Marvell Technology, Inc. (NASDAQ: MRVL)

Sector: Technology Industry: Semiconductors CIK: 0001835632
Market Cap 71.25 Bn
P/B 5.07
P/E 28.80
P/S 9.14
ROIC (Qtr) 5.44
Div Yield % 0.36
Rev 1y % (Qtr) 36.83
Total Debt (Qtr) 4.47 Bn
Debt/Equity (Qtr) 0.32

About

Marvell Technology, Inc., known by its ticker symbol MRVL, is a prominent player in the data infrastructure semiconductor solutions industry. The company specializes in supplying high-performance standard and semi-custom products, with a particular strength in developing and scaling complex System-on-a-Chip (SoC) architectures that integrate analog, mixed-signal, and digital signal processing functionality. Marvell operates as a fabless semiconductor supplier, with its main business activities spanning the data center core to the network edge. The...

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Price action

Investment thesis

Bull case

  • Strong operating cash flow of 1.89B provides robust 0.42x coverage of total debt 4.47B, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 2.71B provide 5.43x coverage of short-term debt 499.50M, demonstrating strong liquidity position and minimal refinancing risk.
  • Robust free cash flow of 1.60B exceeds capital expenditure of 286.50M by 5.60x, indicating strong organic growth funding capability.
  • Strong operating cash flow of 1.89B provides 2.47x coverage of SG&A expenses 764.80M, showing efficient operational cost management.
  • Operating cash flow of 1.89B fully covers other non-current liabilities 816.30M by 2.32x, showing strong long-term stability.

Bear case

  • Operating cash flow of 1.89B barely covers its investment activities of 2.15B, with a coverage ratio of 0.88, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Operating cash flow of 1.89B provides thin coverage of dividend payments of (206.20M) with a -9.17 ratio, suggesting potential dividend sustainability issues if operational performance deteriorates.
  • Investment activities of 2.15B provide weak support for R&D spending of 2.04B, which is 1.05x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Cash reserves of 2.71B provide limited coverage of acquisition spending of 2.48B, which is 1.10x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • The company's operating cash flow of 1.89B shows concerning coverage of stock compensation expenses of 595.40M, with a 3.18 ratio indicating potential earnings quality issues.

Geographical Breakdown of Revenue (2025)

Product and Service Breakdown of Revenue (2025)

Peer comparison

Companies in the Semiconductors
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 NVDA Nvidia Corp 4,516.69 Bn 45.53 24.14 10.48 Bn
2 TSM Taiwan Semiconductor Manufacturing Co Ltd 1,678.13 Bn 32.54 14.09 31.18 Bn
3 AVGO Broadcom Inc. 1,624.80 Bn 70.26 25.43 65.14 Bn
4 MU Micron Technology Inc 386.61 Bn 32.46 9.14 12.43 Bn
5 AMD Advanced Micro Devices Inc 330.88 Bn 100.08 10.33 3.87 Bn
6 INTC Intel Corp 300.63 Bn 1,518.33 5.63 46.55 Bn
7 QCOM Qualcomm Inc/De 195.07 Bn 35.20 4.40 14.81 Bn
8 TXN Texas Instruments Inc 173.86 Bn 34.48 10.07 14.05 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 3.45 4.22
EV to Cash from Ops. EV/CFO 39.40 -369.72
EV to Debt EV to Debt 16.67 90.98
EV to EBIT EV/EBIT 24.32 -66.75
EV to EBITDA EV/EBITDA 30.36 23.41
EV to Free Cash Flow [EV/FCF] EV/FCF 46.43 -8.88
EV to Market Cap EV to Market Cap 1.05 0.80
EV to Revenue EV/Rev 9.56 20.68
Price to Book Value [P/B] P/B 5.07 5.21
Price to Earnings [P/E] P/E 28.80 11.55
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 12.00 2.39
Dividend Payout Ratio % Div Payout % (Qtr) 8.30 8.25
Dividend per Basic Share Div per Share (Qtr) 0.24 0.63
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 12.80 9.91
Interest Coverage Int. cover (Qtr) 15.49 8.38
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 5.13 -155.98
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 212.69 45.60
Dividend Growth (1y) % Div 1y % (Qtr) 0.00 5.64
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 313.79 26.23
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 509.79 47.12
EBIT Growth (1y) % EBIT 1y % (Qtr) 409.56 25.83
EBT Growth (1y) % EBT 1y % (Qtr) 342.41 39.93
EPS Growth (1y) % EPS 1y % (Qtr) 270.00 24.64
FCF Growth (1y) % FCF 1y % (Qtr) 13.64 244.42
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 85.55 43.10
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.36 0.49
Cash Payout Ratio Cash Payout (Qtr) 0.09 0.09
Cash Ratio Cash Ratio (Qtr) 0.99 2.23
Current Ratio Curr Ratio (Qtr) 2.01 5.43
Debt to Equity Ratio Debt/Equity (Qtr) 0.32 0.34
Interest Cover Ratio Int Coverage (Qtr) 15.49 8.38
Times Interest Earned Times Interest Earned (Qtr) 15.49 8.38
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 56.00 -112.38
EBIT Margin % EBIT Margin % (Qtr) 39.30 -91.98
EBT Margin % EBT Margin % (Qtr) 36.76 -132.25
Gross Margin % Gross Margin % (Qtr) 50.70 47.73
Net Profit Margin % Net Margin % (Qtr) 31.70 -133.26