Marvell Technology (NASDAQ:MRVL) Posts Quarterly Earnings Results, Hits Estimates

Marvell Technology (NASDAQ:MRVL) posted its earnings results on Wednesday. The semiconductor company reported $0.80 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.80, FiscalAI reports. Marvell Technology had a return on equity of 14.22% and a net margin of 32.58%.The firm had revenue of $2.42 billion for the quarter, compared to analysts’ expectations of $2.41 billion. During the same period in the previous year, the firm earned $0.62 earnings per share. The business’s revenue was up 27.6% compared to the same quarter last year. Marvell Technology updated its Q2 2027 guidance to 0.880-0.980 EPS.

Here are the key takeaways from Marvell Technology’s conference call:

• Marvell reported a record fiscal Q1 2027 with revenue of $2.418 billion, up 28% year over year, and non-GAAP EPS of $0.80, topping the midpoint of guidance.
• Management raised the outlook materially, now expecting fiscal 2027 revenue to grow about 40% to nearly $11.5 billion and fiscal 2028 revenue to reach about $16.5 billion.
• The data center business remains the main growth engine, with Q1 revenue of $1.83 billion and expectations for the segment to grow about 50% in fiscal 2027 and 55% in fiscal 2028.
• Marvell highlighted accelerating demand in interconnect and custom silicon, including stronger 1.6T optics, scale-up networking, and XPU attach programs, plus a new partnership with NVIDIA that expands opportunities in optics, NVLink Fusion, and AI RAN.
• The company said it is securing supply with about $1 billion in prepayments this fiscal year to support capacity, while continuing stock repurchases and aiming to keep operating leverage strong as investments rise.

Marvell Technology Trading Down 4.6%

Shares of NASDAQ:MRVL opened at $198.70 on Thursday. The company has a market cap of $178.30 billion, a P/E ratio of 64.51, a PEG ratio of 1.73 and a beta of 2.25. The company has a debt-to-equity ratio of 0.28, a current ratio of 2.01 and a quick ratio of 1.58. Marvell Technology has a 1 year low of $58.61 and a 1 year high of $218.26. The stock’s fifty day moving average price is $141.54 and its 200-day moving average price is $104.44.

Marvell Technology Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, April 30th. Stockholders of record on Friday, April 10th were issued a dividend of $0.06 per share. This represents a $0.24 dividend on an annualized basis and a dividend yield of 0.1%. The ex-dividend date of this dividend was Friday, April 10th. Marvell Technology’s dividend payout ratio is presently 7.79%.

Insider Activity

In other news, CFO Willem A. Meintjes sold 30,000 shares of the company’s stock in a transaction on Wednesday, April 15th. The stock was sold at an average price of $134.01, for a total transaction of $4,020,300.00. Following the transaction, the chief financial officer directly owned 154,111 shares of the company’s stock, valued at $20,652,415.11. This represents a 16.29% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Chris Koopmans sold 10,000 shares of the company’s stock in a transaction on Monday, April 6th. The shares were sold at an average price of $110.24, for a total value of $1,102,400.00. Following the transaction, the chief operating officer directly owned 133,870 shares in the company, valued at approximately $14,757,828.80. The trade was a 6.95% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 245,060 shares of company stock valued at $29,901,072. Corporate insiders own 0.12% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of MRVL. Rafferty Asset Management LLC lifted its holdings in shares of Marvell Technology by 111.0% during the second quarter. Rafferty Asset Management LLC now owns 5,810,359 shares of the semiconductor company’s stock valued at $449,722,000 after purchasing an additional 3,056,808 shares in the last quarter. AQR Capital Management LLC increased its position in Marvell Technology by 397.3% during the fourth quarter. AQR Capital Management LLC now owns 2,172,943 shares of the semiconductor company’s stock valued at $184,657,000 after acquiring an additional 1,736,006 shares during the last quarter. State Street Corp increased its position in Marvell Technology by 7.9% during the fourth quarter. State Street Corp now owns 22,834,816 shares of the semiconductor company’s stock valued at $1,940,503,000 after acquiring an additional 1,677,724 shares during the last quarter. Nearwater Capital Markets Ltd purchased a new stake in Marvell Technology during the fourth quarter valued at $127,045,000. Finally, Schonfeld Strategic Advisors LLC increased its position in Marvell Technology by 2,034.5% during the third quarter. Schonfeld Strategic Advisors LLC now owns 1,307,610 shares of the semiconductor company’s stock valued at $109,931,000 after acquiring an additional 1,246,350 shares during the last quarter. 83.51% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on MRVL. HSBC set a $300.00 target price on Marvell Technology and gave the company a “buy” rating in a research note on Tuesday. Susquehanna lifted their price target on Marvell Technology from $100.00 to $230.00 and gave the company a “positive” rating in a research report on Tuesday. Morgan Stanley lifted their price target on Marvell Technology from $103.00 to $172.00 and gave the company an “equal weight” rating in a research report on Tuesday. Needham & Company LLC dropped their price target on Marvell Technology from $120.00 to $118.00 and set a “buy” rating on the stock in a research report on Tuesday, February 3rd. Finally, Roth Mkm restated a “buy” rating and set a $275.00 price target on shares of Marvell Technology in a research report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $171.09.

Trending Headlines about Marvell Technology

Here are the key news stories impacting Marvell Technology this week:

• Positive Sentiment: Marvell reported Q1 revenue of $2.42 billion and EPS of $0.80, topping or matching estimates, while revenue rose about 28% year over year on strong data-center demand.
• Positive Sentiment: Management raised guidance for the next quarter and boosted multiyear revenue targets, signaling that AI-related bookings and networking momentum are accelerating. Marvell Technology, Inc. Reports First Quarter of Fiscal Year 2027 Financial Results
• Positive Sentiment: Several Wall Street firms raised price targets after the report, including UBS to $230, Citi to $225, and Bank of America to $240, which helped extend bullish sentiment around the stock.

About Marvell Technology

Marvell Technology Group is a global semiconductor company that designs and develops integrated circuits and related software for data infrastructure, networking, storage and connectivity markets. The company’s product portfolio includes system-on-chip (SoC) solutions, Ethernet physical-layer transceivers (PHYs), switch and switch silicon, optical interconnect components, storage controllers, and security processors. Marvell’s technology is used to enable high-performance data centers, carrier networks, enterprise and cloud storage, as well as connectivity in automotive and industrial applications.

Founded in 1995 and headquartered in Santa Clara, California, Marvell has grown through both organic development and strategic acquisitions to broaden its capabilities across networking and data interconnect.