MARVELL TECHNOLOGY INC (MRVL) Stock Fundamental Analysis
NASDAQ:MRVL - Nasdaq - US5738741041 - Common Stock
MRVL gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 109 industry peers in the Semiconductors & Semiconductor Equipment industry. MRVL scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. MRVL is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
MRVL had positive earnings in the past year.
In the past year MRVL had a positive cash flow from operations.
In the past 5 years MRVL reported 4 times negative net income.
MRVL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -7.50%, MRVL is not doing good in the industry: 71.30% of the companies in the same industry are doing better.
With a Return On Equity value of -11.05%, MRVL is not doing good in the industry: 70.37% of the companies in the same industry are doing better.
| 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
With a Gross Margin value of 39.60%, MRVL is not doing good in the industry: 60.19% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of MRVL has declined.
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.
The number of shares outstanding for MRVL has been increased compared to 1 year ago.
MRVL has more shares outstanding than it did 5 years ago.
MRVL has a better debt/assets ratio than last year.
2.2 Solvency
MRVL has an Altman-Z score of 10.28. This indicates that MRVL is financially healthy and has little risk of bankruptcy at the moment.
MRVL's Altman-Z score of 10.28 is fine compared to the rest of the industry. MRVL outperforms 76.85% of its industry peers.
MRVL has a debt to FCF ratio of 2.90. This is a good value and a sign of high solvency as MRVL would need 2.90 years to pay back of all of its debts.
MRVL's Debt to FCF ratio of 2.90 is fine compared to the rest of the industry. MRVL outperforms 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.
Looking at the Debt to Equity ratio, with a value of 0.30, MRVL is doing worse than 61.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.9 | ||
| Altman-Z | 10.28 |
ROIC/WACCN/A
WACC14.6%
2.3 Liquidity
MRVL has a Current Ratio of 1.60. This is a normal value and indicates that MRVL is financially healthy and should not expect problems in meeting its short term obligations.
MRVL has a worse Current ratio (1.60) than 79.63% of its industry peers.
A Quick Ratio of 1.11 indicates that MRVL should not have too much problems paying its short term obligations.
MRVL has a Quick ratio of 1.11. This is amonst the worse of the industry: MRVL underperforms 81.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.6 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
The earnings per share for MRVL have decreased by -5.30% in the last year.
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.
MRVL shows a decrease in Revenue. In the last year, the revenue decreased by -2.24%.
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
Based on estimates for the next years, MRVL will show a very strong growth in Earnings Per Share. The EPS will grow by 34.10% on average per year.
MRVL is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 21.67% yearly.
EPS Next Y5.2%
EPS Next 2Y36.27%
EPS Next 3Y34.73%
EPS Next 5Y34.1%
Revenue Next Year4.16%
Revenue Next 2Y21.7%
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 86.56 indicates a quite expensive valuation of MRVL.
The rest of the industry has a similar Price/Earnings ratio as MRVL.
MRVL is valuated expensively when we compare the Price/Earnings ratio to 28.29, which is the current average of the S&P500 Index.
MRVL is valuated quite expensively with a Price/Forward Earnings ratio of 44.15.
MRVL's Price/Forward Earnings is on the same level as the industry average.
MRVL is valuated expensively when we compare the Price/Forward Earnings ratio to 24.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 86.56 | ||
| Fwd PE | 44.15 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MRVL is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MRVL indicates a somewhat cheap valuation: MRVL is cheaper than 61.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 75.89 | ||
| EV/EBITDA | 138.87 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MRVL does not grow enough to justify the current Price/Earnings ratio.
MRVL's earnings are expected to grow with 34.73% in the coming years. This may justify a more expensive valuation.
PEG (NY)16.64
PEG (5Y)17.12
EPS Next 2Y36.27%
EPS Next 3Y34.73%
5. Dividend
5.1 Amount
MRVL has a yearly dividend return of 0.20%, which is pretty low.
Compared to an average industry Dividend Yield of 2.28, MRVL pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.28, MRVL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
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
The earnings of MRVL are negative and hence is the payout ratio. MRVL will probably not be able to sustain this dividend level.
DP-14.04%
EPS Next 2Y36.27%
EPS Next 3Y34.73%
MARVELL TECHNOLOGY INC
NASDAQ:MRVL (1/21/2025, 8:15:27 PM)
Premarket: 126.66 +2.88 (+2.33%)123.78
-0.98 (-0.79%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners91.84%
Inst Owner Change-0.04%
Ins Owners0.3%
Ins Owner Change-1.19%
Market Cap107.11B
Analysts83.72
Price Target122.24 (-1.24%)
Short Float %2.27%
Short Ratio1.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
Yearly Dividend0.24
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)24.29%
PT rev (3m)30.1%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.33%
EPS NY rev (1m)0%
EPS NY rev (3m)8.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.6%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)3.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 86.56 | ||
| Fwd PE | 44.15 | ||
| P/S | 19.92 | ||
| P/FCF | 75.89 | ||
| P/OCF | 62.5 | ||
| P/B | 8.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 138.87 |
EPS(TTM)1.43
EY1.16%
EPS(NY)2.8
Fwd EY2.27%
FCF(TTM)1.63
FCFY1.32%
OCF(TTM)1.98
OCFY1.6%
SpS6.21
BVpS15.45
TBVpS-1.54
PEG (NY)16.64
PEG (5Y)17.12
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 | 10.28 |
F-Score5
WACC14.6%
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 Year4.16%
Revenue Next 2Y21.7%
Revenue Next 3Y20.86%
Revenue Next 5Y21.67%
EBIT growth 1Y-48.3%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year9.77%
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%