MRVL Q4 Earnings to Gain From Custom AI & Connectivity Products

Marvell Technology, Inc. MRVL is set to report fourth-quarter fiscal 2026 results on March 5, 2026. Investor attention is firmly focused on surging demand for MRVL’s Custom AI and Connectivity products due to the AI-driven data center business.

Marvell Technology has been experiencing robust adoption of its custom AI silicon and electro-optics solutions in recent quarters, cementing its position in the AI infrastructure market. With data center revenues now accounting for the bulk of its total sales, Marvell Technology is expected to reflect robust growth in this high-demand business.

Click here to know how Marvell Technology’s overall fiscal fourth-quarter performance is likely to have been.

MRVL’s Carrier, Enterprise & Data Center Business Growing

Marvell Technology’s data center segment is propelling the company’s growth, driven by the rising adoption of AI workloads across both hyperscale and enterprise markets. In the third quarter of fiscal 2026, the communication business grew 25.7% year over year, the data center rose 38% and the carrier rose 98%. This trend is likely to have continued in the to-be-reported quarter.

Marvell Technology, Inc. Price and EPS Surprise

 

Marvell Technology, Inc. price-eps-surprise | Marvell Technology, Inc. Quote

The momentum in the data center business is likely to have been aided by rising cloud capital expenditure forecasts, the expanding adoption of 1.6T optical products and a growing pipeline of XPU-attach, driving MRVL’s revenues in the to-be-reported quarter. To grow its data center end market, the company has launched the Golden Cable initiative.

Together with the introduction of the Golden Cable initiative and acquisition of XConn Technologies and Celestial AI, revenues of the data center end market are expected to have increased in the fourth quarter of fiscal 2026. MRVL is also gaining from the adoption of scale-up switches that connect AI accelerators within and across racks.

The normalizing of customer inventory levels and the strong adoption of MRVL’s refreshed products are likely to have driven revenues of enterprise networking and carrier infrastructure end markets in the to-be-reported quarter. MRVL expects its carrier revenues to almost double year over year in the fourth quarter of fiscal 2026.

Consumer & Industrial Segments Are Weak Points for MRVL

In the third quarter of fiscal 2026, MRVL’s Automotive/Industrial revenues declined 58% year over year and 54% sequentially to $35 million due to the divestiture of the Automotive Ethernet business, coupled with persistent weakness in the industrial segment. The industrial business is experiencing lumpy order patterns and is expected to persist in the to-be-reported quarter.

MRVL’s consumer business is likely to have been affected by a seasonal decline in the to-be-reported quarter. MRVL’s top line has been in a declining trend for the past two quarters. This trend is likely to have persisted in the fourth quarter of fiscal 2026. The Zacks Consensus Estimate for Marvell Technology’s fourth-quarter revenues is pegged at $2.2 billion, indicating year-over-year growth of 21%.

Zacks Rank & Stocks to Consider

MRVL carries a Zacks Rank #5 (Strong Sell) at present.

Some better-ranked stocks in the broader Zacks Computer and Technology sector are Micron Technology MU, Credo Technology CRDO and MongoDB MDB, each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Micron Technology shares have skyrocketed 355.8% in the past 12 months. The Zacks Consensus Estimate for MU’s fiscal 2026 earnings is pegged at $33.79 per share, down by 11 cents over the past 30 days, suggesting an upsurge of 307% from the year-ago quarter’s reported figure.

Credo Technology Group shares have soared 126.5% in the past 12 months. The Zacks Consensus Estimate for CRDO’s fiscal 2026 earnings is pegged at $3.16 per share, up by 38 cents over the past 30 days, indicating a jump of 351% from the year-ago quarter’s reported figure.

MongoDB shares have returned 25.5% in the past 12 months.  The Zacks Consensus Estimate for MDB’s 2025 earnings is pegged at $4.79 per share, unchanged over the past 60 days, implying growth of 31% from the year-ago quarter’s reported figure.

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This article originally published on Zacks Investment Research (zacks.com).

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