Comparing Marvell Technology (MRVL) & The Competition

Marvell Technology (NASDAQ:MRVL) is one of 221 publicly-traded companies in the “Semiconductors & Semiconductor Equipment” industry, but how does it compare to its competitors? We will compare Marvell Technology to similar businesses based on the strength of its profitability, risk, institutional ownership, dividends, analyst recommendations, valuation and earnings.

Insider & Institutional Ownership

83.5% of Marvell Technology shares are owned by institutional investors. Comparatively, 54.6% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by institutional investors. 0.1% of Marvell Technology shares are owned by insiders. Comparatively, 11.9% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Marvell Technology and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marvell Technology	0	9	28	3	2.85
Marvell Technology Competitors	3487	12300	25685	990	2.57

Marvell Technology currently has a consensus target price of $300.85, indicating a potential upside of 77.67%. As a group, “Semiconductors & Semiconductor Equipment” companies have a potential upside of 39.19%. Given Marvell Technology’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Marvell Technology is more favorable than its competitors.

Valuation and Earnings

This table compares Marvell Technology and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Marvell Technology	$8.19 billion	$2.67 billion	55.88
Marvell Technology Competitors	$1,259.14 billion	$2.48 billion	9.00

Marvell Technology’s competitors have higher revenue, but lower earnings than Marvell Technology. Marvell Technology is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Marvell Technology and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marvell Technology	27.93%	13.57%	8.98%
Marvell Technology Competitors	-1,280.74%	-126.55%	-4.15%

Volatility & Risk

Marvell Technology has a beta of 2.26, meaning that its share price is 126% more volatile than the S&P 500. Comparatively, Marvell Technology’s competitors have a beta of 3.06, meaning that their average share price is 206% more volatile than the S&P 500.

Dividends

Marvell Technology pays an annual dividend of $0.24 per share and has a dividend yield of 0.1%. Marvell Technology pays out 7.9% of its earnings in the form of a dividend. As a group, “Semiconductors & Semiconductor Equipment” companies pay a dividend yield of 0.9% and pay out 30.0% of their earnings in the form of a dividend.

Summary

Marvell Technology beats its competitors on 11 of the 15 factors compared.

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. It offers a portfolio of Ethernet solutions, including controllers, network adapters, physical transceivers, and switches; single or multiple core processors; and custom application specific integrated circuits. The company also provides electro-optical products, including pulse amplitude modulations, coherent digital signal processors, laser drivers, trans-impedance amplifiers, silicon photonics, and data center interconnect solutions; fibre channel products comprising host bus adapters and controllers; storage controllers for hard disk drives and solid-state-drives; and host system interfaces, including serial attached SCSI, serial advanced technology attachment, peripheral component interconnect express, non-volatile memory express (NVMe), and NVMe over fabrics. It has operations in the United States, Argentina, China, India, Israel, Japan, Singapore, South Korea, Taiwan, and Vietnam. Marvell Technology, Inc. was incorporated in 1995 and is headquartered in Wilmington, Delaware.