10 AI News Taking Wall Street by Storm

3. Marvell Technology, Inc. (NASDAQ:MRVL)

Number of Hedge Fund Holders: 70

Marvell Technology, Inc. (NASDAQ:MRVL) engages in the development and production of custom application-specific integrated circuits (ASICs) and other semiconductor solutions that power artificial intelligence applications in data centers and automotive markets. Wall Street has been extremely bullish on the stock after the company reported strong third-quarter results that exceeded sales and earnings expectations. The company’s sales grew 19% due to steady AI demand, particularly in data center end markets. Moreover, the company anticipates exceeding the guide of $1.5B for AI revenue this year and is also optimistic about achieving its $2.5 billion target for FY26.

On December 4, Needham analyst Quinn Bolton maintained Marvell Tech (NASDAQ:MRVL) with a “Buy” and raised the price target from $95 to $120. The company’s latest results and guidance are key indicators that the AI momentum shows no signs of slowing down.

“Next year, both custom AI silicon and electro-optics are expected to grow meaningfully, leading to significant upside to our prior estimates”.

-Needham analyst N. Quinn Bolton wrote in a note to clients.

Bolton further stated that the company’s AI revenue is now expected to top the previous $1.5B target by “hundreds of millions of dollars”. This is because the company’s two lead customers for custom silicon — believed to be Amazon (AMZN) and Google (GOOG) (GOOGL) — are ramping up.

“AMZN remains on track to ramp its next-gen custom silicon compute solutions in CY25, and we believe MRVL will be the ASIC partner”.

-Bolton