating the addressable market could reach approximately $30 billion by 2030.
He added that Marvell appears well positioned to capture a significant share of that opportunity as AI infrastructure spending continues to expand.
Marvell Technology oznámila za 1. čtvrtletí zisk 80 centů na akcii a tržby 2,42 miliardy USD, obojí v souladu s odhady. Firma zároveň zvýšila výhled celoročních tržeb na zhruba 11,5 miliardy USD.
It has been about a month since the last earnings report for Marvell Technology (MRVL - Free Report) . Shares have added about 37.3% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Marvell due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important catalysts.
Marvell Technology Q1 Earnings Match Estimates, Revenues Rise Y/YMarvell came out with first-quarter fiscal 2027 earnings of 80 cents per share, in line with the Zacks Consensus Estimate. The company reported earnings of 62 cents per share a year ago. The bottom line increased 29% year over year.
MRVL’s first-quarter fiscal 2027 revenues of $2.42 billion surpassed the Zacks Consensus Estimate by 0.59%. MRVL reported revenues of $1.90 billion in the year-ago quarter.
MRVL Leans on Data Center MomentumThe top-line record was built on demand in both reported end markets. Data center revenues increased 27% year over year and 11% sequentially to $1.83 billion. Communications and other revenues were $585 million, up 29% year over year and 3% sequentially.
Management pointed to “exceptional AI-related bookings” across its data center lineup and guided for continued sequential acceleration as fiscal 2027 progresses. The message was that AI buildout is pulling through multiple product families, including optical interconnect, custom silicon and switching.
MRVL Broadens Its Connectivity FootprintMarvell Technology emphasized strength in 800G PAM4 products, a quick ramp of 1.6T solutions and expanding traction in Ethernet switching as networking becomes more critical in larger AI clusters. The company also said the shift toward larger, multi-site AI systems is increasing the importance of data center interconnect modules.
Strategically, MRVL highlighted an expanded partnership with NVIDIA across optics, NVLink Fusion integration and AI-RAN, intended to connect its custom silicon and optical networking capabilities into the NVIDIA ecosystem. Management said it has a line of sight to a $1 billion annualized DCI module revenue run rate during fiscal 2028.
Marvell Technology’s ProfitabilityMRVL reported non-GAAP gross margin of 58.9%. Non-GAAP operating margin was 35.0%, supported by $846.9 million of non-GAAP operating income. MRVL’s non-GAAP operating expenses were $576.9 million as the company continued investing in AI growth priorities.
MRVL Generates Cash While Locking in SupplyOperating cash flow was a record $638.8 million in the quarter. Cash and cash equivalents ended the period at $3.84 billion compared with $2.64 billion posted on Jan. 31, 2026. MRVL’s total debt stood at $4.96 billion.
MRVL repurchased $200 million of stock and paid $53.8 million in dividends. To support AI-driven demand, the company is forecasting approximately $1 billion of prepayments during fiscal 2027 to secure additional capacity, with the first payments beginning in the second quarter.
MRVL completed the Celestial AI acquisition on Feb. 2, 2026, and the buyout of XConn on Feb. 10, 2026, and the quarter’s results included both businesses from their acquisition dates.
The company also highlighted the acquisition of Polariton Technologies, positioning plasmonic-based silicon photonics as a pathway to higher modulator bandwidth and scaling optical performance to 3.2T and beyond.
Guidance for Q2 & Fiscal 2027For the second quarter of fiscal 2027, Marvell Technology guided revenues to $2.7 billion (+/-5%). Non-GAAP diluted earnings are expected to be 93 cents per share (+/- 5 cents).
Management also raised its broader outlook. MRVL now expects fiscal 2027 revenues to grow about 40% year over year to nearly $11.5 billion and sees fiscal 2028 revenues rising about 45% to roughly $16.5 billion.
The company expects data center growth of about 50% in fiscal 2027 and about 55% in fiscal 2028, with interconnect positioned as a key swing factor.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in estimates revision.
The consensus estimate has shifted -8.27% due to these changes.
VGM ScoresAt this time, Marvell has a average Growth Score of C, however its Momentum Score is doing a bit better with a B. However, the stock has a score of F on the value side, putting it in the lowest quintile for value investors.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, Marvell has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry PlayerMarvell belongs to the Zacks Electronics - Semiconductors industry. Another stock from the same industry, Applied Materials (AMAT - Free Report) , has gained 48.6% over the past month. More than a month has passed since the company reported results for the quarter ended April 2026.
