Following supply chain optimization news, MRVL stock price touched an intraday high of $67. “Yesterday, CEO Matt Murphy spoke at a competitor’s fireside chat. Our key takeaways include: 1) Murphy tried to ease investor concerns about the custom business by confirming there should be no revenue gap next year in custom silicon, specifically at AWS. 2) Provided target growth rates for Data Center and its sub-segments in FY27, in which DC is expected to grow in line with hyperscaler CapEx at +18% Y/Y. Optics should outgrow the +18% Y/Y growth rate, custom silicon is expected to grow in line, and other/emerging should grow double-digits Y/Y; and 3) Highlighted opportunities in scale-up network connections and sees the company well positioned to capitalize on them. Reflecting Murphy’s comments, we reduce our custom silicon forecast but raise our optics/other forecast for FY27, driving slight upside to NG GM and NG EPS. Raise PT to $95.” Over the past month, shares of this chipmaker have returned +34.6%, compared to the Zacks S&P 500 composite's +3.9% change. During this period, the Zacks Electronics - Semiconductors industry, which Marvell falls in, has gained 14.9%. The key question now is: What could be the stock's future direction? Following partnership announcements with leading cloud providers, MRVL stock price edged higher by 1.2%. Analysts predict these deals will materially increase licensing and sales revenues.
