Marvell Technology (NASDAQ:MRVL) Trading Down 10.3% Following Analyst Downgrade

Marvell Technology, Inc. (NASDAQ:MRVL)’s stock price fell 10.3% during mid-day trading on Friday after B. Riley Financial lowered their price target on the stock from $345.00 to $315.00. B. Riley Financial currently has a buy rating on the stock. Marvell Technology traded as low as $215.55 and last traded at $216.62. Approximately 48,177,398 shares changed hands during trading, an increase of 66% from the average daily volume of 29,078,627 shares. The stock had previously closed at $241.45.

MRVL has been the topic of several other research reports. Bank of America raised their price target on shares of Marvell Technology from $240.00 to $365.00 and gave the company a “buy” rating in a report on Tuesday, June 23rd. UBS Group set a $275.00 price objective on shares of Marvell Technology in a research report on Monday. Melius Research set a $220.00 target price on shares of Marvell Technology in a research note on Monday, May 18th. Scotiabank began coverage on shares of Marvell Technology in a report on Tuesday, May 26th. They set an “outperform” rating on the stock. Finally, William Blair restated an “outperform” rating on shares of Marvell Technology in a report on Thursday, May 28th. Three analysts have rated the stock with a Strong Buy rating, thirty have issued a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $265.76.

Insider Buying and Selling

In other Marvell Technology news, insider Sandeep Bharathi sold 2,231 shares of the company’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $299.13, for a total value of $667,359.03. Following the completion of the transaction, the insider owned 55,530 shares in the company, valued at $16,610,688.90. This represents a 3.86% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, 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 stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $180.50, for a total transaction of $1,805,000.00. Following the completion of 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 41,981 shares of company stock worth $9,753,132 in the last 90 days. 0.12% of the stock is owned by insiders.

Key Stories Impacting Marvell Technology

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

• Positive Sentiment: Marvell reported record fiscal Q2 revenue of approximately $2.74 billion, up 37% year over year, and adjusted EPS of $0.94 versus consensus of $0.93. Data-center revenue rose 46% to $2.17 billion, supported by strong AI demand. MRVL Q2 Earnings Beat on Data Center Strength, Outlook Raised
• Positive Sentiment: Management raised its outlook, including fiscal 2027 revenue of roughly $12 billion and fiscal 2028 revenue of about $18 billion. Third-quarter EPS guidance of $1.05-$1.15 also exceeded the $1.03 consensus estimate. Marvell Q2 Earnings Call Highlights Faster AI Data Center Growth
• Positive Sentiment: Several analysts remain bullish. Needham raised its price target to $300, while Oppenheimer increased its target to $325 and maintained an outperform rating. Rosenblatt and Needham also cited the long-term potential of Marvell’s Google AI-chip partnership. Marvell’s Google AI Chip Deal Could Drive $120 Billion in Long-Term Revenue

Institutional Investors Weigh In On Marvell Technology

Several hedge funds and other institutional investors have recently added to or reduced their stakes in MRVL. C M Bidwell & Associates Ltd. acquired a new position in Marvell Technology in the 2nd quarter worth $27,000. Aberdeen Wealth Management LLC acquired a new stake in shares of Marvell Technology during the second quarter valued at about $30,000. Tompkins Financial Corp purchased a new stake in shares of Marvell Technology during the second quarter worth about $31,000. LifeSteps Financial Inc. purchased a new stake in shares of Marvell Technology during the second quarter worth about $32,000. Finally, Cetera Trust Company N.A acquired a new position in shares of Marvell Technology in the second quarter worth about $37,000. Hedge funds and other institutional investors own 83.51% of the company’s stock.

Marvell Technology Stock Performance

The firm has a market cap of $189.50 billion, a price-to-earnings ratio of 74.18, a PEG ratio of 1.53 and a beta of 2.24. The company has a quick ratio of 2.66, a current ratio of 3.28 and a debt-to-equity ratio of 0.27. The company has a 50 day moving average of $229.10 and a 200 day moving average of $176.28.

Marvell Technology (NASDAQ:MRVL) last issued its quarterly earnings data on Thursday, August 27th. The semiconductor company reported $0.94 earnings per share for the quarter, beating analysts’ consensus estimates of $0.93 by $0.01. Marvell Technology had a return on equity of 13.83% and a net margin of 28.99%.The firm had revenue of $2.74 billion during the quarter, compared to analyst estimates of $2.72 billion. During the same quarter last year, the firm earned $0.67 EPS. Marvell Technology’s quarterly revenue was up 36.5% on a year-over-year basis. Marvell Technology has set its Q3 2027 guidance at 1.050-1.150 EPS. As a group, equities research analysts expect that Marvell Technology, Inc. will post 3.07 EPS for the current fiscal year.

Marvell Technology Dividend Announcement

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

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.