Applied Materials reported revenues of $7.91 billion in the last reported quarter, representing a year-over-year change of +11.4%. EPS of $2.86 for the same period compares with $2.39 a year ago.
Applied Materials is expected to post earnings of $3.35 per share for the current quarter, representing a year-over-year change of +35.1%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #2 (Buy) for Applied Materials. Also, the stock has a VGM Score of F.
Společnost Marvell Technology vykázala v 1. čtvrtletí fiskálního roku 2027 rekordní provozní cash flow ve výši 638,8 mil. USD navzdory rozsáhlým akvizicím. Na konci čtvrtletí měla v hotovosti 3,84 mld. USD.
Key Takeaways Marvell Technology posted a record Q1 fiscal 2027 operating cash flow of $638.8M despite major acquisitions.MRVL spent $1.42B on investing, mainly for Celestial AI and XConn Technologies acquisitions.Marvell Technology ended the quarter with $3.84B cash to support acquisitions and investments. Marvell Technology (MRVL - Free Report) delivered a record operating cash flow of $638.8 million in the first quarter of fiscal 2027, almost doubling from $332.9 million reported in the year-ago quarter. This strong performance came despite the company completing major acquisitions during the first quarter of fiscal 2027, highlighting the strength of its underlying business and its ability to generate healthy cash from operations.
Marvell Technology's investing activities reflected its strategy of expanding through acquisitions. The company used $1.42 billion in investing activities compared with $94.1 million in the prior-year quarter. Most of this spending was related to the acquisitions of Celestial AI and XConn Technologies, while capital expenditures increased to $155.7 million, demonstrating continued investment in technology and infrastructure.
The improvement in operating cash flow was largely driven by non-cash expenses and favorable working capital movements. MRVL’s cash flow remained strong because of $225.2 million in amortization of acquired intangible assets, $207.6 million in stock-based compensation, and a $331.8 million increase in the fair value of contingent consideration liability.
Financing activities generated $1.99 billion in cash, primarily due to the issuance of $2 billion of Series A Convertible Preferred Stock. The company also raised $998.9 million through borrowings while repaying $500 million of debt. Overall, Marvell Technology maintained a strong liquidity position, ending the quarter with $3.84 billion in cash and cash equivalents.
MRVL’s current strategy will provide ample financial flexibility to fund acquisitions, capital investments and shareholder returns. MRVL would be able to maintain its leadership in the Custom Silicon, Networking & Switching, Optical Interconnect, Optical Components, Automotive and Enterprise Networking spaces.
How Competitors Fare Against MRVL StockThe company faces stiff competition in the networking and custom silicon space from Broadcom (AVGO - Free Report) and Advanced Micro Devices (AMD - Free Report) .
Broadcom is a leader in the domain of custom silicon solutions for data centers. Broadcom’s advanced 3.5D XDSiP packaging platform is critical to ensure the performance and efficiency of custom AI XPUs.
Advanced Micro Devices is another established player in the custom silicon solutions and AI accelerator market. Advanced Micro Devices offers semi-custom SoCs and Instinct Accelerators to power data centers.
MRVL's Price Performance, Valuation and EstimatesShares of Marvell Technology have gained 231% year to date against the Zacks Electronics - Semiconductors industry’s growth of 56.2%.
MRVL YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, Marvell Technology trades at a forward price-to-sales ratio of 18.12X, lower than the industry’s average of 10.13X.
The Zacks Consensus Estimate for MRVL’s fiscal 2027 and 2028 earnings implies year-over-year growth of 42.3% and 53%, respectively. The estimates for fiscal 2027 and 2028 have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
Marvell Technology currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Marvell Technology letos vzrostla o 247 % díky sázce na ASIC a síťové vybavení pro datová centra s umělou inteligencí. Firma čeká ve fiskálním roce 2027 růst výnosů o 40 % na 11,5 miliardy USD.
Marvell Technology (MRVL 3.30%) stock has jumped by a stunning 247% so far this year. Investors have been buying shares of this chip designer hand over fist since it became evident that it is poised to capitalize on the fast-growing demand for application-specific integrated circuits (ASICs) and networking equipment in artificial intelligence (AI) data centers.
