Fang Boon Foo, an analyst from DBS, reiterated the Buy rating on Marvell (MRVL – Research Report). The associated price target remains the same with $130.00.
Fang Boon Foo’s rating is based on Marvell’s strong performance in the data center segment and its promising revenue guidance for the upcoming quarter, which exceeded expectations. The company’s strategic focus on the communications and connectivity sector positions it well to capitalize on growth opportunities in data infrastructure, cloud, and 5G markets. Marvell’s innovative approach, evidenced by its extensive patent portfolio and strategic acquisitions, supports its transition from consumer-focused products to more stable enterprise solutions.
Furthermore, Marvell’s operational improvements and cost efficiencies, particularly in its manufacturing and testing operations in APAC, are expected to enhance its financial structure and address leverage concerns. The company’s ability to supply custom ASIC chips for AI applications and its recovery in non-AI segments further justify the Buy rating. While past operational challenges are noted, the current strategic direction and market positioning suggest a positive outlook for Marvell.
In another report released on March 3, Evercore ISI also reiterated a Buy rating on the stock with a $135.00 price target.
Based on the recent corporate insider activity of 79 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of MRVL in relation to earlier this year.
Questions or Comments about the article? Write to editor@tipranks.com