Marvell Stock Drops 8% Despite Record AI Quarter and Raised Guidance
MRVL has more than doubled off its 52-week low of $61.44 on light trading volume (0.3× avg).
Summary
Marvell posted record Q2 revenue of $2.739B, up 37% YoY, and raised fiscal 2027 guidance to ~$12B and fiscal 2028 to ~$18B, yet shares fell over 8% pre-market. The sell-off reflects margin pressure from fast-growing custom silicon, which carries lower gross margin, and a sky-high valuation after a 222% trailing-year rally. The Google deal's $120B cumulative revenue is mostly a fiscal 2029+ story, so near-term upside is limited. Eight analysts raised price targets, but the market is demanding profitability alongside growth.
At the time of this announcement, MRVL was trading at $225.26 on NASDAQ in the Technology sector, with a market capitalization of approximately $197.3B. The 52-week trading range was $61.44 to $329.88. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Benzinga.