NasdaqGS:MRVL

Stock Analysis Report

Executive Summary

Marvell Technology Group Ltd. designs, develops, and markets analog, mixed-signal, digital signal processing, and embedded and standalone integrated circuits.

Snowflake

Fundamentals

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has Marvell Technology Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.8%

NasdaqGS:MRVL

2.8%

US Semiconductor

0.6%

US Market


1 Year Return

18.6%

NasdaqGS:MRVL

2.2%

US Semiconductor

4.1%

US Market

MRVL outperformed the Semiconductor industry which returned 4.1% over the past year.

MRVL outperformed the Market in United States of America which returned 4.7% over the past year.


Share holder returns

MRVLIndustryMarket
7 Day4.8%2.8%0.6%
30 Day8.0%10.2%3.8%
90 Day3.5%-5.6%2.8%
1 Year20.1%18.6%4.1%2.2%6.4%4.1%
3 Year172.0%161.2%87.0%75.9%47.0%37.3%
5 Year97.3%81.7%109.6%88.1%60.3%42.5%

Price Volatility Vs. Market

How volatile is Marvell Technology Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Marvell Technology Group undervalued based on future cash flows and its price relative to the stock market?

2.35x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Marvell Technology Group's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Marvell Technology Group's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Marvell Technology Group is loss making, we can't compare its value to the US Semiconductor industry average.

Marvell Technology Group is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Marvell Technology Group, we can't assess if its growth is good value.


Price Based on Value of Assets

Marvell Technology Group is good value based on assets compared to the US Semiconductor industry average.


Next Steps

Future Growth

How is Marvell Technology Group expected to perform in the next 1 to 3 years based on estimates from 25 analysts?

102.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Marvell Technology Group's revenue is expected to grow by 13.3% yearly, however this is not considered high growth (20% yearly).

Marvell Technology Group's earnings are expected to grow significantly at over 20% yearly.

Marvell Technology Group's revenue growth is expected to exceed the United States of America market average.

Marvell Technology Group's earnings growth is expected to exceed the United States of America market average.

Marvell Technology Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Marvell Technology Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Marvell Technology Group performed over the past 5 years?

-2.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Marvell Technology Group does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Marvell Technology Group's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Marvell Technology Group's 1-year growth to the US Semiconductor industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Marvell Technology Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Marvell Technology Group has efficiently used its assets last year compared to the US Semiconductor industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Marvell Technology Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Marvell Technology Group's financial position?


Financial Position Analysis

Marvell Technology Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Marvell Technology Group's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Marvell Technology Group's level of debt (23.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (0% vs 23.3% today).

Debt is well covered by operating cash flow (37.6%, greater than 20% of total debt).

Marvell Technology Group is making a loss, therefore interest payments are not well covered by earnings.


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.8x debt.


Next Steps

Dividend

What is Marvell Technology Group's current dividend yield, its reliability and sustainability?

1.02%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Marvell Technology Group's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.42%).

Marvell Technology Group's dividend is below the markets top 25% of dividend payers in United States of America (3.73%).

Whilst dividend payments have been stable, Marvell Technology Group has been paying a dividend for less than 10 years.

Marvell Technology Group has only been paying a dividend for 7 years, and since then there has been no growth.


Current Payout to Shareholders

The company is paying a dividend however it is incurring a loss.


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (5.1x coverage).


Next Steps

Management

What is the CEO of Marvell Technology Group's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Matt Murphy (46yo)

3.0yrs

Tenure

US$7,166,310

Compensation

Mr. Matthew J. Murphy, also known as Matt, serves as Independent Director at eBay Inc. since March 01, 2019. Mr. Murphy has been the President and Chief Executive Officer of Marvell Technology Group Ltd. s ...


CEO Compensation Analysis

Matt's remuneration is lower than average for companies of similar size in United States of America.

Matt's compensation has increased whilst company is loss making.


Management Age and Tenure

2.5yrs

Average Tenure

56.5yo

Average Age

The tenure for the Marvell Technology Group management team is about average.


Board Age and Tenure

2.8yrs

Average Tenure

58.5yo

Average Age

The average tenure for the Marvell Technology Group board of directors is less than 3 years, this suggests a new board.


