MARVELL TECHNOLOGY INC (MRVL)
US5738741041 - Common Stock
Overall MRVL gets a fundamental rating of 4 out of 10. We evaluated MRVL against 108 industry peers in the Semiconductors & Semiconductor Equipment industry. While MRVL seems to be doing ok healthwise, there are quite some concerns on its profitability. MRVL is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year MRVL was profitable.
In the past year MRVL had a positive cash flow from operations.
MRVL had negative earnings in 4 of the past 5 years.
MRVL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -7.50%, MRVL is doing worse than 70.37% of the companies in the same industry.
The Return On Equity of MRVL (-11.05%) is worse than 69.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.5% | ||
| ROE | -11.05% | ||
| ROIC | N/A |
ROA(3y)-2.34%
ROA(5y)0.93%
ROE(3y)-3.34%
ROE(5y)0.99%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MRVL's Gross Margin of 39.60% is on the low side compared to the rest of the industry. MRVL is outperformed by 60.19% of its industry peers.
MRVL's Gross Margin has declined in the last couple of years.
MRVL does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 39.6% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6%
GM growth 5Y-3.93%
2. Health
2.1 Basic Checks
MRVL does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, MRVL has more shares outstanding
The number of shares outstanding for MRVL has been increased compared to 5 years ago.
Compared to 1 year ago, MRVL has an improved debt to assets ratio.
2.2 Solvency
MRVL has an Altman-Z score of 9.31. This indicates that MRVL is financially healthy and has little risk of bankruptcy at the moment.
MRVL's Altman-Z score of 9.31 is fine compared to the rest of the industry. MRVL outperforms 75.93% of its industry peers.
The Debt to FCF ratio of MRVL is 2.90, which is a good value as it means it would take MRVL, 2.90 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of MRVL (2.90) is better than 67.59% of its industry peers.
MRVL has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
MRVL has a Debt to Equity ratio of 0.30. This is in the lower half of the industry: MRVL underperforms 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.9 | ||
| Altman-Z | 9.31 |
ROIC/WACCN/A
WACC15.37%
2.3 Liquidity
A Current Ratio of 1.60 indicates that MRVL should not have too much problems paying its short term obligations.
MRVL has a Current ratio of 1.60. This is in the lower half of the industry: MRVL underperforms 78.70% of its industry peers.
A Quick Ratio of 1.11 indicates that MRVL should not have too much problems paying its short term obligations.
The Quick ratio of MRVL (1.11) is worse than 80.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
MRVL shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.30%.
Measured over the past 5 years, MRVL shows a small growth in Earnings Per Share. The EPS has been growing by 5.06% on average per year.
Looking at the last year, MRVL shows a decrease in Revenue. The Revenue has decreased by -2.24% in the last year.
MRVL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.96% yearly.
EPS 1Y (TTM)-5.3%
EPS 3Y17.53%
EPS 5Y5.06%
EPS Q2Q%4.88%
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y22.87%
Revenue growth 5Y13.96%
Sales Q2Q%6.87%
3.2 Future
The Earnings Per Share is expected to grow by 34.10% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 21.67% on average over the next years. This is a very strong growth
EPS Next Y5.2%
EPS Next 2Y36.27%
EPS Next 3Y34.73%
EPS Next 5Y34.1%
Revenue Next Year4.13%
Revenue Next 2Y21.72%
Revenue Next 3Y20.86%
Revenue Next 5Y21.67%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 78.25 indicates a quite expensive valuation of MRVL.
Compared to the rest of the industry, the Price/Earnings ratio of MRVL is on the same level as its industry peers.
MRVL's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.73.
With a Price/Forward Earnings ratio of 39.91, MRVL can be considered very expensive at the moment.
MRVL's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, MRVL is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 78.25 | ||
| Fwd PE | 39.91 |
4.2 Price Multiples
MRVL's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, MRVL is valued a bit cheaper than 62.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 68.61 | ||
| EV/EBITDA | 125.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as MRVL's earnings are expected to grow with 34.73% in the coming years.
PEG (NY)15.05
PEG (5Y)15.48
EPS Next 2Y36.27%
EPS Next 3Y34.73%
5. Dividend
5.1 Amount
MRVL has a yearly dividend return of 0.22%, which is pretty low.
