Harlan Sur, an analyst from J.P. Morgan, reiterated the Buy rating on Marvell (MRVL – Research Report). The associated price target remains the same with $130.00.
Harlan Sur has given his Buy rating due to a combination of factors that highlight Marvell’s strong position in the AI and cloud markets. The company has secured significant wins in its AI/cloud ASIC pipeline, particularly with a high-volume, next-generation node AI XPU ASIC program with its largest customer, believed to be AWS. This partnership is expected to drive substantial growth in Marvell’s AWS ASIC business in the coming years, specifically in CY25 and CY26.
Additionally, Marvell’s leadership in electro-optics and its strong market share in DSPs, along with its expanding AI ASIC pipeline, positions the company for continued success. The recent pullback in stock price, combined with reasonable expectations for AI ASICs and networking revenues, suggests a potential for the stock to outperform. Furthermore, Marvell’s strategic partnerships and production ramp with Amazon, alongside its five-year supply agreement, underscore the company’s robust growth prospects and justify the Buy rating.
Sur covers the Technology sector, focusing on stocks such as Nvidia, Advanced Micro Devices, and Lam Research. According to TipRanks, Sur has an average return of 22.7% and a 63.00% success rate on recommended stocks.
In another report released on March 13, DBS also reiterated a Buy rating on the stock with a $130.00 price target.
Questions or Comments about the article? Write to editor@tipranks.com