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Marvell’s Strategic Alignment with AWS and Market Share Growth Justifies Buy Rating

Marvell’s Strategic Alignment with AWS and Market Share Growth Justifies Buy Rating

Marvell (MRVLResearch Report), the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Aaron Rakers from Wells Fargo maintained a Buy rating on the stock and has a $120.00 price target.

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Aaron Rakers has given his Buy rating due to a combination of factors that highlight Marvell’s strategic positioning and growth potential. One of the key reasons is Marvell’s strong alignment with AWS’s next-generation Trainium3 program, which is expected to boost their custom XPU revenue significantly. This positioning is seen as a positive development amidst market concerns about competition from other companies.
Additionally, Marvell’s confidence in gaining market share in the Data Center segment is another crucial factor. The company has outlined a substantial total addressable market opportunity by 2028, with expectations of capturing a significant share. This, combined with the anticipated recovery in Enterprise Networking and Carrier segments, supports a path to increased earnings per share. Despite some market volatility, Rakers sees Marvell as well-positioned for future growth, justifying the Buy rating.

In another report released today, KeyBanc also maintained a Buy rating on the stock with a $115.00 price target.

MRVL’s price has also changed moderately for the past six months – from $69.890 to $90.140, which is a 28.97% increase.

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