Marvell Technology (NASDAQ:MRVL) Trading Down 3.7% - Time to Sell?

Key Points

• Marvell Technology's stock price fell 3.7% to $73.89, with a significant decline in trading volume.
• Analysts have issued mixed ratings: Needham downgraded from "buy" to "cautious," while Raymond James set a new price target of $90.00, down from $110.00.
• The company recently announced a quarterly dividend of $0.06 per share, representing a 0.3% yield, amid a period of insider selling by executives.

Marvell Technology, Inc. (NASDAQ:MRVL - Get Free Report)'s stock price traded down 3.7% on Tuesday . The stock traded as low as $73.95 and last traded at $73.89. 3,297,488 shares were traded during trading, a decline of 82% from the average session volume of 18,331,092 shares. The stock had previously closed at $76.74.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on the company. Needham & Company LLC cut Marvell Technology from a "buy" rating to a "cautious" rating in a research note on Wednesday, July 16th. Morgan Stanley restated an "equal weight" rating on shares of Marvell Technology in a research note on Friday, August 8th. Raymond James Financial restated an "outperform" rating and set a $90.00 price objective (down from $110.00) on shares of Marvell Technology in a research note on Friday, May 30th. Redburn Atlantic assumed coverage on Marvell Technology in a research note on Wednesday, May 28th. They set a "neutral" rating and a $67.00 price objective on the stock. Finally, Melius Research raised their target price on Marvell Technology from $67.00 to $76.00 and gave the company a "hold" rating in a research report on Wednesday, June 18th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Marvell Technology has a consensus rating of "Moderate Buy" and an average price target of $94.70.

Marvell Technology Trading Down 4.2%

The stock has a 50-day moving average price of $74.45 and a 200-day moving average price of $72.74. The stock has a market cap of $63.53 billion, a P/E ratio of -128.95, a P/E/G ratio of 0.83 and a beta of 1.83. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.94 and a current ratio of 1.30.

Marvell Technology (NASDAQ:MRVL - Get Free Report) last announced its quarterly earnings results on Thursday, May 29th. The semiconductor company reported $0.62 EPS for the quarter, topping analysts' consensus estimates of $0.61 by $0.01. The business had revenue of $1.90 billion for the quarter, compared to analysts' expectations of $1.88 billion. Marvell Technology had a positive return on equity of 8.42% and a negative net margin of 7.56%.The business's quarterly revenue was up 63.3% on a year-over-year basis. During the same period in the previous year, the firm earned $0.24 EPS. Marvell Technology has set its Q2 2026 guidance at 0.620-0.720 EPS. On average, equities research analysts expect that Marvell Technology, Inc. will post 0.91 EPS for the current year.

Marvell Technology Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, July 31st. Investors of record on Friday, July 11th were paid a $0.06 dividend. This represents a $0.24 annualized dividend and a yield of 0.3%. The ex-dividend date of this dividend was Friday, July 11th. Marvell Technology's dividend payout ratio is presently -42.11%.

Insider Activity

In other news, EVP Mark Casper sold 3,000 shares of the company's stock in a transaction on Friday, July 18th. The stock was sold at an average price of $72.35, for a total transaction of $217,050.00. Following the transaction, the executive vice president directly owned 17,163 shares of the company's stock, valued at $1,241,743.05. This represents a 14.88% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Willem A. Meintjes sold 1,500 shares of the company's stock in a transaction on Monday, June 16th. The shares were sold at an average price of $68.52, for a total value of $102,780.00. Following the transaction, the chief financial officer directly owned 121,348 shares in the company, valued at approximately $8,314,764.96. The trade was a 1.22% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 5,783 shares of company stock worth $407,716 over the last 90 days. 0.19% of the stock is currently owned by insiders.

Institutional Trading of Marvell Technology

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. grew its position in shares of Marvell Technology by 1.1% during the second quarter. Vanguard Group Inc. now owns 64,443,232 shares of the semiconductor company's stock worth $4,987,906,000 after purchasing an additional 673,110 shares in the last quarter. Brown Advisory Inc. grew its position in shares of Marvell Technology by 8.0% during the second quarter. Brown Advisory Inc. now owns 20,840,336 shares of the semiconductor company's stock worth $1,613,044,000 after purchasing an additional 1,539,809 shares in the last quarter. Goldman Sachs Group Inc. grew its holdings in Marvell Technology by 32.3% during the 1st quarter. Goldman Sachs Group Inc. now owns 20,661,308 shares of the semiconductor company's stock valued at $1,272,117,000 after buying an additional 5,050,159 shares in the last quarter. State Street Corp grew its holdings in Marvell Technology by 2.7% during the 2nd quarter. State Street Corp now owns 20,573,260 shares of the semiconductor company's stock valued at $1,592,370,000 after buying an additional 533,946 shares in the last quarter. Finally, Janus Henderson Group PLC grew its holdings in Marvell Technology by 6.9% during the 4th quarter. Janus Henderson Group PLC now owns 13,239,154 shares of the semiconductor company's stock valued at $1,462,274,000 after buying an additional 857,087 shares in the last quarter. Hedge funds and other institutional investors own 83.51% of the company's stock.

About Marvell Technology

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.

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