Morgan Stanley Lifts Marvell Target on Strong Data-Center Outlook

Morgan Stanley raised its Marvell Technology price target to $246 from $224 and kept an Equalweight rating after Marvell reported record Q2 revenue of $2.74 billion (up 37% YoY) and guided Q3 revenue around $3.15 billion with gross margin between 57.5% and 58.5%. The bank credited Marvell’s expanding exposure to AI data-center spending, highlighting XPU attach, optical connectivity and scale-up opportunities, and lifted its calendar 2027 data-center growth forecast to about 60% from 50%. While fundamentals are accelerating, valuation remains a concern, making the Oct. 6 Investor Day a key upcoming catalyst.