An aerial view of Marvell Headquarters in Santa Clara, California, United States on June 2, 2026.
Tayfun Coskun | Anadolu | Getty Images
Marvell Technology shares dropped 8% in premarket trading despite a second‑quarter revenue beat, as its revised FY2028 outlook fell short of investors’ rising expectations.
The chipmaker now projects revenue growth of roughly 50% year‑over‑year to about $18 billion, an increase from its prior forecast of $16.5 billion.
Revenue rose 37% to $2.7 billion in its fiscal second quarter, delivering $39 million above the guidance posted in May.
Marvell, which manufactures networking, connectivity and custom chips used in AI data‑center solutions, offered limited detail on its FY2028 outlook, tempering optimism especially after hopes centred on a potential Google partnership valued at up to $12.2 billion of shares.
Marvell’s Chairman and CEO Matt Murphy said the results were driven by continued strong demand across the company’s data center portfolio, where revenue growth accelerated to 46% year over year.
Marvell Technology shares fell 8% in premarket trading despite a second‑quarter revenue beat, as its raised fiscal 2028 outlook failed to meet investors’ elevated expectations.
The Google partnership, announced last week, allows the tech giant to purchase up to 58.97 million Marvell shares at $206.58 each, subject to acquisition targets through fiscal 2033.
Marvell said the agreement covers products that work with Google’s TPU systems, including AI inference chips, storage controllers and network interface controllers.
Goldman Sachs analysts noted “high investor expectations” ahead of the quarter.
“We believe investor expectations were elevated heading into the quarter based on robust spending at key customers, as well as the previously disclosed Google relationship,” the analysts said in a Thursday note.
The results were an “incremental positive” for the stock, they added. Goldman Sachs remains neutral on Marvell as the investment bank noted that it trades at a higher valuation than its peers and there is less certainty about its ability to add custom‑chip customers.
