Marvell Technology (NASDAQ:MRVL) Trading Up 7.9% Following Strong Earnings

Marvell Technology, Inc. (NASDAQ:MRVL) was up 7.9% during mid-day trading on Wednesday following a stronger than expected earnings report. The company traded as high as $102.11 and last traded at $100.20. Approximately 52,593,766 shares traded hands during mid-day trading, an increase of 172% from the average daily volume of 19,340,541 shares. The stock had previously closed at $92.89.

The semiconductor company reported $0.76 EPS for the quarter, topping analysts’ consensus estimates of $0.74 by $0.02. The company had revenue of $2.07 billion for the quarter, compared to the consensus estimate of $2.06 billion. Marvell Technology had a negative net margin of 1.43% and a positive return on equity of 11.01%. Marvell Technology’s quarterly revenue was up 36.8% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.43 earnings per share. Marvell Technology has set its Q4 2026 guidance at 0.740-0.840 EPS.

Marvell Technology Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 30th. Investors of record on Friday, October 10th were issued a $0.06 dividend. This represents a $0.24 annualized dividend and a dividend yield of 0.2%. The ex-dividend date was Friday, October 10th. Marvell Technology’s payout ratio is currently 8.42%.

Marvell Technology declared that its Board of Directors has authorized a share repurchase plan on Wednesday, September 24th that allows the company to repurchase $5.00 billion in shares. This repurchase authorization allows the semiconductor company to buy up to 7.8% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board believes its stock is undervalued.

Analyst Ratings Changes

A number of equities analysts have recently commented on MRVL shares. HSBC began coverage on Marvell Technology in a research report on Monday, November 24th. They set a “hold” rating and a $85.00 price objective for the company. Cantor Fitzgerald set a $110.00 target price on shares of Marvell Technology in a research note on Wednesday. The Goldman Sachs Group increased their target price on Marvell Technology from $80.00 to $90.00 and gave the company a “neutral” rating in a report on Wednesday. Summit Redstone set a $105.00 price target on Marvell Technology in a report on Wednesday, October 15th. Finally, Needham & Company LLC raised their target price on Marvell Technology from $95.00 to $120.00 and gave the stock a “buy” rating in a research report on Wednesday. Three investment analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and fourteen have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $111.00.

Insider Buying and Selling

In other Marvell Technology news, CEO Matthew J. Murphy acquired 13,600 shares of the company’s stock in a transaction that occurred on Thursday, September 25th. The shares were purchased at an average price of $77.09 per share, with a total value of $1,048,424.00. Following the completion of the acquisition, the chief executive officer directly owned 268,637 shares of the company’s stock, valued at approximately $20,709,226.33. The trade was a 5.33% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. Also, CFO Willem A. Meintjes acquired 3,400 shares of the business’s stock in a transaction on Thursday, September 25th. The stock was acquired at an average price of $78.03 per share, with a total value of $265,302.00. Following the transaction, the chief financial officer directly owned 132,159 shares of the company’s stock, valued at $10,312,366.77. This represents a 2.64% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last 90 days, insiders have bought 27,200 shares of company stock worth $2,109,632. Insiders own 0.19% of the company’s stock.

Institutional Trading of Marvell Technology

Institutional investors have recently added to or reduced their stakes in the stock. Harbour Investments Inc. grew its holdings in shares of Marvell Technology by 48.1% in the 1st quarter. Harbour Investments Inc. now owns 3,062 shares of the semiconductor company’s stock worth $189,000 after acquiring an additional 994 shares during the period. Moors & Cabot Inc. grew its stake in Marvell Technology by 35.3% in the 1st quarter. Moors & Cabot Inc. now owns 6,913 shares of the semiconductor company’s stock valued at $426,000 after acquiring an additional 1,805 shares during the last quarter. Commerce Bank increased its holdings in Marvell Technology by 1.0% during the 1st quarter. Commerce Bank now owns 31,869 shares of the semiconductor company’s stock valued at $1,962,000 after acquiring an additional 331 shares in the last quarter. PNC Financial Services Group Inc. lifted its holdings in shares of Marvell Technology by 4.3% in the first quarter. PNC Financial Services Group Inc. now owns 80,503 shares of the semiconductor company’s stock valued at $4,957,000 after purchasing an additional 3,336 shares in the last quarter. Finally, Banco Santander S.A. grew its position in shares of Marvell Technology by 73.3% in the first quarter. Banco Santander S.A. now owns 6,275 shares of the semiconductor company’s stock valued at $386,000 after purchasing an additional 2,654 shares during the last quarter. Hedge funds and other institutional investors own 83.51% of the company’s stock.

Marvell Technology Trading Up 7.9%

The stock has a market cap of $86.38 billion, a PE ratio of -770.77, a price-to-earnings-growth ratio of 1.10 and a beta of 1.93. The business has a 50 day moving average of $86.75 and a 200-day moving average of $76.61. The company has a current ratio of 1.88, a quick ratio of 1.44 and a debt-to-equity ratio of 0.30.

About Marvell Technology

Marvell Technology, Inc, together with its subsidiaries, provides data infrastructure semiconductor solutions, spanning the data center core to network edge. The company develops and scales complex System-on-a-Chip architectures, integrating analog, mixed-signal, and digital signal processing functionality.