Marvell Technology (MRVL) closed the most recent trading day at $22.65, moving -1.35% from the previous trading session. This move was narrower than the S&P 500's daily loss of 3.03%. Elsewhere, the Dow lost 3.15%, while the tech-heavy Nasdaq lost 2.77%.
Heading into today, shares of the chipmaker had lost 11.25% over the past month, lagging the Computer and Technology sector's loss of 2.79% and the S&P 500's loss of 1.94% in that time.
Investors will be hoping for strength from MRVL as it approaches its next earnings release, which is expected to be March 4, 2020. On that day, MRVL is projected to report earnings of $0.16 per share, which would represent a year-over-year decline of 36%. Our most recent consensus estimate is calling for quarterly revenue of $711.16 million, down 4.52% from the year-ago period.
It is also important to note the recent changes to analyst estimates for MRVL. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.2% higher within the past month. MRVL currently has a Zacks Rank of #3 (Hold).
In terms of valuation, MRVL is currently trading at a Forward P/E ratio of 24.67. This represents a no noticeable deviation compared to its industry's average Forward P/E of 24.67.
Investors should also note that MRVL has a PEG ratio of 3.25 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Semiconductor - Communications was holding an average PEG ratio of 3.25 at yesterday's closing price.
The Semiconductor - Communications industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 64, putting it in the top 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Marvell Technology Group Ltd. (MRVL): Free Stock Analysis Report
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