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Semiconductor solutions provider Marvell Technology (MRVL) has recently risen after a deal was revealed with Google parent Alphabet (GOOG) (GOOGL) that would allow Google to buy $12.20 billion worth of shares in the chipmaker. The partnership builds on the existing deal between the two companies for custom chips.
In a regulatory filing, Marvell stated that the expanded agreement will cover products tied to the tensor processing unit ecosystem, including AI inference accelerators and storage and network interface controllers. Investors are excited about the deal because it shows Marvell’s custom‑silicon platform is gaining traction among hyperscalers, which can signal greater revenue visibility down the line. Therefore, the stock may be worth considering now.
Let’s take a closer look at Marvell now.
About Marvell Stock
Marvell Technology, headquartered in Santa Clara, California, is a global semiconductor company that designs custom silicon and data center infrastructure to power modern networks. Its portfolio spans application-specific integrated circuits (ASICs), high-speed networking and switching chips, and advanced interconnect and optical solutions that enable faster, more reliable data movement across cloud platforms, 5G systems, and enterprise environments.
By delivering core technologies for transmitting, processing, storing, and securing data, Marvell supports hyperscalers, telecom carriers, and large enterprises as they scale AI and cloud workloads, with a current market capitalization of about $212.96 billion.
Over the past 52 weeks, Marvell’s stock has gained 230%, driven primarily by explosive demand for its custom AI chips and optical interconnect solutions. This year, based on positive tailwinds, the stock has gained a whopping 176%. MRVL reached a 52-week high of $329.88 on June 18 but is down 29% from that level.
Marvell Q1 Results Showed Strong Growth
Marvell reported a record revenue for the first quarter of fiscal 2027 (quarter ended May 2). The company’s revenue rose 28% year-over-year (YoY) to $2.42 billion, which was slightly higher than the $2.40 billion that Wall Street analysts had expected. Marvell’s non-GAAP EPS grew 29% to $0.80, which met Wall Street’s expectations.
Data center end-market revenue grew by 27% YoY to $1.83 billion, driven by robust demand for its 800G PAM4 optical DSPs (digital signal processors), with 1.6T quickly ramping. Overall, the company saw AI-driven demand across all key product lines. As the market largely recovered from customer inventory corrections, Marvell’s communications and other end-market revenue increased 29% annually to $585 million.
Wall Street analysts are robustly optimistic about Marvell’s future earnings. For fiscal 2027, EPS is projected to surge 42.1% annually to $3.07, followed by a 66.5% growth to $5.11 in fiscal 2028. For the second quarter of fiscal 2027 (to be reported on Aug. 27, after the market closes), its EPS is projected to climb 30% YoY to $0.65.
Here’s What Analysts Think About MRVL Stock
MRVL stock mostly enjoys positive sentiments from Wall Street analysts. However, analysts at TD Cowen recently reiterated a “Hold” rating on the stock but raised the price target from $200 to $225, showing a cautious stance.
By contrast, UBS analysts raised Marvell’s price target from $300 to $310 while maintaining a “Buy” rating, following the announcement of its expanded partnership with Google. UBS analysts believe the agreement could support earnings per share of $10 by 2028 and $15 by 2030.
KeyBanc analysts also raised Marvell’s price target from $260 to $385, while keeping an “Overweight” rating on the stock. Analysts cited its positioning in AI infrastructure and data center networking. KeyBanc also noted that, as data centers undergo structural changes, networking is likely to draw greater investor attention because it is viewed as more resilient than custom XPUs.
Wall Street analysts are strongly bullish on MRVL stock, with a consensus “Strong Buy” rating. Of the 35 analysts rating the stock, 25 have given it a “Strong Buy,” three suggest a “Moderate Buy,” and seven are playing it safe with a “Hold.” The consensus price target of $269.31 represents a 15% upside from current levels. Moreover, the Street-high price target of $400 implies a 70% upside.
On the date of publication, Anushka Dutta did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
