Marvell Technology Group Ltd. (NASDAQ:MRVL) stock drew fresh analyst commentary on Friday after the company raised its fiscal 2027 and fiscal 2028 revenue outlook.
Rosenblatt analysts reiterated a Buy rating and $300 price forecast, based on 28 times their fiscal 2029 earnings-per-share framework. Needham raised its price forecast to $300 from $270, maintaining a Buy rating, based on approximately 30 times their calendar 2028 non-GAAP EPS estimate of $10.25.
Marvell’s stock is falling on Friday despite record results because investors were expecting even more after its huge 220%+ rally over the past year.
The main concern is that rapid growth in lower-margin custom AI chips is temporarily pressuring gross margins, while major new AI deals such as Google’s are expected to contribute more meaningfully only in later years.
In short, the AI business is getting stronger, but investors are now demanding faster profitable growth and believe much of the good news is already priced into the stock.
