Marvell Technology (NASDAQ:MRVL) Shares Gap Down – Should You Sell?

Marvell Technology, Inc. (NASDAQ:MRVL)’s stock price gapped down prior to trading on Monday . The stock had previously closed at $98.91, but opened at $90.45. Marvell Technology shares last traded at $90.0640, with a volume of 8,947,805 shares traded.

Wall Street Analyst Weigh In

MRVL has been the topic of several analyst reports. Piper Sandler set a $110.00 target price on shares of Marvell Technology in a research report on Wednesday. Weiss Ratings reissued a “hold (c-)” rating on shares of Marvell Technology in a report on Wednesday, October 8th. Zacks Research upgraded Marvell Technology from a “strong sell” rating to a “hold” rating in a report on Wednesday, September 24th. Jefferies Financial Group upped their target price on Marvell Technology from $80.00 to $120.00 and gave the stock a “buy” rating in a research report on Wednesday. Finally, JPMorgan Chase & Co. lifted their price target on shares of Marvell Technology from $120.00 to $130.00 and gave the company an “overweight” rating in a research report on Wednesday, December 3rd. Three research analysts have rated the stock with a Strong Buy rating, twenty have issued a Buy rating and fifteen have issued a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $111.56.

Marvell Technology Stock Performance

The firm’s 50 day moving average price is $87.75 and its 200-day moving average price is $77.40. The firm has a market cap of $77.68 billion, a price-to-earnings ratio of 31.86, a P/E/G ratio of 0.96 and a beta of 1.93. The company has a debt-to-equity ratio of 0.28, a current ratio of 2.01 and a quick ratio of 1.64.

Marvell Technology (NASDAQ:MRVL) last released its earnings results on Tuesday, December 2nd. The semiconductor company reported $0.76 EPS for the quarter, beating the consensus estimate of $0.74 by $0.02. The firm had revenue of $2.07 billion during the quarter, compared to analysts’ expectations of $2.06 billion. Marvell Technology had a net margin of 31.75% and a return on equity of 13.15%. The business’s quarterly revenue was up 36.8% compared to the same quarter last year. During the same period in the prior year, the company earned $0.43 EPS. Marvell Technology has set its Q4 2026 guidance at 0.740-0.840 EPS. On average, analysts anticipate that Marvell Technology, Inc. will post 0.91 earnings per share for the current year.

Marvell Technology Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 30th. Investors of record on Friday, October 10th were given a dividend of $0.06 per share. The ex-dividend date of this dividend was Friday, October 10th. This represents a $0.24 dividend on an annualized basis and a yield of 0.3%. Marvell Technology’s dividend payout ratio (DPR) is 8.42%.

Marvell Technology declared that its Board of Directors has initiated a stock repurchase plan on Wednesday, September 24th that permits the company to buyback $5.00 billion in outstanding shares. This buyback authorization permits the semiconductor company to repurchase up to 7.8% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s leadership believes its stock is undervalued.

Insider Transactions at Marvell Technology

In other news, COO Chris Koopmans acquired 6,800 shares of the stock in a transaction dated Thursday, September 25th. The shares were acquired at an average cost of $78.03 per share, for a total transaction of $530,604.00. Following the completion of the transaction, the chief operating officer owned 104,825 shares in the company, valued at approximately $8,179,494.75. This trade represents a 6.94% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, insider Sandeep Bharathi bought 3,400 shares of Marvell Technology stock in a transaction that occurred on Thursday, September 25th. The stock was purchased at an average cost of $78.03 per share, with a total value of $265,302.00. Following the completion of the transaction, the insider owned 73,392 shares of the company’s stock, valued at $5,726,777.76. This trade represents a 4.86% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last quarter, insiders bought 27,200 shares of company stock worth $2,109,632. Insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Marvell Technology

Hedge funds have recently made changes to their positions in the business. Atlantic Edge Private Wealth Management LLC boosted its position in shares of Marvell Technology by 160.0% during the 3rd quarter. Atlantic Edge Private Wealth Management LLC now owns 325 shares of the semiconductor company’s stock valued at $27,000 after acquiring an additional 200 shares in the last quarter. Game Plan Financial Advisors LLC bought a new position in Marvell Technology during the second quarter worth about $27,000. Kiker Wealth Management LLC boosted its holdings in Marvell Technology by 374.7% during the second quarter. Kiker Wealth Management LLC now owns 356 shares of the semiconductor company’s stock valued at $28,000 after purchasing an additional 281 shares in the last quarter. Nova Wealth Management Inc. grew its stake in shares of Marvell Technology by 3,922.2% in the 3rd quarter. Nova Wealth Management Inc. now owns 362 shares of the semiconductor company’s stock valued at $30,000 after purchasing an additional 353 shares during the period. Finally, N.E.W. Advisory Services LLC acquired a new position in shares of Marvell Technology in the 2nd quarter worth approximately $32,000. Institutional investors and hedge funds own 83.51% of the company’s stock.

Marvell Technology Company Profile

Marvell Technology, Inc, together with its subsidiaries, provides data infrastructure semiconductor solutions, spanning the data center core to network edge. The company develops and scales complex System-on-a-Chip architectures, integrating analog, mixed-signal, and digital signal processing functionality.