Compared to an average industry Dividend Yield of 2.31, MRVL pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.22, MRVL pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.22% |
5.2 History
The dividend of MRVL decreases each year by -1.30%.
MRVL has paid a dividend for at least 10 years, which is a reliable track record.
MRVL has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-1.3%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
MRVL has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-14.04%
EPS Next 2Y36.27%
EPS Next 3Y34.73%
MARVELL TECHNOLOGY INC
NASDAQ:MRVL (12/20/2024, 8:25:37 PM)
After market: 112.77 +0.87 (+0.78%)111.9
+2.79 (+2.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners91.84%
Inst Owner Change-3.22%
Ins Owners0.3%
Ins Owner Change-1.5%
Market Cap96.83B
Analysts83.33
Price Target98.35 (-12.11%)
Short Float %2.33%
Short Ratio1.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.22% |
Dividend Growth(5Y)-1.3%
DP-14.04%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.26%
Min EPS beat(2)-1.06%
Max EPS beat(2)3.57%
EPS beat(4)1
Avg EPS beat(4)-1.25%
Min EPS beat(4)-5.21%
Max EPS beat(4)3.57%
EPS beat(8)4
Avg EPS beat(8)-0.56%
EPS beat(12)5
Avg EPS beat(12)-0.76%
EPS beat(16)8
Avg EPS beat(16)0.59%
Revenue beat(2)1
Avg Revenue beat(2)0.89%
Min Revenue beat(2)-0.32%
Max Revenue beat(2)2.09%
Revenue beat(4)1
Avg Revenue beat(4)-0.64%
Min Revenue beat(4)-2.77%
Max Revenue beat(4)2.09%
Revenue beat(8)1
Avg Revenue beat(8)-0.66%
Revenue beat(12)1
Avg Revenue beat(12)-0.96%
Revenue beat(16)3
Avg Revenue beat(16)-0.66%
PT rev (1m)4.67%
PT rev (3m)6.79%
EPS NQ rev (1m)6.33%
EPS NQ rev (3m)6.33%
EPS NY rev (1m)8.17%
EPS NY rev (3m)8.19%
Revenue NQ rev (1m)6.6%
Revenue NQ rev (3m)6.6%
Revenue NY rev (1m)3.58%
Revenue NY rev (3m)3.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 78.25 | ||
| Fwd PE | 39.91 | ||
| P/S | 18.01 | ||
| P/FCF | 68.61 | ||
| P/OCF | 56.5 | ||
| P/B | 7.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 125.93 |
EPS(TTM)1.43
EY1.28%
EPS(NY)2.8
Fwd EY2.51%
FCF(TTM)1.63
FCFY1.46%
OCF(TTM)1.98
OCFY1.77%
SpS6.21
BVpS15.45
TBVpS-1.54
PEG (NY)15.05
PEG (5Y)15.48
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.5% | ||
| ROE | -11.05% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 39.6% | ||
| FCFM | 26.25% |
ROA(3y)-2.34%
ROA(5y)0.93%
ROE(3y)-3.34%
ROE(5y)0.99%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6%
GM growth 5Y-3.93%
F-Score5
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.9 | ||
| Debt/EBITDA | 4.99 | ||
| Cap/Depr | 21.75% | ||
| Cap/Sales | 5.63% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 215.71% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 9.31 |
F-Score5
WACC15.37%
ROIC/WACCN/A
Cap/Depr(3y)18.56%
Cap/Depr(5y)18.17%
Cap/Sales(3y)4.74%
Cap/Sales(5y)4.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.3%
EPS 3Y17.53%
EPS 5Y5.06%
EPS Q2Q%4.88%
EPS Next Y5.2%
EPS Next 2Y36.27%
EPS Next 3Y34.73%
EPS Next 5Y34.1%
Revenue 1Y (TTM)-2.24%
Revenue growth 3Y22.87%
Revenue growth 5Y13.96%
Sales Q2Q%6.87%
Revenue Next Year4.13%
Revenue Next 2Y21.72%
Revenue Next 3Y20.86%
Revenue Next 5Y21.67%
EBIT growth 1Y-48.3%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year9.07%
EBIT Next 3Y34.48%
EBIT Next 5Y27.15%
FCF growth 1Y31.28%
FCF growth 3Y13.5%
FCF growth 5Y14.91%
OCF growth 1Y33.51%
OCF growth 3Y18.81%
OCF growth 5Y18.09%