Marvell Technology (NASDAQ:MRVL) Trading Up 1.9% - Here's Why

Key Points

• Marvell Technology's stock rose 1.9% during mid-day trading, reaching a price of $77.28, with a substantial decrease in trading volume compared to its average.
• Several analysts recently revised their price targets, with Stifel Nicolaus lowering theirs from $115.00 to $80.00 while maintaining a 'buy' rating, and the consensus target price now stands at $94.70.
• The company recently announced a quarterly dividend of $0.06 per share, resulting in an annualized yield of 0.3%, despite a negative dividend payout ratio of -42.11%.

Marvell Technology, Inc. (NASDAQ:MRVL - Get Free Report) shares were up 1.9% during mid-day trading on Friday . The stock traded as high as $77.25 and last traded at $77.28. Approximately 3,236,017 shares changed hands during trading, a decline of 83% from the average daily volume of 18,640,807 shares. The stock had previously closed at $75.85.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on the stock. Stifel Nicolaus decreased their price target on shares of Marvell Technology from $115.00 to $80.00 and set a "buy" rating on the stock in a research note on Thursday, April 17th. The Goldman Sachs Group started coverage on Marvell Technology in a report on Thursday, July 10th. They set a "neutral" rating and a $75.00 price objective for the company. Evercore ISI lowered their target price on shares of Marvell Technology from $135.00 to $133.00 and set an "outperform" rating for the company in a research note on Friday, May 30th. Rosenblatt Securities reaffirmed a "buy" rating and issued a $124.00 price target on shares of Marvell Technology in a research note on Wednesday, June 18th. Finally, Cantor Fitzgerald upped their target price on shares of Marvell Technology from $60.00 to $75.00 and gave the stock a "neutral" rating in a research note on Wednesday, June 18th. One research analyst has rated the stock with a sell rating, eight have assigned a hold rating, twenty-two have issued a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $94.70.

Marvell Technology Stock Up 1.3%

The firm has a market cap of $66.36 billion, a price-to-earnings ratio of -134.68, a PEG ratio of 0.82 and a beta of 1.83. The company has a quick ratio of 0.94, a current ratio of 1.30 and a debt-to-equity ratio of 0.22. The firm has a fifty day moving average price of $72.62 and a 200-day moving average price of $75.11.

Marvell Technology (NASDAQ:MRVL - Get Free Report) last issued its quarterly earnings results on Thursday, May 29th. The semiconductor company reported $0.62 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.61 by $0.01. The firm had revenue of $1.90 billion for the quarter, compared to analyst estimates of $1.88 billion. Marvell Technology had a positive return on equity of 8.42% and a negative net margin of 7.56%. The firm's quarterly revenue was up 63.3% on a year-over-year basis. During the same period last year, the company earned $0.24 EPS. As a group, sell-side analysts forecast that Marvell Technology, Inc. will post 0.91 EPS for the current year.

Marvell Technology Announces Dividend

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

Insider Activity at Marvell Technology

In other Marvell Technology news, COO Chris Koopmans sold 6,000 shares of the stock in a transaction on Thursday, May 15th. The shares were sold at an average price of $65.10, for a total transaction of $390,600.00. Following the sale, the chief operating officer directly owned 92,065 shares of the company's stock, valued at approximately $5,993,431.50. This represents a 6.12% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Mark Casper sold 3,000 shares of the business's stock in a transaction dated Friday, July 18th. The shares were sold at an average price of $72.35, for a total transaction of $217,050.00. Following the sale, the executive vice president directly owned 17,163 shares of the company's stock, valued at approximately $1,241,743.05. This represents a 14.88% decrease in their position. The disclosure for this sale can be found here. Insiders sold 16,434 shares of company stock valued at $1,097,826 in the last 90 days. 0.19% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Marvell Technology

Hedge funds and other institutional investors have recently made changes to their positions in the business. Nuveen Asset Management LLC grew its holdings in Marvell Technology by 232.2% during the fourth quarter. Nuveen Asset Management LLC now owns 9,360,425 shares of the semiconductor company's stock worth $1,033,859,000 after acquiring an additional 6,543,132 shares during the period. Nuveen LLC bought a new stake in shares of Marvell Technology in the 1st quarter worth approximately $399,587,000. Goldman Sachs Group Inc. lifted its stake in Marvell Technology by 32.3% during the first quarter. Goldman Sachs Group Inc. now owns 20,661,308 shares of the semiconductor company's stock valued at $1,272,117,000 after purchasing an additional 5,050,159 shares during the last quarter. Impax Asset Management Group plc boosted its holdings in Marvell Technology by 748.3% during the first quarter. Impax Asset Management Group plc now owns 3,700,841 shares of the semiconductor company's stock worth $227,033,000 after buying an additional 3,264,557 shares in the last quarter. Finally, AQR Capital Management LLC increased its holdings in shares of Marvell Technology by 662.9% in the first quarter. AQR Capital Management LLC now owns 3,119,855 shares of the semiconductor company's stock valued at $187,566,000 after buying an additional 2,710,894 shares in the last quarter. 83.51% of the stock is currently owned by institutional investors and hedge funds.

Marvell Technology Company Profile

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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