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Marvell Technology (MRVL) Outpaces Stock Market Gains: What You Should Know
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Marvell Technology (MRVL - Free Report) closed at $73.22 in the latest trading session, marking a +0.65% move from the prior day. This change outpaced the S&P 500's 0.17% gain on the day. Meanwhile, the Dow gained 0.55%, and the Nasdaq, a tech-heavy index, lost 0.4%.
Coming into today, shares of the chipmaker had gained 7.51% in the past month. In that same time, the Business Services sector lost 5.08%, while the S&P 500 gained 3.19%.
Investors will be hoping for strength from Marvell Technology as it approaches its next earnings release, which is expected to be December 2, 2021. In that report, analysts expect Marvell Technology to post earnings of $0.38 per share. This would mark year-over-year growth of 52%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.15 billion, up 53.01% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.45 per share and revenue of $4.28 billion. These totals would mark changes of +57.61% and +44.03%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Marvell Technology. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Marvell Technology currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Marvell Technology has a Forward P/E ratio of 50.33 right now. This valuation marks a premium compared to its industry's average Forward P/E of 30.82.
Meanwhile, MRVL's PEG ratio is currently 2.33. 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 industry currently had an average PEG ratio of 1.94 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 159, which puts it in the bottom 38% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Marvell Technology (MRVL) Outpaces Stock Market Gains: What You Should Know
Marvell Technology (MRVL - Free Report) closed at $73.22 in the latest trading session, marking a +0.65% move from the prior day. This change outpaced the S&P 500's 0.17% gain on the day. Meanwhile, the Dow gained 0.55%, and the Nasdaq, a tech-heavy index, lost 0.4%.
Coming into today, shares of the chipmaker had gained 7.51% in the past month. In that same time, the Business Services sector lost 5.08%, while the S&P 500 gained 3.19%.
Investors will be hoping for strength from Marvell Technology as it approaches its next earnings release, which is expected to be December 2, 2021. In that report, analysts expect Marvell Technology to post earnings of $0.38 per share. This would mark year-over-year growth of 52%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.15 billion, up 53.01% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.45 per share and revenue of $4.28 billion. These totals would mark changes of +57.61% and +44.03%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Marvell Technology. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Marvell Technology currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Marvell Technology has a Forward P/E ratio of 50.33 right now. This valuation marks a premium compared to its industry's average Forward P/E of 30.82.
Meanwhile, MRVL's PEG ratio is currently 2.33. 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 industry currently had an average PEG ratio of 1.94 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 159, which puts it in the bottom 38% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.