What's more, Nvidia CEO Jensen Huang's recent statement about Marvell becoming the "next trillion-dollar company" seems to have further boosted investor confidence in this semiconductor stock. However, we are going to look beyond the hype in this article to see whether this high-flying chipmaker can deliver further gains following its phenomenal rally and make investors richer over the next three years.
Image source: The Motley Fool.
Marvell Technology has become extremely expensive, but that's half the story Marvell's parabolic jump this year explains why its 12-month median price target of $240 sits 23% below its current stock price. After all, Marvell has a trailing price-to-earnings multiple of 106. Also, the forward earnings multiple of 76 isn't cheap either, though it does suggest a nice spike in the company's bottom line.
Today's Change
(
-3.30
%) $
-9.22
Current Price
$
269.82
For comparison, the tech-laden Nasdaq Composite index has an average earnings multiple of 41. So, Marvell will have to consistently deliver stronger-than-expected results and guidance in order to deliver more gains. The good part is that the company can indeed do so. It is worth noting that 85% of the 47 analysts covering Marvell stock still rate it as a buy.
That's because the company is confident it can substantially accelerate growth thanks to the lucrative markets it serves. Bloomberg estimates that the custom AI processor market could grow to $118 billion in 2033, accounting for 19% of overall AI chip sales. However, don't be surprised to see custom chips cornering a bigger share of the AI accelerator market as they are being deployed aggressively by hyperscalers and AI companies to lower operating costs.
On the other hand, Marvell also sells optical connectivity solutions, an area that's becoming the next bottleneck in AI infrastructure. Goldman Sachs expects the optical networking market to grow by a whopping 9x to $154 billion. What's more, the investment firm counts Marvell as a key player in this space, along with Nvidia and Broadcom.
All this explains why Marvell is forecasting its annualized revenue from datacenter interconnect (DCI) optical products to double between fiscal 2026 and 2028 to $1 billion. On the other hand, the annualized revenue of its switching products is expected to jump to $600 million in the current fiscal year, and then to more than $1 billion in the next one.
The custom AI processor business, meanwhile, is poised for some serious acceleration. Marvell expects 20% growth in this segment in the ongoing fiscal 2027. The beginning of new customer programs and more business from existing customers will drive an increase of more than 100% in Marvell's custom silicon revenue next year.
Why Marvell investors can expect more upside over the next three years Marvell expects 40% revenue growth in the ongoing fiscal year 2027 (which ends in January next year) to $11.5 billion. The growth rate is poised to accelerate next year, then slow slightly after two years.
Data by YCharts
However, Marvell's growth rate could easily outpace Wall Street's expectations in fiscal 2029 and accelerate further, especially given that large data center investments are unlikely to slow. Let's assume it can clock 50% revenue growth in fiscal 2029, Marvell's revenue will jump to $25 billion. If the stock trades at even 15 times sales at that time (nearly half its current sales multiple of 31), its market cap could reach $375 billion.
That suggests potential upside of 38% over the next three years. However, the massive growth potential in the optical networking space and the steady growth of the custom AI processor market could allow Marvell to clock stronger growth. As a result, Marvell could end up trading at a much higher sales multiple after three years than what I have assumed above, and that's going to pave the way for stronger upside in this AI stock.
There's a specific feeling that comes with watching a stock you believe in fall 20% in five days. It's not panic, exactly; it's more like the ground shifting beneath something you were certain about. The AI chip sector gave investors that feeling in the first week of June 2026. The Philadelphia Semiconductor Index dropped 10.3% in a single session on June 5 -- its worst day since March 2020 -- wiping out more than $1.3 trillion in market value across the sector. Broadcom missed its AI revenue whisper number by roughly $1.2 billion. A stronger-than-expected jobs report killed hopes for a rate cut. Two data points, and suddenly a sector that had run 75% year to date looked fragile.
Marvell Technology's (MRVL 3.30%) stock price fell 20% over those two days. If you were holding it, that number landed like a punch. But the business underneath that number really didn't change at all. Most investors know Nvidia makes AI chips. Fewer know that Marvell makes the infrastructure that connects them.
