Marvell Technology's Potential Upside and Risks: Analyst Views

Marvell Technology (MRVL) is a semiconductor company focusing on data centers and AI. Analysts at Stifel reiterated a Buy rating with an $80.00 price target, expecting revenue guidance of around $1.97 billion in the July quarter. Analysts at Redburn Atlantic initiated coverage with a "Neutral" rating and a price target of $67.00, citing similarities with Broadcom and concerns about MRVL's involvement in future Amazon Web Services (AWS) Trainium chips. MRVL ranks 7th on the list of AI stocks on Wall Street's radar.

Marvell Technology (MRVL), a leading semiconductor company specializing in data centers and AI, has seen varying analyst opinions recently. On Wednesday, Stifel analysts maintained their Buy rating with an $80.00 price target, expecting revenue guidance of around $1.97 billion in the July quarter [2]. Meanwhile, Redburn Atlantic initiated coverage with a Neutral rating and a price target of $67.00, citing similarities with Broadcom and concerns about MRVL's involvement in future Amazon Web Services (AWS) Trainium chips [3].

Stifel analysts project that Marvell could offer July quarter revenue guidance with a midpoint close to their current estimate of $1.97 billion, potentially revised upward based on data center and AI revenue forecasts. They believe Marvell is well-positioned to benefit from the rapid expansion of data infrastructure, a long-term growth driver for the company [2].

Redburn analyst Mike Harrison, however, voiced caution over MRVL's role in future AWS Trainium chips and growing competition. He noted that while MRVL's year-to-date share price decline of 50% implies that the impact of a more modest role on AWS's Trainium 3 has been derisked, greater visibility on design wins is needed for a more constructive view on the stock [3].

These mixed views reflect the nuanced outlook for Marvell. Despite current challenges, analysts expect significant sales growth this year, with revenue projected to grow by 42%. The firm reiterates its Positive rating on Marvell shares but with a lowered price target, reflecting the mixed sentiment among analysts [1].

References:
[1] https://www.investing.com/news/analyst-ratings/marvell-stock-price-target-cut-to-90-by-susquehanna-93CH-4064849
[2] https://www.investing.com/news/analyst-ratings/stifel-maintains-buy-on-marvell-stock-reiterates-80-price-target-93CH-4067538
[3] https://finance.yahoo.com/news/redburn-atlantic-launches-coverage-chip-111609592.html