Marvell Technology's analyst price target has increased by approximately $2.44 to $89.67, as analysts point to strengthening AI infrastructure demand and continued growth expectations across its key business segments.

Analyst Commentary

Recent analyst coverage of Marvell Technology reflects both optimism about the company's prospects in AI infrastructure and increased scrutiny on segment performance and near-term execution. As analysts update their valuation models, several factors are influencing new price targets and ratings.

• Bullish analysts are encouraged by Marvell’s expanding presence in AI infrastructure. Recent product demos have showcased advancements in high-performance optical and electrical connectivity solutions.
• Management’s confident outlook supports expectations for double-digit growth across all segments in 2026. These expectations are driven by continued deployment of AI infrastructure by cloud service providers and hyperscalers.
• Marvell’s custom ASIC and connectivity businesses remain on track with forecasted growth, and the company is expected to leverage its proprietary low latency switching technologies to capture emerging market opportunities.
• Positive signals from management, combined with increased buyback activity, have improved analyst optimism regarding Marvell’s medium-term earnings and sales growth prospects, particularly for fiscal years 2027 and 2028.

• Bearish analysts caution that near-term revenue guidance has disappointed, particularly in the custom silicon and data center segments. This has led to some downward adjustments in price targets.
• Some concerns remain about lumpiness in data center business performance and a declining outlook for annual sales in certain specialty segments, in spite of broader AI tailwinds.
• Ongoing questions about Marvell’s positioning for next-generation XPUs with major cloud customers create uncertainty around long-term competitive differentiation.
• Recent downward revisions to price targets by several firms reflect more tempered expectations for execution and market share expansion in the short term.

What's in the News

• The U.S. is pressuring Taiwan to relocate chip production to America in a push to manufacture at least half of chips for the U.S. market domestically. This effort aims to limit reliance on overseas supply and counter geopolitical risks (Bloomberg).
• The Trump administration is planning a policy requiring chipmakers to produce as many semiconductors in the U.S. as are imported, with potential tariffs for non-compliance (Wall Street Journal).
• China's Ministry of Commerce has launched anti-discrimination and anti-dumping investigations into U.S. chip trade policies, reflecting growing trade tensions between the two countries (Reuters).
• The White House is considering reallocating at least $2 billion in CHIPS Act funding to secure critical minerals and reduce dependence on China. This could potentially shift resources away from semiconductor research to minerals projects (Reuters).
• Marvell was downgraded to Neutral from Outperform at KGI Securities, with a new $75 price target.

Valuation Changes

• Consensus Analyst Price Target has risen slightly, increasing from $87.23 to $89.67.
• Discount Rate has decreased marginally, moving from 10.36% to 10.31%.
• Revenue Growth expectations have declined slightly, from 19.48% to 19.44%.
• Net Profit Margin projections have improved modestly, rising from 24.28% to 24.65%.
• Future P/E multiple has edged higher, moving from 33.34x to 33.75x.