Marvell Raises FY27 and FY28 Revenue Targets on AI Networking Demand
MRVL•Marvell Electronics boosted its fiscal 2027 and 2028 revenue targets as AI networking demand surges behind interconnect, switching and custom silicon sales. Shares fell in after-hours trading Wednesday despite the first-quarter earnings beat.
1. Q1 Earnings Beat and Guidance Raise
Marvell’s first-quarter results topped expectations, driven by robust sales in AI interconnect, switching and custom silicon. Management responded by lifting fiscal 2027 and 2028 revenue targets to reflect accelerated growth in its networking business.
2. Market Reaction
Despite the upside surprise in earnings and the upgraded outlook, Marvell shares slipped in after-hours trading Wednesday as investors weighed the company’s valuation against potential industry cyclicality and broader market uncertainties.
3. Drivers of AI Networking Demand
The company cited rapid deployment of AI workloads in data centers and increased adoption of next-generation switch and interconnect solutions as key catalysts for the raised revenue guidance.
