© Reuters. B Riley sees ‘wave of AI-led growth’ for Marvell Technology (MRVL)
B Riley Securities upgraded Marvell Technology (NASDAQ:) to Buy from Neutral, raising the price target on the stock to $75 from $60 per share in a note Friday.
Analysts told investors that a new phase of growth is getting underway for the company.
“We return to MRVL to positively update our investment thesis for an expected wave of AI-led growth,” analysts wrote.
“Our recent tally of super-seven hyper-scale capex shows a first in three-quarter CY24E spending rise, and while enterprise-related inventory headwinds linger, we believe they are moderating,” they added.
B Riley believes the backdrop is improving for MRVL, with a “new and powerful phase of growth” seeming to be at hand.
“We believe the coming AI and Cloud-led wave sets up potent multi-year financial gains and strong 12-month share outperformance ahead.,” said analysts.
Ahead of the company’s August 24 earnings release, B Riley expects at least an in-line F2Q24 print and at-consensus guide.
Read the full article here
