Marvell Technology (MRVL) Outpaces Stock Market Gains: What You Should Know
Marvell Technology (MRVL) closed the most recent trading day at $68.96, moving +0.67% from the previous trading session.
Marvell Technology (MRVL) closed the most recent trading day at $68.96, moving +0.67% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.18%.
Coming into today, shares of the chipmaker had gained 14.49% in the past month. In that same time, the Business Services sector lost 1.76%, while the S&P 500 gained 5.68%.
Wall Street will be looking for positivity from MRVL as it approaches its next earnings report date. On that day, MRVL is projected to report earnings of $0.38 per share, which would represent year-over-year growth of 52%. Our most recent consensus estimate is calling for quarterly revenue of $1.15 billion, up 53.01% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.45 per share and revenue of $4.28 billion, which would represent changes of +57.61% and +44.03%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for MRVL. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. MRVL currently has a Zacks Rank of #3 (Hold).
In terms of valuation, MRVL is currently trading at a Forward P/E ratio of 47.39. Its industry sports an average Forward P/E of 29.62, so we one might conclude that MRVL is trading at a premium comparatively.
Also, we should mention that MRVL has a PEG ratio of 2.19. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Technology Services was holding an average PEG ratio of 1.86 at yesterday's closing price.
The Technology Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 151, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow MRVL in the coming trading sessions, be sure to utilize Zacks.com.
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Marvell Technology, Inc. (MRVL): Free Stock Analysis Report
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