When hyperscalers like Amazon, Alphabet, and Microsoft build AI data centers, they need more than just GPUs. They need custom silicon -- application-specific chips designed from the ground up for their particular AI workloads -- and they need the networking fabric that moves data between thousands of chips at speeds that general-purpose hardware can't match. Marvell builds both.
Images source: Getty Images.
Its custom ASIC (application-specific integrated circuit) business is what the company calls its AI XPU platform. These are chips designed in partnership with specific cloud customers, purpose-built for their infrastructure. They can't be bought off a shelf. They can't be replicated without years of co-development work.
That exclusivity is the moat. At Computex 2026 in late May, Marvell CEO Matt Murphy delivered a keynote titled "The Future of AI Scaling Depends on Connectivity" -- and Nvidia CEO Jensen Huang, onstage alongside him, called Marvell a potential "next trillion-dollar company." That wasn't a throw-away comment from someone who chooses words carelessly.
Today's Change
(
-3.30
%) $
-9.22
Current Price
$
269.82
The business behind the sell-off Marvell posted record revenue of $8.195 billion in fiscal 2026 (ended Jan. 31) -- a 42% year-over-year increase driven by data center growth that has now made AI the company's dominant segment. In the first quarter of fiscal 2027, revenue hit another record at $2.418 billion, with record operating cash flow. The company offered guidance for Q2 fiscal 2027 revenue of $2.7 billion, representing 35% year-over-year growth, and raised its revenue outlook for both fiscal 2027 and fiscal 2028.
In late May, Marvell announced the industry's first 102.4 terabits-per-second switch built for AI and cloud data center infrastructure. To put that in terms that matter to a non-engineer: That's the speed at which AI systems inside the largest data centers can communicate with each other. As AI models grow larger and the compute clusters training them expand to thousands of chips, the bottleneck shifts from the chips themselves to the pipes between them. Marvell builds those pipes.
The sell-off had nothing to do with any of this. The company's custom silicon design wins hit an all-time record in fiscal 2026. Hyperscaler AI infrastructure spending commitments, which represent Marvell's demand base, total more than $725 billion in 2026 alone. The sell-off was about Broadcom's guidance and a macro data point. Marvell got caught in the current.
The risks worth knowing about Marvell's revenue is concentrated. If one major hyperscaler delays a custom chip program or decides to build that capability in-house, quarterly results move in a way that individual stockholders feel immediately. The stock also carries a premium valuation, reflecting expectations of continued execution at a pace most companies never sustain. Those are real concerns, and they don't disappear because the thesis is strong.
Also, keep in mind that over the last 12 months, Marvell surged approximately 322%, exploding from around $73 to a recent price of $310.58 per share. So invest and dollar-cost average appropriately. But to me, a 20% sell-off in a company that just raised its revenue guidance, whose CEO shared a stage with Jensen Huang for a keynote about the future of AI scaling, and that makes technology with no practical substitute in modern AI infrastructures, is a buying window.
Micah Zimmerman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, Broadcom, Marvell Technology, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.
Marvell Technology očekává, že jeho interconnect podnikání ve fiskálním roce 2027 poroste meziročně o více než 70 %. V dalších čtvrtletích mají TIA a drivers dosáhnout ročního tempa přes 1 miliardu USD.
Key Takeaways MRVL expects interconnect revenue growth above 70% year over year in fiscal 2027.Marvell Technology sees TIAs and drivers topping a $1B annualized run rate in the coming quarters.Marvell Technology expects scale-up optics and DCI module revenue ramps in fiscal 2028. Marvell Technology’s (MRVL - Free Report) networking business remains a key beneficiary of rising AI cluster size and complexity. Marvell Technology now expects its interconnect business to grow more than 70% year over year in fiscal 2027, supported by scale-out PAM ramp-ups and growing contributions from scale-up and scale-across networking.
Within optics, the company expects TIAs and drivers to exceed a $1 billion annualized run rate in the next few quarters and sees a path to about $1 billion annualized DCI module revenues during fiscal 2028. The company also expects scale-up optics to ramp up in fiscal 2028, reflecting broader adoption across engagements.
Marvell Technology has been transforming itself into a key contributor to the connectivity hardware solutions for AI infrastructure and data centers. The company had launched the Golden Cable initiative to accelerate and expand the Active Electrical Cable (AEC) ecosystem for faster deployment of AI infrastructure by cloud and hyperscaler customers.
