Marvell (MRVL) is rated Hold at $223.47, up 163.4% this year but down 14.8% over the past month. Second-quarter revenue reached $2.739B, up 36.55%, and Google expanded its partnership and received a warrant to buy up to 7% of Marvell's shares; an analyst estimated the program at $120 billion in cumulative revenue over six years. However, Taiwanese chip designers such as MediaTek are competing for the same hyperscaler contracts, and price competition is showing in margins: gross margin guidance of 57.5%-58.5% is below last quarter's 58.9%. Counterpoint Research projects MediaTek will take 26% of AI ASIC server compute shipments by 2028, second behind Broadcom. The average target of $341.63 implies 52.9% upside, and the article lists custom revenue, gross margin and hyperscaler supplier changes as the key items to track.
Summary written by Upside AI from the original article. Read the source for full details.
Original headline: Marvell Technology Faces a Multi-Front War Against Taiwan’s Custom Silicon Ecosystem
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