Marvell Technology (MRVL) Outpaces Stock Market Gains: What You Should Know
Marvell Technology (MRVL) closed the most recent trading day at $41.04, moving +1.58% from the previous trading session. This change outpaced the S&P 500's 0.52% gain on the day. At the same time, the Dow added 0.54%, and the tech-heavy Nasdaq gained 0.19%.
Prior to today's trading, shares of the chipmaker had gained 7.53% over the past month. This has outpaced the Computer and Technology sector's gain of 7.19% and the S&P 500's gain of 4.79% in that time.
MRVL will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.25, up 47.06% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $750.38 million, up 13.27% from the prior-year quarter.
MRVL's full-year Zacks Consensus Estimates are calling for earnings of $0.92 per share and revenue of $2.96 billion. These results would represent year-over-year changes of +39.39% and +9.61%, respectively.
Investors should also note any recent changes to analyst estimates for MRVL. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection has moved 0.41% higher. MRVL is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that MRVL has a Forward P/E ratio of 43.84 right now. Its industry sports an average Forward P/E of 33.65, so we one might conclude that MRVL is trading at a premium comparatively.
It is also worth noting that MRVL currently has a PEG ratio of 2.04. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Semiconductor - Communications stocks are, on average, holding a PEG ratio of 8.98 based on yesterday's closing prices.
The Semiconductor - Communications industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 121, putting it in the top 48% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Marvell Technology Group Ltd. (MRVL) : Free Stock Analysis Report
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