Marvell Technology (MRVL) Loses 18.6% as Growth Outlook Fails to Impress

We recently published 10 Stocks With Massive Losses; AI Firms Not Spared. Marvell Technology Inc. (NASDAQ:MRVL) is one of the worst performers on Friday.

Marvell Technology snapped a three-day winning streak on Friday, slashing 18.6 percent to close at $62.87 apiece as investors soured on its weak outlook for the third quarter of fiscal year 2026.

In its updated report, Marvell Technology Inc. (NASDAQ:MRVL) said it was targeting net revenues to hit $2.06 billion, plus or minus 5 percent, despite performing well in the second quarter of the year.

During the period, Marvell Technology Inc. (NASDAQ:MRVL) swung to a net profit of $194.8 million from a $193.3 million net loss in the same period last year. Net revenues surged by 57 percent to $2 billion from $1.27 billion year-on-year.

“Marvell delivered record revenue of $2.006 billion in the second quarter—a 58 percent year-over-year increase—and we expect continued growth into the third quarter, accompanied by operating margin and earnings per share expansion,” said Marvell Technology Inc. (NASDAQ:MRVL) Chairman and CEO Matt Murphy.

“Marvell’s growth is being fueled by strong AI demand for our custom silicon and electro-optics products, as well as a significant increase in the pace of recovery in our enterprise networking and carrier infrastructure end markets. Our custom AI design activity is at an all-time high, with the Marvell team now engaged in over 50 new opportunities across more than 10 customers,” he added.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.