The AEC technology supports next-generation 1.6 T connectivity for superfast networks. Marvell Technology’s partners use this technology to validate cable architectures, advanced firmware, calibration data, and get support for integration and interoperability through the Golden Cable initiative.
MRVL is also gaining from the adoption of scale-up switches that connect AI accelerators within and across racks, requiring multi-terabit bandwidth and ultra-low latency. These switches will support both open standard Ethernet and UALink fabrics, leveraging Marvell Technology’s low-latency SerDes and Ethernet switch IP.
How Competitors Fare Against MRVL StockThe company faces stiff competition in the networking and custom silicon space from Broadcom (AVGO - Free Report) and Advanced Micro Devices (AMD - Free Report) .
Broadcom is a leader in the domain of custom silicon solutions for data centers. Broadcom’s advanced 3.5D XDSiP packaging platform is critical to ensure the performance and efficiency of custom AI XPUs.
Advanced Micro Devices is another established player in the custom silicon solutions and AI accelerator market. Advanced Micro Devices offers semi-custom SoCs and Instinct Accelerators to power data centers.
MRVL's Price Performance, Valuation and EstimatesShares of Marvell Technology have gained 228.4% year to date compared with the Zacks Electronics - Semiconductors industry’s growth of 63.3%.
MRVL YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, Marvell Technology trades at a forward price-to-sales ratio of 18.01X, lower than the industry’s average of 10.64X.
The Zacks Consensus Estimate for MRVL’s fiscal 2027 and 2028 earnings implies year-over-year growth of 42.3% and 52.9%, respectively. The estimates for fiscal 2027 and 2028 have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
Marvell Technology currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Stifel zvýšil 12měsíční cílovou cenu Marvell z 321 na 350 USD a ponechal doporučení Buy. Analytik vidí nedávný pokles jako příležitost pro dlouhodobé investory.
On Wednesday, June 24, Stifel Nicolaus analyst Tore Svanberg reiterated his previous ‘Buy’ rating for Marvell (NASDAQ: MRVL) but decided to raise his 12-month price target for the equity from $321 to $350.
According to the Wall Street expert, the previous thesis regarding the 2026 breakout potential of analog players has been confirmed, while citing companies such as Astera Labs, Credo Technology, and MRVL itself as examples due to their recent beat-and-raise quarters.
Reflecting on Marvell shares’ decline and relative consolidation following the rapid rally at the very start of the month, Svanberg noted that the artificial intelligence (AI) weakness during the month represents a strong buying opportunity for long-term investors seeking to bet on ‘clear technological innovators.’
Wall Street analysts predict Marvell stock price in the next 12 months Elsewhere, Stifel Nicolaus’ latest revision is consistent with Wall Street’s overall view regarding MRVL stock.
On average, Marvell equity is expected to fall 3.16% to $262,73 in the coming 12 months – circumstantially demonstrating the speed of the latest upsurge – and is generally viewed as a ‘Strong Buy,’ per the data Finbold retrieved from TipRanks on June 24.
Wall Street sets Marvell stock price for the next 12 months. Source: TipRanks Furthermore, the company has been receiving ‘Buy’ recommendations exclusively since the month started, and got its Street High price target on June 17 when KeyBanc’s John Vinh raised his forecast from $260 to $385.
Bank of America analyst Vivek Arya was only slightly less bullish on June 23 when he placed Marvell stock’s second most recent 12-month estimate at $365.
Marvell stock soars 202% in 2026 Elsewhere, MRVL shares have been enjoying an especially strong 2026 as they soared 202.86% from $89.39 on January 2 – the first regular session of the year – to $270.73 at press time on June 24.
Marvell stock price YTD chart with June performance highlighted. Source: Google During June, Marvell stock rallied 24%, though the bulk of the rally took place during the month’s first week after Nvidia (NASDAQ: NVDA) CEO Jensen Huang opined it would be the world’s next $1 trillion company.
Featured image via Shutterstock
Best Crypto Exchange for Intermediate Traders and Investors
Invest in cryptocurrencies and 3,000+ other assets including stocks and precious metals.
0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.
Copy top-performing traders in real time, automatically.
eToro USA is registered with FINRA for securities trading.
30+ million Users worldwide
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
Join Finbold's newsroom, become a Sales Executive today! Apply now to join Finbold as a crypto/finance news writer!