Insider Trading

Marvell Technology Group individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$237,80025 Jun 19
Michael Strachan
EntityIndividual
Role
Member of the Board of Directors
Shares10,000
Max PriceUS$23.78
SellUS$238,86018 Jun 19
Oleg Khaykin
EntityIndividual
Role
Member of the Board of Directors
Shares10,000
Max PriceUS$23.89
SellUS$236,40016 Apr 19
Mitchell Gaynor
EntityIndividual
Role
Executive VP
Shares10,000
Max PriceUS$23.64
SellUS$137,312,55614 Feb 19
Starboard Value LP
EntityCompany
Shares9,650,700
Max PriceUS$19.53
BuyUS$220,05028 Dec 18
Jean Hu
EntityIndividual
Role
Chief Financial Officer
Shares15,000
Max PriceUS$14.67
BuyUS$37,02526 Dec 18
Robert Switz
EntityIndividual
Role
Member of the Board of Directors
Shares2,500
Max PriceUS$14.81
BuyUS$148,50021 Dec 18
Michael Strachan
EntityIndividual
Role
Member of the Board of Directors
Shares10,000
Max PriceUS$14.85
SellUS$40,495,42024 Oct 18
Starboard Value LP
EntityCompany
Shares2,200,000
Max PriceUS$18.52
BuyUS$9,559,87424 Oct 18
Starboard Value LP
EntityCompany
Shares528,827
Max PriceUS$18.85

Ownership Breakdown


Management Team

  • Matt Murphy (46yo)

    President

    • Tenure: 3.0yrs
    • Compensation: $7.17m
  • Sehat Sutardja (57yo)

    Co-Founder

    • Tenure: 24.5yrs
    • Compensation: $377.92k
  • Raghib Hussain (47yo)

    Executive Vice President of Networking & Processor Group and Chief Strategy Officer

    • Tenure: 1.5yrs
    • Compensation: $4.04m
  • Bethany Mayer (57yo)

    Director

    • Tenure: 1.5yrs
    • Compensation: $297.14k
  • Mitch Gaynor (59yo)

    Executive VP

    • Tenure: 2.2yrs
    • Compensation: $1.99m
  • Syed Ali (60yo)

    • Tenure: 0.1yrs
    • Compensation: $248.35k
  • Willem Meintjes (39yo)

    Principal Accounting Officer

    • Tenure: 1.1yrs
  • Jean Hu (56yo)

    Chief Financial Officer

    • Tenure: 2.9yrs
    • Compensation: $2.82m
  • Weili Dai (57yo)

    Co-Founder

    • Tenure: 24.5yrs
    • Compensation: $36.26k
  • Andy Micallef (54yo)

    Executive VP & COO

    • Tenure: 3.1yrs
    • Compensation: $2.11m

Board Members

  • Matt Murphy (46yo)

    President

    • Tenure: 3.0yrs
    • Compensation: $7.17m
  • Brad Buss (55yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $255.63k
  • Michael Strachan (70yo)

    Independent Director

    • Tenure: 3.2yrs
    • Compensation: $297.62k
  • Oleg Khaykin (54yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: $302.59k
  • Bethany Mayer (57yo)

    Director

    • Tenure: 1.2yrs
    • Compensation: $297.14k
  • Ed Frank (63yo)

    Director

    • Tenure: 1.0yrs
    • Compensation: $252.71k
  • Rick Hill (67yo)

    Chairman

    • Tenure: 3.2yrs
    • Compensation: $357.59k
  • Donna Morris (51yo)

    Director

    • Tenure: 1.2yrs
    • Compensation: $305.71k
  • William Brown (60yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: $287.59k
  • Bob Switz (73yo)

    Director

    • Tenure: 3.2yrs
    • Compensation: $299.49k

Company Information

Marvell Technology Group Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Marvell Technology Group Ltd.
  • Ticker: MRVL
  • Exchange: NasdaqGS
  • Founded: 1995
  • Industry: semiconductors
  • Sector: semiconductors
  • Market Cap: US$17.008b
  • Shares outstanding: 661.00m
  • Website: Click here

Number of Employees


Location

  • Marvell Technology Group Ltd.
  • Canon's Court
  • 22 Victoria Street
  • Hamilton
  • HM 12
  • Bermuda

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MRVLNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 2000
MVLDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2000
0UBILSE (London Stock Exchange)YesCommon StockGBUSDJun 2000

Biography

Marvell Technology Group Ltd. designs, develops, and markets analog, mixed-signal, digital signal processing, and embedded and standalone integrated circuits. It offers a range of storage products, includi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company AnalysisN/A
End of Day Share Price2019/07/16 00:00
Earnings2019/05/04
Annual Earnings2019/02/02


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.