With all eyes on Nvidia’s earnings, its smaller rival Marvell is set to deliver results of its own.
The chipmaker, which has struggled to keep pace with Nvidia’s (NVDA) remarkable rise, will report second-quarter earnings on Aug. 28, just one day after Nvidia’s report.
Related: Analyst reboots Nvidia stock forecast before earnings
Marvell Technology (MRVL) gained 83% in 2024 and hit an all-time high of $127.48 in January this year amid robust AI chip demand and growth expectations.
But the stock price has since fallen, with recent prices well below this peak due to a narrowed revenue forecast and uncertain market conditions. Year-to-date, Marvell stock is down more than 30%.
Now, with the Nasdaq climbing and Nvidia trading near record levels, investors are wondering whether Marvell can ride the broader market strength.
Image source: Cheng/AFP via Getty Images
What to watch in Marvell’s upcoming earnings
Three months ago, Marvell posted first-quarter results that only slightly topped expectations, which added pressure to the stock.
Revenue for Q1 was $1.9 billion, just ahead of the $1.88 billion consensus, while adjusted earnings of $0.62 per share edged past forecasts of $0.61.
More Experts:
- Bill Ackman pours billions into 2 tech stocks amid AI boom
- Morgan Stanley analyst’s surprising take on stocks after record run
- Gen X & your 401(k): New lifetime income options are here
Guidance for the second quarter was roughly in line with Wall Street estimates.
The company’s results will be closely watched for signs of stronger AI chip demand and whether this year’s tumble has set the stage for a rebound.
Tech hyperscalers like Microsoft (MSFT) , Alphabet (GOOGL) , and Amazon (AMZN) have all reaffirmed plans to spend billions this year on data centers, which points to strong demand for AI chips. Investors will gauge whether the elevated AI spending could benefit companies beyond Nvidia.
Veteran analyst turns heads with Marvell stock target before earnings
Bob Lang, a Wall Street veteran with more than 20 years of experience, is the founder of trading company Explosive Options and Chief Options Analyst at Aztec Capital. He just offered his fresh take on Marvell stock.
“With so much excitement and enthusiasm surrounding the semiconductor segment with AI, quantum computing and next-generation chips, one would think a name like Marvell Technology would soar,” Lang wrote on TheStreet Pro, highlighting the company’s broad customer base, sizable backlog and healthy margins.
Related: Once battered AI stock surges 43% after earnings
Still, Lang said Marvell is “unloved” based on technical analysis. After breaking out of a prior base in the high $60s, the stock is stuck in a narrow trading range of $71 to $76, he noted.
“The indicators show Marvell is stymied here, money flow has started to decline while the ADX is near the bottom, indicating no trend currently,” Lang wrote.
Still, Lang sees room for optimism. “We think the stock is poised for a break out soon,” he wrote. “It may not be right after earnings but a shot higher would not be a surprise, and given Nvidia earnings come right in front, perhaps a pop above the top of the range would be ideal to get a new uptrend started.”
In TheStreet Pro Portfolio, Lang maintains a “one,” or “buy at any time,” rating on the stock.
Citi bullish on Marvell stock
Citi also reiterated a buy rating on Marvell stock with a price target of $96 before the release of earnings, saying near-term fundamentals look steady while the longer-term story hinges on data center opportunities.
“We expect the data center sales mix to drag the gross margins lower but model improving operating margins as customers contribute to the R&D of the XPU projects,” Citi wrote. XPU refers to Marvell’s AI accelerator chip.
Citi added that with fundamentals for the second half of 2025 looking stable, investor focus has shifted to the 2026 sales outlook, where consensus sees growth of 19% year over year.
Marvell stock closed at $74.26 on Aug. 26.
Related: Cathie Wood sells $1.6 million of popular meme stock
#Analysts #turn #heads #key #chip #stock039s #earnings