Marvell Technology (NASDAQ:MRVL) Shares Down 6.3% – Time to Sell?

Marvell Technology, Inc. (NASDAQ:MRVL) was down 6.3% during mid-day trading on Wednesday . The stock traded as low as $162.90 and last traded at $163.40. Approximately 24,757,567 shares were traded during mid-day trading, a decline of 17% from the average session volume of 29,680,359 shares. The stock had previously closed at $174.47.

Analyst Ratings Changes

A number of research analysts have recently commented on MRVL shares. Loop Capital upgraded shares of Marvell Technology to a “strong-buy” rating in a research report on Tuesday, June 16th. Bank of America boosted their target price on Marvell Technology from $240.00 to $365.00 and gave the stock a “buy” rating in a research report on Tuesday, June 23rd. Royal Bank Of Canada restated an “outperform” rating and issued a $360.00 target price on shares of Marvell Technology in a research note on Tuesday, July 7th. KeyCorp raised their price target on Marvell Technology from $385.00 to $400.00 and gave the company an “overweight” rating in a report on Tuesday, July 14th. Finally, Cantor Fitzgerald lifted their price target on Marvell Technology from $220.00 to $300.00 and gave the company a “neutral” rating in a research report on Monday, June 29th. Three investment analysts have rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $245.45.

Marvell Technology Stock Performance

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 stock has a market cap of $167.62 billion, a PE ratio of 65.63, a PEG ratio of 1.02 and a beta of 2.20. The company’s 50-day moving average price is $243.17 and its two-hundred day moving average price is $156.22.

Marvell Technology (NASDAQ:MRVL) last announced its earnings results on Wednesday, May 27th. The semiconductor company reported $0.80 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.80. The company had revenue of $2.42 billion during the quarter, compared to analyst estimates of $2.41 billion. Marvell Technology had a net margin of 28.99% and a return on equity of 13.83%. The firm’s quarterly revenue was up 27.6% compared to the same quarter last year. During the same period in the previous year, the business earned $0.62 earnings per share. Marvell Technology has set its Q2 2027 guidance at 0.880-0.980 EPS. On average, equities research analysts forecast that Marvell Technology, Inc. will post 3.07 EPS for the current year.

Marvell Technology Dividend Announcement

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

Insider Activity

In other news, CEO Matthew J. Murphy sold 7,500 shares of the stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $177.26, for a total transaction of $1,329,450.00. Following the transaction, the chief executive officer directly owned 739,397 shares in the company, valued at approximately $131,065,512.22. This represents a 1.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Sandeep Bharathi sold 2,231 shares of the firm’s stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $299.13, for a total value of $667,359.03. Following the transaction, the insider directly owned 55,530 shares in the company, valued at approximately $16,610,688.90. This represents a 3.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. In the last three months, insiders sold 35,981 shares of company stock worth $8,207,942. 0.12% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Intech Investment Management LLC lifted its stake in Marvell Technology by 3.9% in the first quarter. Intech Investment Management LLC now owns 28,784 shares of the semiconductor company’s stock worth $1,772,000 after purchasing an additional 1,085 shares during the last quarter. Baird Financial Group Inc. grew its stake in shares of Marvell Technology by 22.7% during the second quarter. Baird Financial Group Inc. now owns 17,417 shares of the semiconductor company’s stock valued at $1,348,000 after buying an additional 3,221 shares during the last quarter. Flow Traders U.S. LLC purchased a new position in shares of Marvell Technology in the second quarter worth about $354,000. Treasurer of the State of North Carolina increased its holdings in shares of Marvell Technology by 3.0% in the second quarter. Treasurer of the State of North Carolina now owns 403,818 shares of the semiconductor company’s stock worth $31,256,000 after buying an additional 11,572 shares during the period. Finally, Alliancebernstein L.P. lifted its stake in shares of Marvell Technology by 1.0% in the 2nd quarter. Alliancebernstein L.P. now owns 411,569 shares of the semiconductor company’s stock valued at $31,855,000 after acquiring an additional 4,060 shares during the last quarter. 83.51% of the stock is owned by hedge funds and other institutional investors.

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.