Marvell’s Record Revenue Fails to Impress as Shares Slip 5% on Muted Guidance

Marvell Technology (NASDAQ:MRVL) kicked off fiscal 2026 with a strong revenue performance, but its in-line results and cautious outlook failed to spark investor enthusiasm. Shares of the semiconductor company fell over 5% intra-day today despite a 63% jump in year-over-year revenue.

For the first quarter, Marvell reported $1.895 billion in revenue—just ahead of consensus expectations and marginally above the midpoint of its prior guidance. Adjusted earnings per share came in at $0.62, matching Wall Street forecasts, while GAAP earnings reached $0.20 per share.

The quarter’s highlight was the reaffirmation of strategic partnerships in custom silicon, including its role in Amazon’s 3nm chip program and a long-term chip development roadmap with Microsoft set to launch in 2026. These relationships reinforce Marvell’s positioning in the evolving AI hardware landscape.

Looking to the second quarter, the company anticipates $2.0 billion in revenue and non-GAAP EPS of $0.67, plus or minus $0.05—numbers largely aligned with analyst expectations. Gross margins are projected to remain stable between 59% and 60%. Despite the solid fundamentals, the lack of upside surprise appears to have left investors wanting more from the AI chipmaker.