Takeaways
- Marvell Technology Inc. shares fell Friday after the chipmaker's revenue fell and its fourth-quarter revenue forecast fell short of expectations.
- Marvell reported an 8% drop in its revenues from one year to the next. in the third quarter, slightly better than analysts expected.
- Marvell Technology CEO Matthew Murphy attributed the revenue decline to weak macroeconomic conditions.
Shares of Marvell Technology Inc. (MRVL) fell more than 5% early Friday after the chipmaker's revenue declined and its fourth-quarter guidance fell short of expectations amid a “weak environment.”
While Marvell's year-over-year revenue decline of 8% to $1.42 billion was slightly better than analysts forecast, its fourth-quarter forecast came in at $1.42 billion. billion dollars missed estimates. A GAAP-adjusted loss per share of 19 cents represents an improvement from the second quarter's loss per share of 24 cents and a decrease from last year's third quarter loss of 63 cents per share .
For the nine months ended October 28, 2023, Marvell reported a net loss of $540.7 million. Over the same period in 2022, the net loss was much smaller, at $148.1 million.
Marvell Technology CEO, Matthew Murphy, blamed “You've seen it in the big company ads and you've also seen it in the carrier ads. “It's a very weak environment.
Despite Friday's decline, Marvell shares are up more than 46% year to date.
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Source: investopedia.com
