KeyBanc and UBS raised price targets for Marvell Technology as the company expands into the custom AI chip market. Marvell currently reports over 50 design opportunities within this sector. Data center revenue now accounts for 76% of the company's total sales. The CEO forecasts 35% year-over-year growth for the second quarter.
This momentum follows Marvell’s recent inclusion in the S&P 500 and a public endorsement from Nvidia’s CEO. On June 26, the company announced a regular quarterly dividend to signal financial stability.
However, market observers identified potential risks regarding the stock's high valuation. The outgoing CFO also recently executed a large sale of company shares.