Shares of the technology company Marvell Technology Inc (NASDAQ:MRVL) rose after the company reported positive quarterly results. Here’s what five analysts had to say about the earnings:
Morgan Stanley On Marvell Technology
Joseph Moore, an analyst from Morgan Stanley, kept an Equal-Weight rating while raising the price target from $45 to $55. He said that numbers came in better than expected, with upside in autos and ongoing networking weakness. Moore believes that an inventory overhang in enterprise networking could persist through the rest of the year, and stated that management refined its “AI growth narrative,” focusing on the higher speed elements of Inphi optical businesses, and longer-term cloud custom silicon.
KeyBanc Capital Markets On Marvell Technology
John Vinh, an analyst from KeyBanc, reiterated an Overweight rating while lifting the price target from $60 to $70. He said that Marvell Technology’s quarterly results were solid and that their guidance for the second quarter came slightly above expectations. He also stated that the upside to guidance was due to consumer growing approximately 35% q/q, while core segments such as networking, data center, and carrier infra are still correcting. Vinh also highlighted that Marvell Technology quantified its AI exposure as $200M in FY23 and expects it to double in each of the next two years.
Susquehanna On Marvell Technology
Christopher Rolland, an analyst from Susquehanna, reaffirmed a Positive rating while raising the price target from $53 to $60. He believes that Marvell announced slightly better results and guidance, bucking the trend of recent quarters. He also notes that while the story appears to be getting back on track, and appreciates the breakout of AI, he was somewhat surprised by the stock’s strong response after-hours, as he felt management dampened expectations somewhat for 2H.
Needham On Marvell Technology
Quinn Bolton, an analyst from Needham, maintained a Buy rating while lifting the price target from $50 to $65. He said that AI was the obvious focus point on the call, noting that Marvell Technology quantified the AI opportunity, stating that FY23 ≅ $200MM, FY24 > $400MM, and FY25 >$800MM. He also wrote that near-term AI sales are primarily driven by PAM4 DSPs and 400ZR DCI products and that bookings have increased materially for these products since LQ’s call.
BMO Capital Markets On Marvell Technology
Ambrish Srivastava, an analyst from BMO Capital, reiterated an Outperform rating and price target of $65. He believes that the AI potential has always been there, but it changed for investors after the recent miss on multiple fronts in the prior quarter. He also notes that the demonstration of a steadier handle on GM, along with the comments/details/specifics around the AI opportunity for the company, ought to put the company back in the list of potential winners in AI.
MRVL Price Action: Shares of Marvell Technology had jumped by 28.24% to $63.44 at the time of publication Friday.
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