Marvell (MRVL) Stock Jumps After Nvidia AI Hardware Delays Reported

TLDR

• Marvell (MRVL) stock rose over 4% Monday after reports emerged that Nvidia’s Kyber NVL144 architecture faces production delays pushing its launch back to 2028.
• Research firm SemiAnalysis said Nvidia also canceled its NVL72x2 back-to-back rack architecture following pushback from cloud providers and hyperscalers.
• The setbacks leave Nvidia without a clear path to expand scale-up capacity for its Rubin Ultra chip, opening a window for rivals including Marvell.
• Marvell posted Q1 revenue of $2.42 billion, up 27.6% year over year, with EPS of $0.80 meeting consensus. Q2 EPS guidance is set at $0.88–$0.98.
• Analysts hold a consensus “Moderate Buy” on MRVL, with price targets ranging up to $345, and institutional ownership sits at 83.51%.

Marvell Technology (MRVL) stock was trading up around 4.37% at $256.00 in premarket Monday, after research firm SemiAnalysis reported that Nvidia’s Kyber NVL144 AI hardware architecture has hit major production problems.

Marvell Technology, Inc., MRVL

The report, posted Sunday on X, said the Kyber NVL144 system has run into manufacturing issues just three months after Nvidia CEO Jensen Huang showed it off at GTC. The launch is now reportedly delayed by more than 12 months, pushing it out to 2028.

SemiAnalysis pointed to two main issues: problems with the PCB midplane and challenges with co-packaged optics (CPO).

Nvidia also canceled its backup plan. The NVL72x2 back-to-back rack design, which aimed to expand copper NVLink capacity by stacking two Oberon racks, was scrapped after cloud service providers and hyperscalers pushed back hard on the design’s complexity and operational demands.

Together, the two setbacks leave Nvidia without a clear way to scale up its upcoming Rubin Ultra chip. SemiAnalysis said this creates an opening for competitors, naming AMD’s MI500X and Google’s TPUv8i Broadfly as potential beneficiaries. The 4-compute-die version of Rubin Ultra has also reportedly been canceled.

For Marvell, the timing works in its favor. The company has been building its profile as an alternative AI infrastructure provider, particularly around optical networking. CNBC’s Jim Cramer recently highlighted Marvell’s role in the space, repeating Huang’s earlier prediction that Marvell could reach a trillion-dollar valuation.

Marvell’s Recent Financials

Marvell reported Q1 earnings on May 27. Revenue came in at $2.42 billion, up 27.6% year over year, and EPS of $0.80 matched the consensus estimate exactly. The company guided Q2 2027 EPS to a range of $0.88–$0.98. Full-year EPS is forecast at $3.07 by sell-side analysts.

The company also announced a quarterly dividend of $0.06 per share, payable July 30 to stockholders of record as of July 10. That puts the annualized yield at around 0.1%.

MRVL stock has a 1-year range of $61.44 to $329.88, and a market cap of roughly $214.58 billion. The stock opened Monday at $245.29.

Institutional and Analyst Sentiment

Institutional investors own 83.51% of the stock. Several funds added to positions in Q1 and Q2. Elevation Point Wealth Partners nearly doubled its stake, up 98.2% to 15,828 units. Baird Financial Group lifted its position by 22.7% in Q2.

Analyst sentiment remains largely bullish. B. Riley raised its price target from $240 to $345 with a Buy rating. Needham lifted its target from $118 to $270, also with a Buy. William Blair reiterated Outperform.

Of 37 analysts tracked, three rate MRVL a Strong Buy, 28 say Buy, and six say Hold. The average price target sits at $239.81.

On the insider side, CEO Matthew Murphy sold 7,500 units at $177.26 in May, and CFO Daniel Durn sold 2,250 units at $281.01 in June.

Technically, MRVL is in a pullback within an uptrend. It sits 9.1% below its 20-day moving average of $282.05, but 14.6% above the 50-day at $223.63. RSI stands at 46.40, pointing to neutral momentum.

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