From 24/7 Wall St. · Alex Sirois · · 1m 10s
Marvell Technology AI Growth Story
Marvell Technology's AI chip demand surges as earnings beat expectations.
In brief
Marvell Technology's AI chip demand surges as earnings beat expectations. Marvell Technology's AI networking business is expanding rapidly with 75% data center growth and a Google partnership. Originally reported by 24/7 Wall St..
Marvell Technology Selloff
Marvell Technology shares fell 17.24% in the week ended October 16 to $227.83 after a 168.54% year-to-date run.
AI Networking Focus
Marvell builds parts that let AI chips talk including optical DSPs, Ethernet switches, and custom silicon for hyperscalers.
Bandwidth Demand Growth
Data Center revenue grew 21% in Q4 FY2026, then 27%, then 46% last quarter with Q3 growth at 75% year-over-year.
Google Partnership
Marvell granted Google a warrant to acquire up to 7% of shares tied to revenue targets for custom business growth.
Margin Expansion
Non-GAAP operating margin rose to 36.6% from 34.8% with Q4 target of 38% to 40%.
Competitor Comparison
NVIDIA has $279 billion supply commitments while AMD trades at a P/E of 199 with lower AI focus.
What to Watch Next
Data Center growth expected to top 60% in fiscal 2028 with bookings and margins to be monitored.
The big picture
Marvell Technology's AI networking business is expanding rapidly with 75% data center growth and a Google partnership.
