Marvell Technology (MRVL) closed the latest trading day at $113.56, indicating a +0.62% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 0.76%. Meanwhile, the Dow lost 0.28%, and the Nasdaq, a tech-heavy index, lost 1.2%.
Coming into today, shares of the chipmaker had lost 4.5% in the past month. In that same time, the Computer and Technology sector gained 1.75%, while the S&P 500 gained 2.71%.
The upcoming earnings release of Marvell Technology will be of great interest to investors. On that day, Marvell Technology is projected to report earnings of $0.59 per share, which would represent year-over-year growth of 28.26%. In the meantime, our current consensus estimate forecasts the revenue to be $1.8 billion, indicating a 26.41% growth compared to the corresponding quarter of the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Marvell Technology. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.08% increase. Marvell Technology is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note Marvell Technology's current valuation metrics, including its Forward P/E ratio of 72.51. This expresses a premium compared to the average Forward P/E of 25.37 of its industry.
We can additionally observe that MRVL currently boasts a PEG ratio of 2.15. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Electronics - Semiconductors industry stood at 2.06 at the close of the market yesterday.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 84, finds itself in the top 34% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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
To read this article on Zacks.com click here.
Zacks Investment Research
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.