Marvell Technology’s third quarter delivered results that met Wall Street’s expectations, with the market reacting positively following management’s detailed discussion of drivers behind the company’s 36.8% year-over-year sales growth. Management attributed this momentum to robust demand in the data center market, particularly for high-speed connectivity solutions supporting artificial intelligence workloads. CEO Matthew Murphy highlighted that “momentum in our data center business remains strong with revenue growing 38% year-over-year, fueled by robust AI demand,” while also noting a recovery in the communications and other end markets as customer inventory levels normalized and new products gained traction across enterprise and carrier customers.
Is now the time to buy MRVL? Find out in our full research report (it’s free for active Edge members).
Marvell Technology (MRVL) Q3 CY2025 Highlights:
- Revenue: $2.07 billion vs analyst estimates of $2.07 billion (36.8% year-on-year growth, in line)
- Adjusted EPS: $0.76 vs analyst estimates of $0.74 (3% beat)
- Adjusted EBITDA: $840 million vs analyst estimates of $834 million (40.5% margin, 0.7% beat)
- Revenue Guidance for Q4 CY2025 is $2.2 billion at the midpoint, above analyst estimates of $2.18 billion
- Adjusted EPS guidance for Q4 CY2025 is $0.79 at the midpoint, above analyst estimates of $0.78
- Operating Margin: 17.2%, up from -46.4% in the same quarter last year
- Inventory Days Outstanding: 92, down from 96 in the previous quarter
- Market Capitalization: $78.03 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions From Marvell Technology’s Q3 Earnings Call
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Ross Seymore (Deutsche Bank) questioned Marvell’s revenue growth trajectory and alignment with long-term targets. CEO Matthew Murphy affirmed the $10 billion revenue ballpark for next year and explained the visibility into custom and interconnect growth extending through 2028.
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Harlan Sur (JPMorgan) asked about the pipeline and timing for sub-3 nanometer design programs. Murphy responded that transitions to next-generation nodes are well underway and integrated into forecasts, with strong execution and broadening customer engagements.
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Chris Caso (Wolfe Research) inquired about the breadth and customer concentration of Celestial AI’s revenue ramp. Murphy explained that while initial adoption will be concentrated with a lead hyperscaler, broader industry engagement is expected over time.
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Harsh Kumar (Piper Sandler) sought clarity on custom silicon growth rates and the company’s visibility into long-term projections. Murphy described the 20% growth baseline for custom business as conservative, emphasizing strong backlog and multi-year customer planning.
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Blayne Curtis (Jefferies) highlighted the significance of the Amazon warrant for photonic fabric products and the evolving customer relationship. Murphy confirmed the strategic alignment with AWS and the role of the warrant in supporting next-generation technology adoption.
Catalysts in Upcoming Quarters
In upcoming quarters, the StockStory team will focus on (1) the pace of adoption and initial revenue contribution from Celestial AI’s photonic fabric products; (2) sequential growth in data center and custom silicon programs as new hyperscaler deployments ramp; and (3) normalization and sustained momentum within communications end markets. Execution of new product cycles, integration of acquired technologies, and continued customer design wins will be key milestones to watch.
Marvell Technology currently trades at $91.33, down from $93.04 just before the earnings. At this price, is it a buy or sell? See for yourself in our full research report (it’s free for active Edge members).
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