Marvell Technology (NASDAQ:MRVL) & GCT Semiconductor (NYSE:GCTS) Financial Analysis

GCT Semiconductor (NYSE:GCTSGet Free Report) and Marvell Technology (NASDAQ:MRVLGet Free Report) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, risk, profitability, earnings, valuation and dividends.

Profitability

This table compares GCT Semiconductor and Marvell Technology’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
GCT Semiconductor -1,078.51% N/A -231.58%
Marvell Technology 28.99% 13.83% 9.08%

Analyst Ratings

This is a summary of recent ratings and recommmendations for GCT Semiconductor and Marvell Technology, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
GCT Semiconductor 2 0 2 0 2.00
Marvell Technology 0 7 27 3 2.89

GCT Semiconductor presently has a consensus price target of $3.50, indicating a potential upside of 69.49%. Marvell Technology has a consensus price target of $245.45, indicating a potential upside of 28.41%. Given GCT Semiconductor’s higher possible upside, analysts plainly believe GCT Semiconductor is more favorable than Marvell Technology.

Risk & Volatility

GCT Semiconductor has a beta of 1.78, meaning that its share price is 78% more volatile than the S&P 500. Comparatively, Marvell Technology has a beta of 2.2, meaning that its share price is 120% more volatile than the S&P 500.

Insider and Institutional Ownership

28.1% of GCT Semiconductor shares are owned by institutional investors. Comparatively, 83.5% of Marvell Technology shares are owned by institutional investors. 5.4% of GCT Semiconductor shares are owned by company insiders. Comparatively, 0.1% of Marvell Technology shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares GCT Semiconductor and Marvell Technology”s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
GCT Semiconductor $2.87 million 65.45 -$43.37 million ($0.81) -2.55
Marvell Technology $8.19 billion 20.40 $2.67 billion $2.92 65.46

Marvell Technology has higher revenue and earnings than GCT Semiconductor. GCT Semiconductor is trading at a lower price-to-earnings ratio than Marvell Technology, indicating that it is currently the more affordable of the two stocks.

Summary

Marvell Technology beats GCT Semiconductor on 12 of the 15 factors compared between the two stocks.

About GCT Semiconductor

(Get Free Report)

GCT Semiconductor Holding, Inc., operates as a fabless semiconductor company, designs, develops, and markets integrated circuits for the wireless semiconductor industry. The company provides RF and modem chipsets based on 4G LTE technology, including 4G LTE, 4.5G LTE Advanced, and 4.75G LTE Advanced-Pro. It also develops and sells cellular IoT chipsets for low-speed mobile networks such as eMTC/NB-IOT/Sigfox, and other network protocols; and 5G solutions. Its products and solutions are used in smartphones, tablets, hotspots, CPEs, USB dongles, routers, and M2M applications. The company sells its products directly or indirectly through distributors to original equipment manufacturers and original design manufacturers primarily in Taiwan, China, Korea and Japan, Europe, North America and South America. The company was formerly known as Global Communication Technology, Inc. GCT Semiconductor Holding, Inc. was founded in 1998 and is headquartered in San Jose, California.

About Marvell Technology

(Get Free Report)

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. It offers a portfolio of Ethernet solutions, including controllers, network adapters, physical transceivers, and switches; single or multiple core processors; and custom application specific integrated circuits. The company also provides electro-optical products, including pulse amplitude modulations, coherent digital signal processors, laser drivers, trans-impedance amplifiers, silicon photonics, and data center interconnect solutions; fibre channel products comprising host bus adapters and controllers; storage controllers for hard disk drives and solid-state-drives; and host system interfaces, including serial attached SCSI, serial advanced technology attachment, peripheral component interconnect express, non-volatile memory express (NVMe), and NVMe over fabrics. It has operations in the United States, Argentina, China, India, Israel, Japan, Singapore, South Korea, Taiwan, and Vietnam. Marvell Technology, Inc. was incorporated in 1995 and is headquartered in Wilmington, Delaware.

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