Piper Sandler raises Marvell stock price target on revenue outlook

Piper Sandler has increased its price target on Marvell Technology Inc. (NASDAQ: MRVL) stock to $400, up from $270, while keeping an Overweight rating. The semiconductor firm's shares, currently priced at $287, have surged by 238% year-to-date. Twenty-six analysts have raised their earnings estimates for the upcoming period, signaling optimism about Marvell's growth.

This boost in target price came after Marvell's Investor Day on Tuesday, during which the company announced a fiscal year 2031 revenue target of $70 billion to $90 billion and earnings per share over $30. The company emphasizes its position as a "Connectivity-First" brand, with prospects in connectivity driving future revenue. Custom business targets "Attach," while the interconnect segment forecasts growth from optical solutions, starting with NPO in the second half of 2027 and CPO later.

Piper Sandler raised its fiscal 2028 earnings per share estimate by 12% and fiscal 2031 estimate by 60%, basing its price target on a 18 times discounted fiscal 2031 price-to-earnings multiple. The firm sees the investment case as more attractive with secured design wins and multiple paths to meet fiscal 2031 goals. Although Marvell exhibits strong financial health and 31% revenue growth, the stock is currently trading above its fair value, according to InvestingPro analysis.

Investors can explore a detailed Pro Research Report for a closer look at Marvell's valuation and growth potential. Other analysts have also updated their assessments of Marvell, with some raising their price targets and maintaining positive ratings.