Marvell Technology Guides Q4 Revenue $2.20B and EPS $0.79, Valuation at 6.96x
Marvell Technology projected Q4 fiscal 2026 revenues of $2.20B (+/-5%) for 21% YoY growth and non-GAAP EPS of $0.79 (+/-$0.05), marking a slowdown from prior quarter’s 37.8% revenue surge and 17.7% operating margin. Shares trade at a 6.96x forward P/S versus 8.09x industry average, with intensifying hyperscaler concentration risk.
1. Q4 Fiscal 2026 Guidance
Marvell Technology expects Q4 fiscal 2026 revenues of $2.20 billion (+/-5%), reflecting 21% year-over-year growth, and non-GAAP earnings of $0.79 per share (+/-$0.05). This guidance represents a moderation versus the previous quarter’s 37.8% revenue increase and 17.7% operating margin.
2. Q3 Results and AI Momentum
In the third quarter, Marvell achieved 37.8% year-over-year revenue growth and expanded operating margin to 17.7%, driven by strong demand for AI data center interconnect solutions and early contributions from the Celestial AI acquisition.
3. Valuation Snapshot
Marvell’s shares currently trade at a forward 12-month price-to-sales multiple of 6.96x, compared with an industry average of 8.09x, suggesting a valuation discount despite robust data center tailwinds.
4. Key Risks
Revenue lumpiness from a concentrated hyperscaler client base, execution and commercialization risks tied to recent acquisitions, stiff competition from Broadcom, Credo and Astera Labs, and evolving chip export restrictions pose headwinds to near-term performance.