Marvell's 21% Data Center Growth May Spark 50% Upside

Marvell Technology reported 21% year-over-year data center revenue growth, forecasting 40% growth in fiscal 2027 and accelerated total revenue reaching $11 billion. Analysts suggest the stock could deliver 50% upside within the next year.

MRVL reported significant growth in its data center revenue, with a 21% year-over-year increase in Q4 fiscal 2026 . Management raised its outlook, forecasting 40% data center revenue growth in fiscal 2027 and projecting total company revenue of $11 billion, representing 30% overall growth. The acceleration is driven by surging demand for AI interconnects, custom compute chips, and Ethernet switches.

Analysts have responded with broadly positive sentiment, with 28 firms maintaining a median price target of $120. Craig-Hallum set a street-high target of $164, based on 30x its fiscal 2028 EPS estimate of $5.46, while Evercore ISI raised its target to $156 from $122. Custom compute revenue is expected to grow 100% year over year, reflecting Marvell's deepening position in AI infrastructure .

Regatta Capital Group LLC's $1.43 million investment in Marvell signals continued institutional interest. While the stock could deliver 50% upside if management executes on its guidance, investors should weigh potential slowdowns in data center capital spending and the company's ability to maintain margins amid intensifying competition from Broadcom and other custom silicon providers.