Marvell Technology (MRVL) closed the most recent trading day at $70.87, moving -2.13% from the previous trading session. This change lagged the S&P 500's 0.32% gain on the day. Meanwhile, the Dow experienced a rise of 0.53%, and the technology-dominated Nasdaq saw an increase of 0.26%.
Coming into today, shares of the chipmaker had gained 3.46% in the past month. In that same time, the Computer and Technology sector gained 7.22%, while the S&P 500 gained 4.51%.
Market participants will be closely following the financial results of Marvell Technology in its upcoming release. The company is forecasted to report an EPS of $0.67, showcasing a 123.33% upward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $2.01 billion, up 57.89% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.79 per share and a revenue of $8.22 billion, representing changes of +77.71% and +42.61%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Marvell Technology. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. The Zacks Consensus EPS estimate has moved 0.27% higher within the past month. Right now, Marvell Technology possesses a Zacks Rank of #3 (Hold).
From a valuation perspective, Marvell Technology is currently exchanging hands at a Forward P/E ratio of 25.92. This expresses a discount compared to the average Forward P/E of 26.97 of its industry.
We can additionally observe that MRVL currently boasts a PEG ratio of 0.6. 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. As the market closed yesterday, the Electronics - Semiconductors industry was having an average PEG ratio of 1.61.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 57, this industry ranks in the top 24% of all industries, numbering over 250.
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.
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, Inc. (MRVL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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