Shares of Marvell Technology Inc. (MRVL) plummeted in early Friday trading despite the company’s upbeat first-quarter earnings report released on Thursday. The earnings announcement came during an exciting earnings season, with several key analyst takeaways providing insight into the company’s performance.
Several analysts maintained their positive ratings on Marvell Technology, although some adjusted their price targets. Piper Sandler’s Harsh Kumar maintained an Overweight rating while reducing the price target from $95 to $85. Kumar noted that Marvell Technology reported revenues of $1.895 billion and earnings of 62 cents per share, surpassing consensus estimates of $1.877 billion and 61 cents per share, respectively. The company’s guidance for the second quarter, with revenues of $2.0 billion and earnings of 67 cents per share, was broadly in line with expectations.
KeyBanc Capital Markets’ John Vinh reiterated an Overweight rating while cutting the price target from $115 to $90. Vinh highlighted that Marvell Technology’s quarterly results and guidance were largely in line with expectations. The company reiterated its expectation that revenue from Amazon.com Inc’s (AMZN) AWS-related custom AI XPUs will grow in fiscal 2026 and 2027. Additionally, Marvell Technology’s design win with Microsoft Corp (MSFT) on Maia 200 “continues to progress, with ongoing collaboration on the architecture for the next-generation Maia 300.”
Cantor Fitzgerald’s Quinn Bolton reaffirmed a Buy rating while lowering the price target from $100 to $85. Bolton noted that Marvell Technology’s beat and raise quarter was driven by continued growth in Data Center revenues. “Management seems very confident in the company’s opportunity at AMZN, and has secured 3nm wafer and advanced packaging capacity for the next generation design set to ramp in 2026,” Bolton wrote.
Benchmark’s Cody Acree maintained a Buy rating and price target of $95. Acree observed that Marvell Technology’s stock came under pressure following the release of first-quarter results, as investors were “not particularly thrilled by the firm’s relatively modest upside results and guidance,” especially after the outperformance delivered by rival Nvidia Corp (NVDA). Both Marvell Technology and Nvidia witnessed demand for AI driving robust Data Center growth, although Marvell Technology did not provide “any specifics of its quarterly AI results.”
At the time of publication on Friday, shares of Marvell Technology had declined by 6.79% to $59.40. The company’s Data Center business has been a significant growth driver, with Marvell Technology previously reporting that its Data Center business tripled over two years as custom silicon and optics fueled the surge.
