Marvell Technology (NASDAQ:MRVL) Posts Earnings Results, Beats Expectations By $0.01 EPS

Marvell Technology (NASDAQ:MRVL) issued its quarterly earnings data on Thursday. The semiconductor company reported $0.94 earnings per share for the quarter, beating analysts’ consensus estimates of $0.93 by $0.01, FiscalAI reports. The company had revenue of $2.74 billion for the quarter, compared to the consensus estimate of $2.72 billion. Marvell Technology had a return on equity of 13.83% and a net margin of 28.99%.The firm’s revenue for the quarter was up 36.5% compared to the same quarter last year. During the same quarter last year, the company earned $0.67 earnings per share. Marvell Technology updated its Q3 2027 guidance to 1.050-1.150 EPS.

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

• Record results and raised outlook: Q2 revenue reached $2.739 billion, up 37% year over year, while Q3 guidance of $3.15 billion implies more than 50% year-over-year growth. Marvell now expects fiscal 2027 revenue of roughly $12 billion and fiscal 2028 revenue of approximately $18 billion.
• Data center and AI demand are accelerating: Data center revenue rose 46% year over year to $2.17 billion and is expected to grow roughly 75% year over year in Q3. Strength spans optical interconnect, switching, broadband analog, scale-up networking, and custom silicon.
• Custom silicon opportunity expanded materially: Marvell said its expanded agreement and warrant with a major hyperscaler covers inference accelerators, storage controllers, NICs, memory interface controllers, and near-memory compute. Revenue through fiscal 2028 is already reflected in its outlook, but management sees substantial additional upside in fiscal 2029 and beyond.
• Operating leverage is improving: Q2 non-GAAP operating margin expanded to 36.6%, and management expects to enter its 38%–40% long-term target range in Q4 of fiscal 2027, reaching the upper end of that range during fiscal 2028.
• Communications revenue remains volatile and near-term margins face mix pressure: Communications and other revenue is expected to decline in the low-to-mid teens in Q3 before recovering in Q4. The faster custom ramp is also expected to lower Q3 gross margin sequentially, with non-GAAP gross margin guided to 57.5%–58.5%.

Marvell Technology Stock Performance

MRVL stock traded down $3.66 during midday trading on Thursday, reaching $241.45. The stock had a trading volume of 38,984,987 shares, compared to its average volume of 28,944,863. The stock has a market cap of $211.22 billion, a PE ratio of 82.69, a P/E/G ratio of 1.50 and a beta of 2.24. The company has a debt-to-equity ratio of 0.27, a quick ratio of 2.66 and a current ratio of 3.28. The firm has a fifty day simple moving average of $230.49 and a two-hundred day simple moving average of $175.15. Marvell Technology has a 52-week low of $61.44 and a 52-week high of $329.88.

Marvell Technology Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, July 30th. Investors of record on Friday, July 10th were paid a $0.06 dividend. The ex-dividend date was Friday, July 10th. This represents a $0.24 dividend on an annualized basis and a yield of 0.1%. Marvell Technology’s dividend payout ratio (DPR) is 8.22%.

Insider Transactions at Marvell Technology

In other news, CFO Daniel Durn sold 2,250 shares of the firm’s stock in a transaction dated Tuesday, June 23rd. The stock was sold at an average price of $281.01, for a total value of $632,272.50. Following the completion of the transaction, the chief financial officer directly owned 6,902 shares in the company, valued at $1,939,531.02. This trade represents a 24.58% 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. Also, COO Chris Koopmans sold 10,000 shares of Marvell Technology stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $180.50, for a total value of $1,805,000.00. Following the sale, the chief operating officer directly owned 227,941 shares of the company’s stock, valued at $41,143,350.50. This trade represents a 4.20% decrease in their position. 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. Insiders have sold a total of 41,981 shares of company stock worth $9,753,132 in the last 90 days. 0.12% of the stock is owned by company insiders.

Hedge Funds Weigh In On Marvell Technology

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Rafferty Asset Management LLC boosted its holdings in Marvell Technology by 111.0% in the 2nd quarter. Rafferty Asset Management LLC now owns 5,810,359 shares of the semiconductor company’s stock worth $449,722,000 after buying an additional 3,056,808 shares during the last quarter. AQR Capital Management LLC raised its holdings in shares of 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 raised its holdings in shares of 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 position in shares of Marvell Technology in the fourth quarter valued at approximately $127,045,000. Finally, Schonfeld Strategic Advisors LLC lifted its position in shares of Marvell Technology by 2,034.5% in 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 in the last quarter. Institutional investors and hedge funds own 83.51% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on the stock. William Blair reaffirmed an “outperform” rating on shares of Marvell Technology in a research report on Thursday, May 28th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Marvell Technology in a report on Wednesday, June 24th. Compass Point set a $190.00 price target on Marvell Technology in a research report on Tuesday, May 26th. JPMorgan Chase & Co. raised their price objective on Marvell Technology from $135.00 to $240.00 and gave the stock an “overweight” rating in a research report on Thursday, May 28th. Finally, Citigroup upped their target price on Marvell Technology from $225.00 to $275.00 and gave the company a “buy” rating in a research report on Friday, August 21st. Three investment analysts have rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat.com, Marvell Technology presently has a consensus rating of “Moderate Buy” and an average price target of $258.42.

Key Headlines Impacting Marvell Technology

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

• Positive Sentiment: Marvell reported adjusted earnings of $0.94 per share, ahead of the approximately $0.92–$0.93 consensus, while revenue reached about $2.74 billion, slightly above estimates. Revenue increased 37% year over year, supported by strong demand for AI infrastructure. Marvell Technology Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Data-center revenue reportedly jumped 46%, highlighting accelerating demand for Marvell’s custom silicon and optical networking products used in AI data centers. The company also raised its full-year and next-year revenue outlooks, reinforcing the long-term AI growth story. Marvell Sees Accelerating Growth as AI Demand Boosts Second-Quarter Profit and Revenue
• Positive Sentiment: Third-quarter fiscal 2027 guidance calls for adjusted EPS of $1.05–$1.15, above the $1.03 consensus, and revenue of $3.0–$3.3 billion. The forecast indicates continued sequential growth in AI-related demand. Marvell Technology Forecasts Quarterly Revenue Above Estimates
• Neutral Sentiment: Investors were focused on visibility into Marvell’s recently announced multibillion-dollar custom-chip agreement with Google, including the timing of revenue contribution and the impact of related warrants. The earnings release did not appear to provide a sufficiently large near-term surprise to reset expectations.
• Negative Sentiment: The earnings beats were narrow, and management’s forecast provided limited upside relative to elevated Wall Street expectations. With MRVL priced for exceptional AI growth, traders treated the results as “good, but not good enough,” prompting a post-earnings selloff. Marvell Is Boosting Its Forecasts, but That’s Not Enough to Lift Its 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.