Yahoo Finance Marvell Technology (MRVL) Gains As Market Dips: What You Should Know
In the latest trading session, Marvell Technology (MRVL) closed at $69.90, marking a +1.7% move from the previous day. The stock outperformed the S&P 500, which registered a daily loss of 0.41%. Meanwhile, the Dow lost 0.12%, and the Nasdaq, a tech-heavy index, lost 0.71%.
The the stock of chipmaker has fallen by 10.57% in the past month, lagging the Business Services sector's gain of 0.6% and the S&P 500's gain of 3.53%.
The investment community will be closely monitoring the performance of Marvell Technology in its forthcoming earnings report. The company is expected to report EPS of $0.29, down 12.12% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.25 billion, down 6.74% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.39 per share and a revenue of $5.4 billion, representing changes of -7.95% and -2.03%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Marvell Technology. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.94% higher. Marvell Technology presently features a Zacks Rank of #3 (Hold).
With respect to valuation, Marvell Technology is currently being traded at a Forward P/E ratio of 49.35. For comparison, its industry has an average Forward P/E of 23.02, which means Marvell Technology is trading at a premium to the group.
It's also important to note that MRVL currently trades at a PEG ratio of 1.76. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Technology Services industry currently had an average PEG ratio of 1.43 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. At present, this industry carries a Zacks Industry Rank of 62, placing it within the top 25% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Marvell Technology, Inc. (MRVL): Free Stock Analysis Report
