Marvell Technology Falls 10.3% Amid Weaker Fiscal 2028 Outlook
On August 29, Marvell Technology (NASDAQ:MRVL) closed at $216.62 after a significant drop of 10.28%. The decline came despite the company beating earnings estimates for its fiscal second quarter with sales and EPS rising by 37% and 50%, respectively. Investors were disappointed by weaker-than-expected guidance for fiscal years 2027 and 2028, which limited upside potential. Marvell raised revenue forecasts to $12 billion in FY2027 and $18 billion in FY2028 from its current $9.5 billion over the last twelve months. However, analysts had hoped for stronger guidance following a new deal with Alphabet's Google business. The lack of clarity around how this partnership will impact future earnings contributed to investor concerns. The broader market also saw declines: the S&P 500 fell by 0.27%, and the Nasdaq Composite dropped 0.52%. Peers like Broadcom (NASDAQ:AVGO) and NXP Semiconductors (NASDAQ:NXPI) also declined slightly.
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Topics: fiscal guidance Google deal timing Marvell Technology semiconductor sector