Marvell Technology (NASDAQ:MRVL) Trading Down 5.7% – Should You Sell?

Marvell Technology, Inc. (NASDAQ:MRVL) shares dropped 5.7% during trading on Thursday . The company traded as low as $76.08 and last traded at $76.68. Approximately 22,894,918 shares traded hands during trading, an increase of 19% from the average daily volume of 19,198,004 shares. The stock had previously closed at $81.32.

Analysts Set New Price Targets

Several analysts have commented on the stock. BNP Paribas upgraded shares of Marvell Technology to a “strong-buy” rating in a research report on Friday, August 29th. Evercore ISI dropped their price objective on Marvell Technology from $133.00 to $122.00 and set an “outperform” rating for the company in a report on Friday, August 29th. Roth Capital reissued a “buy” rating on shares of Marvell Technology in a research note on Wednesday, October 15th. Raymond James Financial started coverage on Marvell Technology in a report on Thursday. They set a “strong-buy” rating and a $121.00 target price on the stock. Finally, Wells Fargo & Company lowered their price target on Marvell Technology from $95.00 to $90.00 and set an “overweight” rating for the company in a research note on Friday, August 29th. Three research analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating and thirteen have assigned a Hold rating to the company. Based on data from MarketBeat, Marvell Technology has an average rating of “Moderate Buy” and a consensus target price of $94.23.

Marvell Technology Trading Up 1.0%

The business has a 50 day simple moving average of $84.55 and a 200-day simple moving average of $75.15. The stock has a market capitalization of $66.77 billion, a price-to-earnings ratio of -595.77, a PEG ratio of 1.10 and a beta of 1.95. The company has a debt-to-equity ratio of 0.30, a current ratio of 1.88 and a quick ratio of 1.44.

Marvell Technology (NASDAQ:MRVL) last released its quarterly earnings data on Thursday, August 28th. The semiconductor company reported $0.67 earnings per share for the quarter, meeting the consensus estimate of $0.67. Marvell Technology had a positive return on equity of 11.01% and a negative net margin of 1.43%.The business had revenue of $2.01 billion for the quarter, compared to analysts’ expectations of $2.01 billion. During the same quarter in the previous year, the business posted $0.30 EPS. Marvell Technology’s revenue for the quarter was up 57.6% on a year-over-year basis. Marvell Technology has set its Q3 2026 guidance at 0.690-0.790 EPS. As a group, equities analysts expect that Marvell Technology, Inc. will post 0.91 earnings per share for the current year.

Marvell Technology Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, October 30th. Investors of record on Friday, October 10th were issued a dividend of $0.06 per share. This represents a $0.24 dividend on an annualized basis and a dividend yield of 0.3%. The ex-dividend date was Friday, October 10th. Marvell Technology’s dividend payout ratio (DPR) is presently -184.62%.

Marvell Technology announced that its board has approved a stock repurchase plan on Wednesday, September 24th that authorizes the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization authorizes the semiconductor company to purchase up to 7.8% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s management believes its stock is undervalued.

Insider Activity at Marvell Technology

In other news, CEO Matthew J. Murphy acquired 13,600 shares of the firm’s stock in a transaction that occurred on Thursday, September 25th. The stock was acquired at an average cost of $77.09 per share, for a total transaction of $1,048,424.00. Following the completion of the acquisition, the chief executive officer owned 268,637 shares in the company, valued at $20,709,226.33. This represents a 5.33% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, COO Chris Koopmans purchased 6,800 shares of the firm’s stock in a transaction dated Thursday, September 25th. The shares were acquired at an average cost of $78.03 per share, with a total value of $530,604.00. Following the completion of the purchase, the chief operating officer directly owned 104,825 shares in the company, valued at approximately $8,179,494.75. This represents a 6.94% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders bought a total of 27,200 shares of company stock valued at $2,109,632 in the last quarter. 0.19% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the business. Financial Connections Group Inc. lifted its position in Marvell Technology by 776.0% during the 1st quarter. Financial Connections Group Inc. now owns 438 shares of the semiconductor company’s stock worth $27,000 after buying an additional 388 shares in the last quarter. Game Plan Financial Advisors LLC acquired a new stake in shares of Marvell Technology in the second quarter valued at about $27,000. Atlantic Edge Private Wealth Management LLC raised its holdings in Marvell Technology by 160.0% during the third quarter. Atlantic Edge Private Wealth Management LLC now owns 325 shares of the semiconductor company’s stock worth $27,000 after acquiring an additional 200 shares in the last quarter. Vision Financial Markets LLC acquired a new position in Marvell Technology during the first quarter valued at approximately $28,000. Finally, Kiker Wealth Management LLC grew its stake in Marvell Technology by 374.7% in the second quarter. Kiker Wealth Management LLC now owns 356 shares of the semiconductor company’s stock valued at $28,000 after purchasing an additional 281 shares in the last quarter. Institutional investors and hedge funds own 83.51% of the company’s stock.

Marvell Technology Company Profile

Marvell Technology, Inc, together with its subsidiaries, provides data infrastructure semiconductor solutions, spanning the data center core to network edge. The company develops and scales complex System-on-a-Chip architectures, integrating analog, mixed-signal, and digital signal processing functionality.